Send Article via Email

- PPI -0.2 pct vs -0.1 pct consensus
- Labor dept. says most of decline due to food prices
- excluding food/energy, "core PPI" +0.1 vs +0.1 consenus
- 2012 Core PPI +2.0 vs +2.1 Consensus
- Inflation is not currently an issue for markets and the Price Index reports have not been market movers for quite some time. This could change when inflation starts picking up, but until then, PPI and CPI are overlooked in favor of other economic metrics.

The Producer Price Index for finished goods declined 0.2 percent in December, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Prices for finished goods fell 0.8 percent in November and 0.2 percent in October. At the earlier stages of processing, prices received by manufacturers of intermediate goods moved up 0.3 percent, and the crude goods index increased 2.5 percent. On an unadjusted basis, the finished goods index rose 1.3 percent in 2012, compared with a 4.7-percent advance in 2011.

More from MND:

• MBS Commentary: MBS Annihilated After Fed Confirms The Hype
• Mortgage Rate Watch: Why Did Mortgage Rates Skyrocket Past 2013 Highs Today?
• MND NewsWire: Distressed Sales Fall Under 25 Percent in California
• MND NewsWire: House Rejects CFPB Testimony on Qualified Mortgage Rule
• Pipeline Press: Mel Watt Hearings; Current Origination Numbers; Foreclosure Process Slowdown Merely a Hiccup

If you would like to opt-out of receiving email forwards from this person please click here to remove your email address.