Inflation may be poised to tick higher, according to the most recent Producer Price Index.
The PPI came in at 0.9 percent in July, where the markets were expecting a 0.2 percent increase. On the year, the Index rose 3.3 percent, and the markets were expecting a 2.5 percent climb.
Wholesale machinery costs made up around 30 percent of the rise in prices.
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August data from the U.S. Bureau of Labor & Statistics show continued inflationary pressure, with energy and transportation costs playing a significant role in both consumer and producer prices.
For agriculture and rural businesses, the report showed higher margins in lawn, garden, and farm equipment and supplies retailing, while freight prices fell.
On a year-over-year basis, producer prices increased 5.5 percent, down from a 6.0 percent annual gain the previous month.
On a year-over-year basis, final demand prices are up 6.5 percent, the largest annual increase since late 2022.
