WASHINGTON – US producer prices last month registered the biggest drop since September, pulled down by tumbling energy and food prices.
The Labor Department says producer prices slid 0.4 per cent in July, first decline since March and biggest drop since a 0.5 per cent fall last September. Over the past year, producer prices are down 0.2 per cent. Energy prices fell 1 per cent and food prices 1.1 per cent in July from June. Corn prices plummeted 22.2 per cent, biggest drop since September 1996.
Even excluding the volatile food and energy categories, core producer prices dropped 0.3 per cent, biggest decline since February 2015. Since July 2015, core producer prices are up 0.7 per cent.