The producer price index for finished goods increased 1.8% in June from May, the Labor Department said Tuesday, nearly double the 1% rise that economists in a Dow Jones Newswires survey had expected. It was the sharpest rise since November 2007. Producer prices were down 4.6% from one year ago.
The core PPI, which excludes food and energy, rose 0.5% from May, the biggest rise since October 2008. Economists had expected no change.