The September U.S. Producer Price Index rose a whopping 1.3%, far above August’s 0.4%, and blowing past forecasts for 0.5%.
On a year-over-year basis, PPI was higher by 6.3%, up from 5.4% in August, and above estimates for 5.3%.
The core PPI rose 0.7% versus 0.2% in August, and well above forecasts for 0.3%.
Year-over-year core PPI rose 5%, up from 4.6% in August, and higher than estimates for 4.4%.
Market reaction, for now, is rather muted:
Already under pressure on Thursday, bitcoin slumped about another $500 on the news to $80,500. Nasdaq 100 futures remain lower by 1% and bond yields remain sharply lower in response to growing concerns about the popping of the AI bubble.
In other economic news, initial jobless claims remained at historically low levels, edging up to 199,000 from 197,000.
Retail sales for September were stronger than forecast, rising 0.9% (ex-autos) versus the 0.5% estimate.
The October Empire State Manufacturing Index jumped to 25.5 from 7.6 in September, well above forecasts for a rise to 10.3.
