US annual PPI inflation softens to 2.7% in March vs. 3.3% expected

Producer inflation in the US softened unexpectedly in March.
US Dollar Index stays deep in negative territory below 100.00.

Eren Sengezer FXStreet

The Producer Price Index (PPI) for final demand in the US rose 2.7% on a yearly basis in March, the data published by the US Bureau of Labor Statistics showed on Friday. This reading followed the 3.2% increase recorded in February and came in below the market expectation of 3.3%.

The annual core PPI rose 3.3% in the same period, down from 3.5% in February. On a monthly basis, the PPI and the core PPI declined 0.4% and 0.1%, respectively.

Market reaction

The US Dollar Index stays under heavy bearish pressure in the American session on Friday and was last seen losing 1.2% on the day at 99.65.

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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