The Producer Price Index for finished goods was unchanged in August, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today.
The unchanged number was largely the result of a decline (likely short-term) in energy prices. However, deeper into the numbers, there's great concern at a very basic level, food prices are skyrocketing.
The index for finished consumer foods jumped 1.1 percent (13.2 percent annualized) in August, the third straight rise. Over thirty percent of the August advance can be traced to meat prices, which climbed 2.4 percent (28.8 percent annualized). Higher prices for processed poultry and eggs for fresh use also were major factors in the increase in the finished foods index.