Inflationary pressures in the US economy was again noticeable in September, mainly due to another fall in gasoline prices.
The wholesale price index, which includes wholesale costs, fell by 0.5% last month, the Labor Department said on Wednesday. Economists surveyed by MarketWatch, had forecast a decline of 0.2%, seasonally adjusted.
The index of wholesale inflation at the earlier stages of production also showed a very low inflationary pressures.
The lack of inflation contributed to the decision of the Federal Reserve last month to refrain from raising interest rates in the United States. The Fed expects inflation to rise in the next year, as gas prices and the US dollar has stabilized, but still little evidence of this.
In September, the wholesale price of gas has fallen by almost 17%, marking the sharpest decline since the first month of the year. This reduced the total value of goods by 1.2%.
Cost of services also fell to 0.4% last month, showing the largest decline since February.
So-called core producer prices, which exclude volatile categories of food, energy and trade, fell less than 0.3% in September.
Over the past year as a whole, producer prices fell an unadjusted 1.1%, and an increase compared to the previous year was negative for eight consecutive months. Basic wholesale prices rose by only 0.5% over the past 12 months.
Changes in wholesale costs, ultimately reflected in the price of consumer goods and services, but the attitude is not accurate. Companies raise or lower prices for a number of reasons. The real value for the Americans is best seen through the consumer price index, which measures what people actually paid. CPI comes out on Thursday, and it is expected that it will also show a drop in September.
According to the materials WELTRADE