The report released by the U.S. Bureau of Labor Statistics (BLS) on Thursday shows that wholesale prices surged in July, boosted by soaring profit margins, which may indicate that inflation remains a threat to the U.S. economy.
The Producer Price Index (PPI), a leading indicator of inflation, recorded a month-on-month increase of 0.9% in July, far exceeding market expectations of 0.2%, marking the largest monthly increase since June 2022; the year-on-year growth rate was 3.3%, the highest growth rate since February, significantly above the Federal Reserve's 2% inflation target.
