Fastrack · Wholesale Inflation Jumps Most in Four Years as Gas Soars

U.S. wholesale prices rose 1.3% in September, the biggest monthly gain since March 2022. Higher fuel costs drove much of the increase.

6.3% annual wholesale inflation, up from 5.6% in August.
0.5% monthly gain was the economists' forecast.
5% core annual rate, excluding food and energy, up from 4.6%.
0.8% retail sales growth in September, down from 1.3% in August.

Why it matters: The producer price index tracks what businesses pay before goods reach consumers. It is often read as an early signal of future consumer inflation.

Inflation has exceeded the Fed's 2% target for five and a half years.
The consumer price index also accelerated in September as gas prices rose.

The story so far

9 steps · since Oct 7

Oct 7
Oct 11Bond Yields Surge Toward 6%, Rattling Major Economies8 sources
Oct 12
Oct 137:07 AMHot Inflation Lifts Rate-Hike Bets, Then Fed Tempers Them11 sources
Oct 13
Oct 148:39 AMUS Inflation Rises to 3.7% in September72 sources
Oct 14
Oct 15Wholesale Inflation Jumps Most in Four Years as Gas SoarsYou are hereLatest

How 26 sources split on this story

Source landscape

Factuality

High

Mixed

Low

Strong LeftLeftLean LeftCenterLean RightRightStrong Right

Political Bias

Coverage by lean% of 26 sources

26 sources · 31 articles · 42% Right coverage

Where they split: Outlets largely agree on the numbers; they differ on whether to stress midterm politics, consumer spending, or the forecast miss.

Center coverage, 9 sources: The center presents the wire report: a four-year high driven by fuel, raising pressure on the Fed.

Yahoo News9hWholesale prices bubbled higher in September, keeping a rate hike on the table News4Jax10hWholesale inflation jumped last month by most in four years as gas prices soared CNBC7hEconomists: Hot PPI shows Fed's work is not done Associated Press10hWholesale inflation jumped last month by most in four years as gas prices soared IBTimes10hInflation Keeps Heating Up. The Producer's Price Index Hit The Highest Annual Level Since 2022.PBS NewsHour3hWholesale inflation hits levels not seen since 2022 PennLive8hWholesale prices hit highest level in 4 years thanks to fuel costs The Hill9hProducer prices see largest rise in four years: BLS WPLG Local 1010hWholesale inflation reaches levels last seen in 2022

Left coverage, 6 sources: The left frames the jump as a strain on consumers and a political problem for Republicans ahead of the midterms.

The Independent10hWholesale inflation jumped last month by most in four years as gas prices soared CNN10hWholesale inflation jumped in September by most in four years ABC News7hWholesale prices rise at fastest pace since 2022 as fuel costs climb Cleveland.com8hWholesale prices hit highest level in 4 years thanks to fuel costs Los Angeles Times6hEnergy shock drives biggest monthly jump in producer prices since 2022 NBC News9hBusinesses were hit even harder by inflation last month than consumers

Right coverage, 11 sources: The right emphasizes the size of the miss against forecasts and the record monthly gain since 2022.

The Epoch Times23hUS Producer Inflation Posts Sharpest Monthly Gain Since 2022 Citizen Free Press10hPPI Inflation report much higher than expected.BizPac Review9hWholesale inflation spikes to highest level in 4 years Breitbart News10hInflation Overload: Producer Price Index Up 6.3%Just the News23hWholesale prices see a 6.3% annual jump in September, much higher than economists expected New York Post7hWholesale inflation much hotter than expected as soaring energy costs threaten price hikes through holidays Newsmax10hWholesale Inflation Jumps to 6.3% as Gas Prices Soar The Daily Caller9hMajor Inflation Gauge For Businesses Spikes To Highest Level In 4 Years The Right Scoop9hUH OH VIDEO - Producer inflation MUCH higher than expected...The Washington Times10hWholesale prices see biggest rise since 2022, underlining inflation problem ZeroHedge10hInflation Is 'Broadening Out' As Producer Prices Soar Most In 4 Years

What’s next: The two inflation reports raise pressure on the Federal Reserve to hike its key rate.

Some PPI data feeds the personal consumption expenditures index, the Fed's target measure.
How much of the wholesale increase will reach consumer prices in coming months?
Will the Fed raise rates before the midterm elections?
Will consumer spending keep slowing as prices rise?