Wholesale Prices Move Up 0.2% in May

Wholesale prices moved up 0.2% in May, seasonally adjusted, the Bureau of Labor Statistics of the U.S. Department of Labor reported. At the earlier stages of processing, prices received by producers of intermediate goods rose 0.3% following a 0.5% decline a month earlier, and the crude goods index climbed 3.6% after rising 3% in April.

In May, a 2.9% increase in finished energy goods prices more than offset a 1.6% decline in the index for finished consumer foods and a 0.1% decrease in prices for finished goods other than foods and energy.

Before seasonal adjustment, the Producer Price Index for Finished Goods increased 0.5% in May to 170.8 (1982 = 100). From May 2008 to May 2009, finished goods prices decreased 5%. Over the same period, the finished energy goods index fell 27.3% and prices for finished consumer foods declined 2.1%. By contrast, partially offsetting the decrease in finished goods prices, the index for finished goods less foods and energy (core inflation) increased 3%.

At the earlier stages of processing, prices received by manufacturers of intermediate goods moved down 12.5% for the 12 months ended May 2009, and the crude goods index decreased 41.1%.