U.S. Producer Prices Rise 1.8%; Core Rate Gains 0.2% (Update1)

[endarkenment]

Source: bloomberg


By Bob Willis

July 15 (Bloomberg) -- Prices paid to U.S. producers rose for a sixth month in June, pushed up by surging fuel costs that underscore risks of inflation.

The 1.8 percent increase was the biggest gain since November and followed a 1.4 percent jump the prior month, the Labor Department said today in Washington. So-called core producer prices that exclude fuel and food increased 0.2 percent, less than economists forecast.

Higher prices for fuel and raw materials cut into corporate profits and pressure them to raise prices. Federal Reserve policy makers, who have paused in their steepest rate cuts in two decades, last month said ``upside risks'' to inflation had increased and they would act ``as needed'' to foster both stable prices and growth.



Read more: http://www.bloomberg.com/apps/news?pid=20601068&sid=aJP6nsBHSmsc&refer=home

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The paid professional liars continue to screw working families by deliberately understating inflation via the 'core inflation rate'. Their motto: if it costs more, it ain't in the core.