Producer Prices in U.S. Decline More Than Forecast

Wholesale prices in the U.S. fell in June more than forecast, pulled down by lower energy and food costs, a sign the recovery isn’t spawning inflation.

The 0.5 percent decline in prices paid to factories, farmers and other producers compared with a 0.1 percent median drop projected in a Bloomberg survey of economists and followed a 0.3 percent decline in May, figures from the Labor Department showed today in Washington. Excluding food and fuel, so-called core prices climbed 0.1 percent, matching the median estimate.