US wholesale prices were unchanged in September, according to government data published Friday, as a small rise in the cost of services was offset by falling goods prices.
The producer price index (PPI) was flat in September, according to new and revised figures from the Labor Department.
This was lower than the median forecast from economists surveyed by Dow Jones Newswires and The Wall Street Journal.
Over the past 12 months, prices cooled to 1.8 per cent in September from 1.9 per cent in August, but this was due to an upward revision to past data.
The data suggests producer prices continue to ease, which is good news for the Federal Reserve as it eyes further interest rate cuts in response to a cooling labor market and a decline in consumer inflation toward its long-term target of two per cent.
The US central bank has a dual mandate to maintain stable prices and maximum sustainable employment, and has refocused its attention on the second of these mandates in recent months.
In September鈥檚 PPI data, 鈥榓 0.2 per cent increase in the index for final demand services offset a 0.2 per cent decline in prices for final demand goods,鈥� the Labor Department said.
Stripping out more volatile food, energy, and trade services cost, the PPI rose 0.1 per cent last month, and by 3.2 per cent from a year earlier.
