U.S. wholesale inflation accelerated sharply in April, as the Producer Price Index (PPI) posted its largest monthly increase in four years, according to data released May 13 by the Bureau of Labor Statistics.

The PPI for final demand increased 1.4% in April from March on a seasonally adjusted basis — well above consensus forecasts and marking the biggest monthly advance since March 2022. On a year-over-year basis, headline PPI climbed 6.0%, up from 4.3% in March.

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Core PPI — which excludes volatile food and energy prices — rose 1.0% month-over-month in April after a 0.2% increase in March. Over the past 12 months, core wholesale inflation increased 5.2%.

The BLS said much of April’s increase stemmed from higher energy prices, with final demand energy costs jumping 7.8% during the month. Services prices also moved higher, led by gains in transportation and warehousing services, machinery and equipment wholesaling, and portfolio management services.

Goods prices advanced 2.0% in April, while services prices increased 1.2%, according to BLS data.

The April PPI report follows the government’s April Consumer Price Index release earlier this week, which showed consumer inflation also remained elevated. Economists closely watch producer pricing trends for signs of future pass-through effects into consumer prices and broader business costs.