Major Inflation Indicator Hits Highest Rate Since Biden Era

US producer price inflation reached its highest annual rate since November 2022, according to figures from the Bureau of Labor Statistics. The rise matters because businesses facing higher costs may pass some of them on to consumers, while inflation remains well above the Federal Reserve’s 2% target.

The Producer Price Index rose 6.5% over the year to October, although it increased 0.3% that month, below the 0.4% forecast. Excluding food and energy, annual PPI was 5%; the article puts consumer inflation at 4% and core consumer inflation at 2.8%. The Federal Reserve’s next policy meeting is scheduled for 8–9 December.