The headline PPI index rose 0.1% MoM in May after falling -0.2% in April and -0.1% in March. On a YoY basis, final demand PPI increased 2.6%, while the core PPI (excluding food, energy, and trade services) was up 2.7% YoY.

• Final demand goods PPI rose 0.2% MoM, with core goods also up 0.2% MoM; food rose 0.1% MoM and energy was flat.
• Final demand services PPI increased 0.1% MoM, driven by a 0.4% rise in trade services margins; transportation services fell -0.2% MoM.
• Core PPI (less food, energy, and trade services) edged up 0.1% MoM after a -0.1% decline in April.
• Intermediate demand processed goods rose 0.1% MoM; unprocessed goods fell -1.6% MoM, largely due to an -18.7% drop in natural gas prices.

• Core processed goods for intermediate demand PPI has posted some hot MoM readings since tariffs were put in place. On an annual basis, the segment is up 2.6% YoY, the highest since November 2022.
• Prices for services for intermediate demand increased 0.1% MoM, with a 0.7% rise in trade services partially offset by -0.1% declines in other components.