US wholesale inflation cools but remains well above target
Summarised from 2 outlets · Updated 13 Nov, 14:01 · Archive
US wholesale inflation rose 0.3% in October, down from 1.4% in September, but remains 6.5% above year-ago levels.
The Labor Department's producer price index, which measures inflation before it reaches consumers, rose 0.3% from September to October. This represents a slowdown from the previous month's 1.4% jump. Yet the year-on-year comparison tells a starker story: wholesale inflation jumped 6.5% compared with October 2025, up from 6.3% in September and marking the biggest increase since November 2022.
A year ago, wholesale inflation stood at just 3.1%. The figures suggest prices are still rising at a pace well above the Federal Reserve's 2% annual target. This comes after the consumer price index accelerated in October, driven by rising costs across goods and services.
Federal Reserve officials have signalled they will almost certainly need to raise their key short-term interest rate further, possibly more than once, to combat higher prices. When the Fed raises rates, borrowing costs for mortgages, auto loans and credit cards also rise.
How it is being reported
- Wholesale inflation declined last month yet remains stubbornly elevatedWholesale inflation cooled a bit last month yet remains elevated, evidence of stubbornly higher prices that have soured Americans on the economy and fueled big gains for Democrats in the midterm elections last week.News4Jax · 13 Nov, 13:36
- Wholesale inflation declined last month yet remains stubbornly elevatedWholesale inflation cooled a bit last month yet remains elevated, evidence of stubbornly higher prices that have soured Americans on the economy and fueled big gains for Democrats in the midterm elections last week.Clickorlando · 13 Nov, 13:36
In this story: Federal Reserve · Labor Department · United States
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