US producer prices increased above expectations in March, two months into Russia’s war against Ukraine, the US Labor Department said Wednesday.
The producer price index rose 1.4% month-on-month and 11.2% annually in March — the highest rise since November 2010.
On Tuesday, annual consumer inflation numbers were released and it showed the figures rose 8.5% in March, marking the largest 12-month increase since December 1981.
The consumer price index (CPI), which measures changes in the prices of goods and services from a consumer’s perspective, was higher than the market estimate of 8.4% after it rose 7.9% in February.
According to analysts, the war in Ukraine along with a resurgence in coronavirus infections and lockdowns in China would further disrupt supply chains in the upcoming period.
The US Fed in March raised interest rates by 25 basis points, the first hike in more than three years and it signaled big rate increases are coming.
Source: Anadolu Agency