88.8 F
Fort Worth
Wednesday, September 30, 2020
- Advertisements -
Business US wholesale prices fall 0.6%, biggest decline in 5 years

US wholesale prices fall 0.6%, biggest decline in 5 years

Other News

Petalo, not Charmin: Virus brings Mexican toilet paper to US

By JOSEPH PISANI AP Retail Writer NEW YORK (AP) — Toilet...

Mall owners close to buying JC Penney out of bankruptcy

By ANNE D'INNOCENZIO AP Retail WriterNEW YORK (AP) — Mall owners Simon Property Group and Brookfield Property Partners are close to a...

At Home launches collection with Fort Worth connection

At Home Group Inc. (NYSE: HOME), The Home Décor Superstore, has debuted an exclusive collection with interior...

Former Toys ‘R’ Us reopens as Havertys in Southlake

HAVERTYS (NYSE: HVT and HVT.A) will officially open its new store in Southlake Corners on Friday, August 21, 2020. The 32,300 square...

WASHINGTON (AP) — U.S. wholesale prices fell 0.6% in February, the biggest decline in five years, led by a sharp drop in energy costs.

The Labor Department said the decline in its producer price index, which measures price pressures before they reach the consumer, followed a 0.5% rise in January. It was the sharpest decline since a similar 0.6% drop in January 2015.

Core inflation, which excludes energy and food, was also down in February, dropping 0.3%. Over the past year, producer prices have risen a modest 1.3% and core prices are up just 1.4%.

On Wednesday, the government had reported that consumer prices edged up a slightly 0.1% and are up 2.3% over the past year.

The Federal Reserve seeks to manage monetary policy to hit its target of 2% annual increases in inflation.

The central bank last week slashed its policy interest rate by one-half percentage point, the biggest cut since the 2008 financial crisis. Many economists are looking for another half-point cut when the Fed meets next week, expecting the central bank to provide more protection for the U.S. economy against the adverse effects of the spreading coronavirus.

A major reason the Fed has the leeway to cut interest rates is that inflation has remained a no-show throughout this recovery even as unemployment fell to half-century lows.

For February, energy prices dropped 3.6%, the biggest drop since December 2018, with gasoline prices down 6.5%. Analysts believe there will be further declines in energy prices because of reduced travel from fears about the coronavirus and a production dispute between Saudi Arabia and Russia.

Food prices at the wholesale level dropped 1.6% in February, the biggest decline since a 1.7% drop in February 2015.

- Advertisements -
- Advertisements -

Latest News

Cold weather means new challenges for struggling restaurants

By DEE-ANN DURBIN AP Business Writer U.S. restaurants are moving warily into fall, hoping their slow recovery persists despite...

Salon owner who defied lockdown makes Texas Senate runoff

DENTON, Texas (AP) — A Dallas salon owner who was sent to jail for defying coronavirus lockdown orders and became a symbol...

Debate Takeaways: An acrid tone from the opening minute

By BILL BARROW and ZEKE MILLER Associated PressWASHINGTON (AP) — After more than a year of circling each other, Republican President Donald...

Chaotic first debate: Taunts overpower Trump, Biden visions

By JONATHAN LEMIRE, DARLENE SUPERVILLE, WILL WEISSERT and MICHELLE L. PRICE Associated Press CLEVELAND (AP) — The first debate...

Fort Worth Chamber talks vision, Fortitude in 2020 Annual Meeting

The new CEO of the Fort Worth Chamber of Commerce took the stage Tuesday – both live and virtually – as he...