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Wholesale inflation fell 0.5% in July, in another sign that price increases are slowing
CNBC ^ | August 11, 2022 | Jeff Cox

Posted on 08/11/2022 7:53:35 AM PDT by John W

Wholesale prices fell in July for the first time in two years as a plunge in energy prices slowed the pace of inflation, the Bureau of Labor Statistics reported Thursday.

The producer price index, which gauges the prices received for final demand products, fell 0.5% from June, the first month-over-month decrease since April 2020, the month after Covid-19 was declared a pandemic. Economists surveyed by Dow Jones had been expecting an increase of 0.2%.

On an annual basis, the index rose 9.8%, the lowest rate since October 2021. That compares with an 11.3% increase in June and the record 11.7% gain in March.

Most of the decline came from energy, which dropped 9% at the wholesale level and accounted for 80% of the total decline in goods prices, which fell 1.8%. The index for services rose 0.1%.

Stripping out food, energy and trade services, PPI increased 0.2% in July, which was less than the expected 0.4% gain. Core PPI rose 5.8% from a year ago.

(Excerpt) Read more at cnbc.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: anwr; bidenflation; keystonexl; opec
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To: rktman

He’s right. The CPI number for the monthly change in July, was zero. Actually slightly negative, but it rounded to zero.


21 posted on 08/11/2022 8:22:44 AM PDT by babble-on
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To: JesusIsLord

No one says it shouldn’t be included. But in stable times it can add noise to the data that is misleading. These are not stable times, and everyone should look at the headline number, not the so-called “core” number.


22 posted on 08/11/2022 8:24:02 AM PDT by babble-on
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To: John W

So prices are still increasing, just not as fast as before.

Just like in Washington DC, a decrease in the amount of the increase of spending is a ‘spending cut’.


23 posted on 08/11/2022 8:25:31 AM PDT by dfwgator (Endut! Hoch Hech!)
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To: John W

The Rat hacks at CNBC bending into pretzels to prop up the worst President in history.


24 posted on 08/11/2022 8:26:33 AM PDT by es345st
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To: no-to-illegals

Yes. All I see are increases—big increases—at the retail level. Plus, gas prices are still astronomical compared to two years ago.


25 posted on 08/11/2022 8:31:47 AM PDT by petitfour (APPEAL TO HEAVEN)
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To: dfwgator

Technically prices FELL a bit last month, but over 12 months they are up by a lot. Would need many more negative numbers to say credibly that prices are falling.


26 posted on 08/11/2022 8:31:56 AM PDT by babble-on
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To: hadaclueonce

Incorrect: People are still buying...

via trading economics (although note the last sentence - they’re never adjusted, so it’s still apples and apples)

US Retail Sales Rise More than Expected
Retail sales in the US jumped 1% mom in June of 2022, beating forecasts of a 0.8% gain, and recovering from a downwardly revised 0.1% drop in May. Figures showed consumer spending remains robust but also reflect a general increase in prices for goods and services. Retail sales aren’t adjusted for inflation.

Link:
https://tradingeconomics.com/united-states/retail-sales#:~:text=US%20Retail%20Sales%20Rise%20More,prices%20for%20goods%20and%20services.


27 posted on 08/11/2022 8:32:26 AM PDT by Old West Conservative
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To: hadaclueonce
Economy 101 should required

The article was not written out of ignorance.

This is pure, deliberate propaganda to make people think it's not as bad under Biden as it really is.

28 posted on 08/11/2022 8:32:37 AM PDT by HandBasketHell
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To: John W
I’m listening to Steve Cortez on Bannon right now. His analogy: a drunk who drinks a 12 pack say he doesn’t have a drinking problem when he drinks only 11 beers.

Our nation is mathematically illiterate thanks to lazy ass leftist teachers.

29 posted on 08/11/2022 8:34:43 AM PDT by ConservativeInPA (Scratch a leftist and you'll find a fascist )
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To: babble-on

what was it that was “pure falsehood and misinformation” in the post? Please specify.


30 posted on 08/11/2022 8:37:45 AM PDT by Old West Conservative
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To: John W

So you’re really not pregnant when the Doctor says “Good news, it’s not triplets, it’s only twins”.


31 posted on 08/11/2022 8:38:41 AM PDT by 1Old Pro
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To: hadaclueonce

Correct. People have maxed out their credit cards so not buying. Higher sales do not mean more stuff is being sold. Same stuff higher prices falsely shows increasing sales.


32 posted on 08/11/2022 8:44:46 AM PDT by oldasrocks
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To: babble-on
No one says it shouldn’t be included.

Excerpts that follow are from: https://www.tradingview.com/chart/ZC1!/iouAL0GU-The-CPI-Fantasy-And-Commodity-Prices/

"Economists argue that core CPI better reflects inflationary pressures because food and energy prices can be highly volatile .... The problem with core CPI is that food and energy make up a significant part of budgets. Rising prices for the products that fuel our lives and provide nutrition for our bodies is taking an ever-increasing bite out of paychecks is a reality, while eliminating them distorts the actual cost of living for the majority of people. .... Thornton Melon would say that core CPI only exists in 'fantasy land.' The substantial increases in food and energy commodities paint a very inflationary picture. ....Food and energy prices are the tip of an inflationary iceberg.

I would need to agree with Thornton Melon's view, when he says core CPI only exists in 'fantasy land.'

33 posted on 08/11/2022 8:52:00 AM PDT by JesusIsLord
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To: babble-on

And lib Dems been using “rate of change” to try and fool people for a very long time in a multitude of categories.


34 posted on 08/11/2022 8:55:04 AM PDT by John W (W)
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To: John W

of course you’ll see the price rigging go down into November and then shoot up after the election. The RATS are on top of their game with an illiterate electorate.


35 posted on 08/11/2022 8:55:58 AM PDT by kenmcg (t)
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To: John W

Econ 101 (circa. 1970) “Stagflation”.


36 posted on 08/11/2022 8:58:26 AM PDT by Steamburg (Other people's money is the only language a politician respects; starve the bastards)
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To: John W

Wow, that steak went from $15.50 a pound to $15.25 a pound. Praise the Lord!


37 posted on 08/11/2022 9:12:21 AM PDT by Huskrrrr (Alinsky, you magnificent Bastard, I read your book!)
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To: Old West Conservative
No. The quarterly rate of inflation is a rate of increase. The rate of increase, at the last number released, slowed slightly. Prices are going up. The rate of increase went down. Gas prices went down, as they do almost every year after an initial rise in April and May. That slowed down the rate of increase. The decrepit mouse-man claims that the rate of inflation is zero.

First: the quarterly rate of inflation? I don't know what poster is referring to. This release, PPI, like yesterday's CPI, is monthly data. Perhaps he is referring to the GDP deflator, but if so, he's very far afield from this thread.

The data in today's release FELL. The new information is that in the current month producer prices FELL. This is not a change of sign on the first derivative, this is a price decline, month on month. Over a longer time period prices have risen sharply and uncomfortably, and that remains a fact and no one has denied it.

Regarding the seasonality of energy prices, the data released today are seasonally adjusted, to accommodate for exactly the phenomenon you describe. Normal seasonal variations are removed in the data, so what we see today is a price drop on top of what you cite.

Mouse man is accurate when he says prices were stable in the month, even though it is obviously true that over the longer time frame they are much higher. No lies from the mouse-man.
38 posted on 08/11/2022 9:16:50 AM PDT by babble-on
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To: Huskrrrr

Actually, more like it went from $15.50 to $15.75, when it could have been $16.00 instead. That’s an “improvement.”


39 posted on 08/11/2022 9:55:42 AM PDT by Republican Wildcat
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To: John W

I’m so happy! I got xitch-slapped 0.5% fewer times last month.

I can feelbit too, I really can, a little less numbed!


40 posted on 08/11/2022 10:10:57 AM PDT by If You Want It Fixed - Fix It ( )
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