US Producer Inflation Hits 6.5% in October, Highest Since 2022

US producer prices rose 6.5% in October from a year earlier, the fastest increase since November 2022. Monthly price growth slowed to 0.3% from 1.4% in September, but food, transport and goods excluding food and energy continued to become more expensive. The index excluding food, energy and trade services rose 0.5% for a second consecutive month.

By the Editorial Team. Polish original published on 14 November 2026 at 14:26 UTC. Source: Bureau of Labor Statistics, “Producer Price Indexes — October 2026”, released on 13 November 2026.

The annual increase in producer prices accelerated from 6.3% in September to 6.5% in October, according to data released by the US Bureau of Labor Statistics (BLS) on 13 November. As recently as August, the rate had stood at 5.5%.

The slowdown in monthly price growth was therefore insufficient to bring down the annual rate. Energy prices showed a marked change: after jumping 10% in September, the final-demand energy index fell 0.1% in October. Even so, energy prices remained 37% higher than a year earlier.

Price pressures persist beyond energy

The Producer Price Index (PPI) excluding food, energy and trade services rose 0.5% month on month, matching September’s increase. Its annual rate edged down to 4.9% from 5%.

This measure has a different scope from the index that excludes only food and energy. It also removes trade services, for which the BLS measures changes in wholesalers’ and retailers’ margins.

Prices for final-demand goods rose 0.5% in October. More than 60% of that increase came from goods other than food and energy, whose prices also rose 0.5%. Within this group, the BLS highlighted basic organic chemicals, which became 3.9% more expensive.

Goods prices were up 10.2% year on year, the largest increase since October 2022. Excluding food and energy, the annual rise was 5.2%.

Food prices rise as diesel reverses some earlier gains

Final-demand food prices rose 1.3% month on month, following a 1.1% increase in September. Fresh and dry vegetables recorded a particularly sharp rise of 26.7%, while prices for processed chickens increased 10.8%. Pork prices moved in the opposite direction, falling 5.8%.

October brought a partial reversal of earlier diesel price increases. Diesel fell 7.9% from September but remained 115.2% more expensive than a year earlier. Gasoline prices rose 0.5% month on month and 75.9% year on year.

These changes are measured in the producer price survey. They are not retail price readings from shops or filling stations.

Transport drives the increase in services prices

Final-demand services prices rose 0.2% month on month, their fifth consecutive monthly increase. About three-quarters of October’s rise reflected higher transportation and warehousing prices, which increased 2%.

Truck transportation had a particularly large impact. Its 3.9% price increase accounted for more than 80% of the monthly rise in the overall services index. Truck transportation prices were up 24.6% year on year.

A 0.2% decline in trade margins limited the increase in services prices. The BLS recorded a 4.2% fall in margins for machinery and vehicle wholesaling. Airline passenger services and system software prices also declined.

Cheaper crude offers limited relief for business inputs

Price trends were mixed at earlier stages of production. Unprocessed goods purchased by businesses became 3.1% cheaper month on month. The main driver was a 7.7% fall in energy materials prices, including a 10.3% decline in crude oil.

Processed goods used by businesses, meanwhile, rose 0.4% month on month and 14.6% year on year. The annual increase was the largest since July 2022. Excluding food and energy, processed materials prices rose 0.9% in October alone.

Services purchased by businesses for their operations also became more expensive. Prices rose 0.6% month on month and 6.8% year on year, the strongest annual increase since November 2022. Falling crude prices offered relief to some buyers, but that easing did not extend broadly to the materials and services businesses need.

The PPI measures changes in prices received by domestic producers of goods and services. It is not a direct measure of the cost of living, and increases at the production stage do not necessarily pass through in full to consumer prices.

October’s figures are preliminary. The BLS also revised its June–September readings to incorporate late reports and corrections from respondents. November’s data are scheduled for release on 15 December 2026.