Core wholesale prices rose 0.8% in January, much more than expected

[BumRushDaShow]

Source: CNBC

Published Fri, Feb 27 2026 8:33 AM EST Updated 14 Min Ago


Wholesale prices rose at a faster-than-expected pace in January, countering hopes that inflation was easing, the Bureau of Labor Statistics reported Friday.

The core producer price index, which excludes volatile food and energy prices, increased a seasonally adjusted 0.8%, more than the 0.6% gain in December and well ahead of the Dow Jones consensus estimate for 0.3%.

On an all-items basis, the headline PPI rose 0.5%, also above the forecast for 0.3% and 0.1 percentage point more than the prior month.

For the full year, core wholesale prices accelerated 3.6%, while the headline index posted a 2.9% gain. Both figures are well ahead of the Federal Reserve’s 2% inflation goal and suggest that rising prices are still a factor for the U.S. economy.

Read more: https://www.cnbc.com/2026/02/27/ppi-january-2026-.html

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From the source -

Link to tweet

BLS-Labor Statistics
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PPI for final demand advances 0.5% in January; services rise 0.8%, goods decrease 0.3% https://bls.gov/news.release/ppi.nr0.htm #PPI #BLSdata
8:31 AM · Feb 27, 2026

Article updated.

Previous articles -

Published Fri, Feb 27 2026 8:33 AM EST Updated 5 Min Ago


Wholesale prices rose at a faster-than-expected pace in January, countering hopes that inflation was easing, the Bureau of Labor Statistics reported Friday.

The core producer price index, which excludes volatile food and energy prices, increased a seasonally adjusted 0.8%, more than the 0.6% gain in December and well ahead of the Dow Jones consensus estimate for 0.3%. On an all-items basis, headline PPI rose 0.5%, also above the forecast for 0.3% and 0.1 percentage point more than the prior month.

For the full year, core wholesale prices accelerated 3.6%, while the headline index posted a 2.9% gain. Both figures are well ahead of the Federal Reserve's 2% inflation goal and suggest that rising prices are still a factor for the U.S. economy.

Services prices primarily drove the increase, with a 0.8% month increase that was the highest since July 2025. By contrast, goods prices actually fell 0.3%, though core goods prices rose 0.7%.

Published Fri, Feb 27 2026 8:33 AM EST Updated 4 Min Ago


Wholesale prices rose at a faster-than-expected pace in January, countering hopes that inflation was easing, the Bureau of Labor Statistics reported Friday.

The core producer price index, which excludes volatile food and energy prices, increased a seasonally adjusted 0.8%, more than the 0.6% gain in December and well ahead of the Dow Jones consensus estimate for 0.3%.

On an all-items basis, headline PPI rose 0.5%, also above the forecast for 0.3% and 0.1 percentage point more than the prior month.


This is breaking news. Please refresh for updates.

Original article -

Published Fri, Feb 27 2026 8:33 AM EST Updated 2 Min Ago


The core producer price index was expected to increase 0.3% in January, according to the Dow Jones consensus estimate.


This is breaking news. Please refresh for updates.

[Wiz Imp]

1. Just to be clear (with emphasis): the core PPI for January rose at almost TRIPLE the expected pace.

I've never seen any price gauge come in that far above expectations. And something to remember - retail/consumer price increases generally follow increases in wholesale prices. So the wholesale prices go up first and then are passed along to the consumer. Expect big increases in inflation (the CPI) in the next several months

[SamKnause]

2. But our president and the entire MAGA branch of government told us Tuesday night

that prices are down.

Housing, groceries, prescriptions, medical insurance and energy prices are all down.

Our president wouldn't lie would he ???

He never lied in his first term.

He hasn't lied so far in his 2nd term.


This is the mindset of the Trump cult.

The politicians are doing it for money and power.

His supporters are paying higher prices for everything but swear that is a lie.

The usual comeback is the price of eggs and gas are down.

They are incapable of critical thinking.

They do not know how to research the internet for documents or proof of any statements they make in debates.

They accuse the liberal of always relying on facts as if that is out of the ordinary or an insult.

Many of them are cruel and extremely vindictive.

The 3 main or popular topics in debates are:

1. Abortion
2. Immigration
3. Trans people in sports.

The majority of callers who call in to debate are young males.

The majority think women have too many rights.

They are a sad dangerous mess !!!!!!!!!!!!!!!!!!!!

[Doodley]

3. Tariffs are responsible for that rise.

[Old Crank]

4. So .8 percent for a month

Is close to 5% for the up coming year.

[RussBLib]

5. Wouldn't a 0.8 monthly increase result in....

….an annual increase of 9.6%?

0.8 x 12 months = 9.6%

Is that too simplistic?

[Old Crank]

12. Oops.

Not sure where I got my multiplier from. But you are right.

[progree]

6. How do you figure that?

0.8%/mo X 12 months = 9.6%

Taking into account that they compound, it's more accurately
(1.008^12 - 1) X 100% = 10.0% (wow, double digit inflation!)

For slightly more accuracy
https://data.bls.gov/timeseries/WPSFD49104
Dec: 150.212
Jan: 151.410
Actual increase is: 0.07975%
(1.007975^12 - 1) X 100% = 10.0% - still double digit

[Old Crank]

13. Right

Brain fog on the multiplier.

Now let's see how the Fed reacts to that possibility.

[eppur_se_muova]

15. Thanks, I had already grabbed my calculator ...

when I saw your post. Got to include compounding effects.

[progree]

7. More from the OP article and from the Associated Press

https://www.cnbc.com/2026/02/27/ppi-january-2026-.html

Services prices primarily drove the increase, with a 0.8% monthly rise that was the highest since July 2025. By contrast, goods prices actually fell 0.3%, though core goods prices climbed 0.7%.

More than 20% of the increase in services came from margins for professional and commercial equipment wholesaling.

Trade services prices surged 2.5% ((this in just one month -progree)), helping boost pressures on wholesale inflation.

=========================================================

AP:
https://finance.yahoo.com/news/us-wholesale-prices-arrive-hotter-133757417.html

Driving the increase was an uptick in the wholesale price of services, led by higher profit margins for retailers and wholesalers. The increase suggests that companies are passing along the cost of President Donald Trump's tariffs to their customers. ((This is the trade services thing again. bolding by progree))

“Retailers’ tariff bill has come down marginally in the last few months, but they have continued to lift their selling prices,” Samuel Tombs, chief U.S. economist at Pantheon Macroeconomics, wrote in a commentary.

Energy prices were down as gasoline prices dropped 5.5% from December and 15.7% from a year earlier. Wholesale food prices also fell.

[Javaman]

8. history rhymes...

"if you don't like rice and bean, have some beans and rice"
- The Old Yazoo - Boswell Sisters 1932

"why should I be standing in line
just waiting for bread?"
- Brother can you spare a dime - Bing Crosby 1932

Now, let me think, what else was going on at that time? hmmmm

?si=CtL5wHASsFvSj3o1

?si=cXDRcwoKgQgltpX6

[niyad]

9. I don't know what they are using for standards, but the prices I deal with

went up a LOT MORE than .8%. A piece of salmon went from 7.99 to 10.99. bread from 2.99 to 3.49. butter 2.99 to 3.99. cat litter 7.89 to 8.49, utilities, and set to go even higher next week. And on, and on. And that is just me in my small, little bubble , but possessed of a very good memory for prices, and a very good bs detector.

[eppur_se_muova]

16. Cat litter affected by tariffs ??? Why would anyone import something that's designed to be thrown away ?

It doesn't seem to make financial or energetic sense.

Of course, I know our kitties aren't really required to make sense ... they have other, intangible virtues ... but still.

I suspect the prices went up just because they could, in that particular case.

[niyad]

17. Not every price increase is related to tariffs.

[eppur_se_muova]

18. As I said ... probably just opportunistic. "Everything *else* is going up, maybe no one will reallly notice". nt

[twodogsbarking]

10. You can't just flip the switch and it will be better.

[Hassler]

11. So much for bullshitting people that prices are down

And reality not going along with the bs

[Hassler]

14. So Cheato, Rollins and alias JD Vance

Are lying. Again. If they are releasing stats that put prices up .8%, it must be much, much higher.

[Raftergirl]

19. My husband had to buy windshield wiper fluid this week. He said it was up a lot. Like $12 for a bottle.

I have no idea if he is right about it being much more expensive, or if he just forgot what he paid for it last time he bought it.