US producer prices rise slightly above expectations in January

Published On Feb 13, 2025, 8:34 AM

In January, U.S. producer prices rose 0.4%, slightly above economists' expectations of 0.3%. This follows a 0.5% increase in December. Annually, the producer price index increased by 3.5%, up from 3.3% the previous month. The inflation figures contribute to market speculation that the Federal Reserve will maintain its interest rates well into the year, impacting expectations for rate cuts that some predicted for June. The Fed Chair indicated the need for ongoing restrictive monetary policy to manage inflation.