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U.S. Wholesale Prices Flat in February as Energy Costs Drop and Egg Prices Surge

The Producer Price Index showed no monthly change, surprising economists, as falling gas prices offset a sharp rise in egg prices linked to avian flu.

  • The Producer Price Index (PPI) remained unchanged in February, following a revised 0.6% increase in January, according to the Bureau of Labor Statistics.
  • Gas prices fell 4.7%, contributing to the flat PPI, while wholesale egg prices soared 53.6% due to avian flu-related supply issues.
  • Core PPI, which excludes food and energy, decreased by 0.1%, contrary to economists' expectations of a 0.3% increase.
  • The data suggest easing inflationary pressures, though new tariffs announced by President Donald Trump may disrupt this trend in the coming months.
  • The Federal Reserve is expected to maintain current interest rates next week, with the cooling inflation providing flexibility for future policy decisions.
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