U.S. Producer Prices Rise More Than Forecast on Food Costs

Prices paid to U.S. producers rose in September by more than forecast on higher costs for food and hotel services, pointing to a continued yet moderate recovery of pricing power after pandemic-related lockdowns crushed demand.

The producer-price index increased 0.4% from a month earlier after a 0.3% gain in August, Labor Department figures showed Wednesday. The PPI climbed 0.4% year-over-year, the first positive reading since March. The median forecast called for a 0.2% increase in both the month-over-month and year-over-year figures.