PPI

Despite a report whose internals support a lower-than-expected PCE inflation reading, the December Producer Price Index data show acceleration in the All Commodities index.

The current stabilization, with growth rates returning to low positive figures, suggests continued normalization rather than the beginning of a new inflationary cycle.

The November 2024 Producer Price Index data continue to show normalizing input cost growth for the economy as a whole, as well as most individual sectors.