The Labor Department released a report on Friday showing producer prices in the U.S. increased by more than expected in the month of January.
The report said the producer price index for final demand rose by 0.3 percent in January after edging down by 0.1 percent in December. Economists had expected producer prices to inch up by 0.1 percent.
The stronger than expected producer price growth largely reflected a 0.6 percent advance by prices for services, which marked the biggest increase since last July.
Prices for services less trade, transportation, and warehousing climbed by 0.8 percent and prices for trade services rose by 0.2 percent, while prices for transportation and warehousing services fell 0.4 percent.
Meanwhile, prices for goods dipped by 0.2 percent, as prices for energy tumbled by 1.7 percent and prices for food decreased by 0.3 percent.
Excluding prices for food, energy, and trade services, core producer prices climbed by 0.6 percent in January after rising by 0.2 percent in December.
While the report also showed the annual rate of producer price growth slowed to 0.9 percent in January from 1.0 percent in December, economists had expected the pace of growth to decelerate to 0.6 percent.
The annual rate of growth by core producer prices in January came in at 2.6 percent, unchanged from the previous month.
A separate report released by the Labor Department on Tuesday showed consumer prices in the U.S. increased by slightly more than expected in the month of January.
The Labor Department said its consumer price index rose by 0.3 percent in January after inching up by 0.2 percent in December. Economists had expected consumer prices to edge up by 0.2 percent.
The report also showed the annual rate of consumer price growth slowed to 3.1 percent in January from 3.4 percent in December, although economists had expected the pace of growth to slow to 2.9 percent.
Excluding food and energy prices, core consumer prices climbed by 0.4 percent in January after rising by 0.3 percent in December. Core prices were expected to increase by 0.3 percent.
The annual rate of core consumer price in January came in unchanged from the previous month at 3.9 percent. The pace of core price growth was expected to decelerate to 3.7 percent.
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