WASHINGTON (Reuters) – U.S. producer prices increased more than expected in November as supply constraints persisted, leading to the biggest annual gain since the series was revamped in 2010, supporting views that inflation could remain uncomfortably high for sometime.
The producer price index for final demand jumped 0.8% last month after advancing 0.6% in October, the Labor Department said on Tuesday. In the 12 months through November, the PPI shot up 9.6%. That was the largest gain since November 2010 and followed an 8.8% increase in October.
Economists polled by Reuters had forecast the PPI climbing 0.5% on a monthly basis and surging 9.2% year-on-year.
Reporting by Lucia Mutikani; Editing by Alison Williams