US annual PPI inflation rises to 3.5% in January vs. 3.2% expected

Producer inflation in the US rose at a stronger pace than expected in January.
US Dollar Index stays below 108.00 following the PPI data.

Eren Sengezer FXStreet

The Producer Price Index (PPI) for final demand in the US rose 3.5% on a yearly basis in January, the data published by the US Bureau of Labor Statistics showed on Thursday. This reading followed the 3.3% increase recorded in December and came in above the market expectation of 3.2%.

The annual core PPI rose 3.6% in the same period, surpassing analysts' estimate of 3.3%. On a monthly basis, the PPI and the core PPI rose 0.4% and 0.3%, respectively.

Market reaction

The US Dollar Index showed no immediate reaction and was last seen losing 0.2% on the day at 107.75.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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