Producer Price Index News Release text

Transmission of material in this release is embargoed until                          USDL-15-1351 
8:30 a.m. (EDT), Wednesday, July 15, 2015

Technical information:      (202) 691-7705  *  ppi-info@bls.gov  *  www.bls.gov/ppi
Media contact:              (202) 691-5902  *  PressOffice@bls.gov                                    


                          PRODUCER PRICE INDEXES - JUNE 2015


The Producer Price Index for final demand advanced 0.4 percent in June, seasonally adjusted, the 
U.S. Bureau of Labor Statistics reported today. Final demand prices rose 0.5 percent in May and 
declined 0.4 percent in April. On an unadjusted basis, the final demand index moved down 0.7 
percent for the 12 months ended in June, the fifth straight 12-month decrease. (See table A.)

In June, nearly two-thirds of the increase in the final demand index can be attributed to prices for 
final demand goods, which rose 0.7 percent. The index for final demand services advanced 0.3 
percent.

Within intermediate demand, prices for processed goods climbed 0.7 percent, the index for 
unprocessed goods jumped 1.2 percent, and prices for services moved up 0.4 percent. (See tables 
B and C.)

Final Demand

Final demand goods:  The index for final demand goods moved up 0.7 percent in June after rising 
1.3 percent a month earlier. Almost 60 percent of the broad-based advance in June is attributable to 
prices for final demand energy, which climbed 2.4 percent. The indexes for final demand goods less 
foods and energy and for final demand foods increased 0.4 percent and 0.6 percent, respectively.

Product detail:  Thirty percent of the June advance in prices for final demand goods can be traced to 
the gasoline index, which rose 4.3 percent. Prices for chicken eggs, pharmaceutical preparations, 
residential electric power, residential natural gas, and cigarettes also moved higher. In contrast, the 
index for fresh and dry vegetables fell 6.0 percent. Prices for liquefied petroleum gas and electronic 
computers also decreased. (See table 4.)

Final demand services:  The index for final demand services moved up 0.3 percent in June 
following no change in May. Over half of the broad-based advance can be traced to a 0.2-percent 
increase in the index for final demand services less trade, transportation, and warehousing. Margins 
for final demand trade services rose 0.2 percent, and the index for final demand transportation and 
warehousing services advanced 0.6 percent. (Trade indexes measure changes in margins received by 
wholesalers and retailers.)

Product detail:  Thirty percent of the June increase in the index for final demand services can be 
attributed to prices for loan services (partial), which climbed 2.4 percent. The indexes for machinery 
and equipment wholesaling, fuels and lubricants retailing, truck transportation of freight, deposit 
services (partial), and portfolio management also moved higher. Conversely, margins for food and 
alcohol wholesaling declined 3.7 percent. The indexes for traveler accommodation services and 
passenger car rental also declined.

Table A. Monthly and 12-month percent changes in selected final demand price indexes, seasonally adjusted
Month Total
final
demand
Final demand goods Final demand services Change
in final
demand
from 12
months
ago
(unadj.)
Total Foods Energy Less
foods
and
energy
Total Trade Transportation
and
warehousing
Other

2014

June

0.1 0.3 0.1 0.7 0.1 -0.1 -0.5 0.4 0.3 1.8

July

0.3 -0.1 -0.2 -0.8 0.2 0.6 1.6 0.2 0.1 1.9

Aug.

-0.1 -0.3 -0.2 -1.0 0.0 -0.1 -0.6 0.2 0.3 1.9

Sept.

-0.2 -0.1 -0.1 -0.9 0.2 -0.3 -0.8 -0.2 0.0 1.6

Oct.

0.3 -0.4 0.6 -2.6 -0.1 0.6 2.0 -0.4 0.0 1.5

Nov.

-0.3 -0.8 0.1 -3.7 -0.1 0.0 -0.4 0.3 0.1 1.3

Dec.

-0.3 -1.2 -0.1 -6.6 0.0 0.3 0.5 0.0 0.2 0.9

2015

Jan.

-0.7 -1.9 -0.9 -10.1 0.1 -0.1 0.5 -1.0 -0.2 0.0

Feb.(1)

-0.4 -0.4 -1.6 0.0 0.0 -0.5 -1.6 -0.9 0.1 -0.5

Mar.(1)

0.1 0.2 -0.8 1.6 0.0 0.1 0.1 -0.7 0.3 -0.8

Apr.

-0.4 -0.7 -0.9 -2.9 -0.1 -0.1 -0.8 -0.1 0.2 -1.3

May

0.5 1.3 0.8 5.9 0.2 0.0 0.6 -0.1 -0.2 -1.1

June

0.4 0.7 0.6 2.4 0.4 0.3 0.2 0.6 0.2 -0.7

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for February 2015 have been revised to reflect the availability of late reports and corrections by respondents.

Special grouping, Final demand less foods, energy, and trade:  The index for final demand less 
foods, energy, and trade services rose 0.3 percent in June after edging down 0.1 percent in May. For 
the 12 months ended in June, prices for final demand less foods, energy, and trade services increased 
0.7 percent.

Intermediate Demand by Commodity Type

Processed goods for intermediate demand:  The index for processed goods for intermediate 
demand climbed 0.7 percent in June following a 1.0-percent rise in May. In June, over two-thirds of 
the broad-based advance is attributable to prices for processed energy goods, which increased 2.8 
percent. The indexes for processed materials less foods and energy and for processed foods and feeds 
moved up 0.2 percent and 1.4 percent, respectively. For the 12 months ended in June, the index for 
processed goods for intermediate demand decreased 6.3 percent, the eighth consecutive 12-month 
drop. (See table B.)

Product detail:  In June, a 2.6-percent rise in prices for electric power accounted for over a quarter of 
the increase in the index for processed goods for intermediate demand. Prices for processed eggs, 
basic organic chemicals, gasoline, lubricating oil base stocks, and utility natural gas also advanced. 
In contrast, the index for nonferrous mill shapes fell 2.6 percent. Prices for liquefied petroleum gas 
and prepared animal feeds also moved lower. (See table 5.)

Unprocessed goods for intermediate demand:  The index for unprocessed goods for intermediate 
demand moved up 1.2 percent in June after a 3.3-percent jump in May. In June, 60 percent of the 
broad-based increase can be traced to prices for unprocessed energy materials, which climbed 2.2 
percent. The index for unprocessed foodstuffs and feedstuffs rose 1.0 percent, and prices for 
unprocessed nonfood materials less energy advanced 0.3 percent. For the 12 months ended in June, 
the index for unprocessed goods for intermediate demand fell 21.7 percent, the eleventh straight 12-
month decline.

Product detail:  In June, a 12.9-percent increase in natural gas prices accounted for over 80 percent 
of the rise in the index for unprocessed goods for intermediate demand. Prices for ungraded chicken 
eggs; carbon steel scrap; slaughter hogs; hay, hayseeds, and oilseeds; and raw milk also advanced.  
Conversely, the index for slaughter steers and heifers decreased 4.3 percent. Prices for crude 
petroleum and nonferrous scrap also moved down.

Table B. Monthly and 12-month percent changes in selected intermediate demand price indexes for goods by commodity type, seasonally adjusted
Month Processed goods for intermediate demand Unprocessed goods for intermediate demand
Total Foods
and
feeds
Energy
goods
Less
foods
and
energy
Total,
change
from 12
months
ago
(unadj.)
Total Foodstuffs
and
feedstuffs
Energy
materials
Nonfood
materials
less
energy
Total,
change
from 12
months
ago
(unadj.)

2014

June

0.1 0.4 0.4 0.1 1.5 -1.1 -2.1 0.1 -1.6 3.7

July

0.1 -0.7 -0.4 0.4 1.6 -1.7 -0.9 -3.5 0.3 0.9

Aug.

-0.1 -0.3 -1.0 0.2 1.4 -3.0 -2.1 -5.3 -0.8 -0.5

Sept.

-0.2 0.8 -1.1 -0.1 1.1 0.1 2.3 -1.9 0.1 -0.2

Oct.

-1.0 -1.7 -2.8 -0.3 0.2 -3.3 0.0 -7.0 -2.5 -2.1

Nov.

-1.0 0.0 -3.6 -0.5 -0.6 -1.3 1.7 -4.3 -1.6 -1.6

Dec.

-1.8 -0.3 -6.2 -0.6 -2.6 -5.2 -5.5 -7.3 -0.6 -8.7

2015

Jan.

-2.4 -2.3 -7.8 -1.0 -5.6 -9.3 -3.1 -21.8 -1.0 -18.8

Feb.(1)

-0.5 -1.8 -0.8 -0.3 -6.4 -3.7 -5.6 0.0 -5.3 -25.2

Mar.(1)

-0.1 -1.0 0.7 -0.2 -6.7 -1.4 -1.2 -1.0 -1.8 -26.5

Apr.

-1.1 -1.7 -3.4 -0.5 -7.8 0.9 0.5 1.7 0.0 -26.6

May

1.0 0.5 5.8 -0.2 -7.0 3.3 1.4 7.7 -0.1 -23.3

June

0.7 1.4 2.8 0.2 -6.3 1.2 1.0 2.2 0.3 -21.7

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for February 2015 have been revised to reflect the availability of late reports and corrections by respondents.

Services for intermediate demand:  The index for services for intermediate demand moved up 0.4 
percent in June following a 0.5-percent decline in May. The increase was primarily due to a 0.6-
percent advance in prices for services less trade, transportation, and warehousing for intermediate 
demand.  The index for transportation and warehousing services for intermediate demand also rose 
0.6 percent. In contrast, the index for trade services for intermediate demand fell 0.4 percent. For the 
12 months ended in June, prices for services for intermediate demand climbed 1.6 percent. (See table 
C.)

Product detail:  In June, a 1.2-percent advance in the index for portfolio management was a major 
factor in the increase in prices for services for intermediate demand. The indexes for loan services 
(partial); courier, messenger, and U.S. postal services; deposit services (partial); co-employment 
staffing services; and fuels and lubricants retailing also moved up. Conversely, margins for food and 
alcohol wholesaling fell 3.7 percent. The indexes for securities brokerage, dealing, and investment 
advice and for machinery and equipment parts and supplies wholesaling also moved lower.

Table C. Monthly and 12-month percent changes in selected intermediate demand price indexes for services by commodity type, seasonally adjusted
Month Services for intermediate demand
Total Trade Transportation
and
warehousing
Other Total, change
from 12 months
ago (unadj.)

2014

June

0.1 -0.4 0.3 0.2 1.3

July

0.6 1.4 0.3 0.5 1.9

Aug.

0.0 -0.3 0.2 0.0 1.7

Sept.

-0.1 0.3 -0.1 -0.2 1.5

Oct.

0.4 1.4 -0.2 0.3 1.8

Nov.

0.0 -0.4 0.1 0.1 1.5

Dec.

0.2 0.4 0.0 0.2 1.8

2015

Jan.

0.1 0.7 -0.3 0.0 1.7

Feb.(1)

-0.2 -1.0 -0.5 0.1 1.3

Mar.(1)

0.1 0.3 -0.6 0.2 1.0

Apr.

0.5 -0.1 0.1 0.7 1.8

May

-0.5 0.6 0.1 -0.8 1.3

June

0.4 -0.4 0.6 0.6 1.6

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for February 2015 have been revised to reflect the availability of late reports and corrections by respondents.

Intermediate Demand by Production Flow

Stage 4 intermediate demand:  The index for stage 4 intermediate demand moved up 0.4 percent in 
June, the largest increase since a 0.5-percent advance in March 2014. In June, prices for total goods 
inputs to stage 4 intermediate demand climbed 0.5 percent, and the index for total services inputs 
moved up 0.3 percent. (See table D.) Higher prices for electric power, loan services (partial), 
portfolio management, biological products, gasoline, and processed eggs outweighed declines in the 
indexes for machinery and equipment parts and supplies wholesaling; food and alcohol wholesaling; 
and strawberries. (See table 6.) For the 12 months ended in June, the stage 4 intermediate demand 
index decreased 0.9 percent, the sixth consecutive 12-month decline. 

Stage 3 intermediate demand:  The index for stage 3 intermediate demand advanced 0.7 percent in 
June following a 1.2-percent rise a month earlier. In June, prices for total goods inputs to stage 3 
intermediate demand increased 1.2 percent, and the index for total services inputs moved up 0.2 
percent. Higher prices for ungraded chicken eggs; gasoline; slaughter hogs; primary basic organic 
chemicals; raw milk; and courier, messenger, and U.S. postal services outweighed declines in the 
indexes for slaughter steers and heifers, slaughter chickens, and food and alcohol wholesaling. For 
the 12 months ended in June, prices for stage 3 intermediate demand decreased 4.2 percent, the sixth 
consecutive 12-month decline.

Stage 2 intermediate demand:  The index for stage 2 intermediate demand increased 0.5 percent in 
June, the third consecutive advance. In June, prices for total goods inputs to stage 2 intermediate 
demand rose 0.6 percent, and the index for total services inputs advanced 0.4 percent. Increases in 
the indexes for natural gas; plastic resins and materials; co-employment staffing services; courier, 
messenger, and U.S. postal services; hay, hayseeds, and oilseeds; and portfolio management 
outweighed lower prices for crude petroleum; securities brokerage, dealing, and investment advice; 
and liquefied petroleum gas. For the 12 months ended in June, the stage 2 intermediate demand index 
fell 12.2 percent. 

Stage 1 intermediate demand:  The index for stage 1 intermediate demand moved up 0.7 percent in 
June after a 0.6-percent rise in May. In June, the index for total goods inputs to stage 1 intermediate 
demand increased 1.0 percent, and prices for total services inputs moved up 0.3 percent. Higher 
prices for carbon steel scrap, primary basic organic chemicals, electric power, loan services (partial), 
processed eggs, and gasoline outweighed declines in the indexes for nonferrous scrap, corn, and 
passenger car rental. For the 12 months ended in June, the index for stage 1 intermediate demand 
dropped 7.4 percent, the eighth consecutive 12-month decrease.

Table D. Monthly percent changes in selected intermediate demand price indexes by production flow, seasonally adjusted
Month Stage 4 intermediate
demand
Stage 3 intermediate
demand
Stage 2 intermediate
demand
Stage 1 intermediate
demand
Total Goods
inputs
Services
inputs
Total Goods
inputs
Services
inputs
Total Goods
inputs
Services
inputs
Total Goods
inputs
Services
inputs

2014

June

0.1 0.1 0.2 -0.1 -0.1 0.1 -0.2 -0.3 0.1 0.1 0.1 0.3

July

0.3 0.0 0.6 0.5 0.5 0.4 -0.9 -1.9 0.6 0.9 0.7 0.9

Aug.

0.0 -0.1 0.0 -0.3 -0.7 0.2 -1.6 -2.7 -0.1 0.0 0.1 0.0

Sept.

-0.1 -0.1 0.0 0.3 0.7 -0.2 -0.6 -1.0 -0.1 -0.4 -0.8 0.1

Oct.

0.0 -0.5 0.4 -0.3 -0.8 0.2 -2.3 -4.5 0.6 -0.9 -1.8 0.4

Nov.

-0.3 -0.5 0.0 -0.3 -0.8 0.2 -1.3 -2.3 -0.1 -1.5 -2.4 -0.3

Dec.

-0.4 -1.0 0.3 -1.9 -3.3 -0.2 -2.3 -4.4 0.2 -1.4 -3.2 1.1

2015

Jan.

-0.5 -1.2 0.3 -2.4 -4.5 0.2 -4.3 -9.0 -0.2 -2.8 -5.0 0.2

Feb.(1)

-0.3 -0.4 -0.2 -1.3 -2.2 -0.3 -0.4 -0.9 0.0 -1.4 -1.9 -0.7

Mar.(1)

0.1 -0.2 0.5 0.2 0.2 0.2 -0.4 -0.8 -0.1 -0.2 -0.4 0.2

Apr.

-0.2 -0.6 0.2 -0.5 -1.1 0.3 0.1 -0.2 0.6 -0.7 -1.7 0.6

May

0.2 0.6 -0.2 1.2 2.3 -0.2 0.8 2.2 -0.4 0.6 1.4 -0.6

June

0.4 0.5 0.3 0.7 1.2 0.2 0.5 0.6 0.4 0.7 1.0 0.3

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for February 2015 have been revised to reflect the availability of late reports and corrections by respondents.

_____________
The Producer Price Index for July 2015 is scheduled to be released on Friday, August 14, 2015 
at 8:30 a.m. (EDT).


                                               *****

                                      Resampling of Industries

Effective with the release of data for June 2015, the Producer Price Index (PPI) includes data for 29 
resampled industries classified according to the 2012 North American Industry Classification System 
(NAICS). The Bureau of Labor Statistics periodically updates the sample of producers providing data for 
the PPI to reflect current conditions more accurately when the structure, membership, technology, or 
product mix of an industry shifts. The first results of this systematic process were published in July 1986, 
with subsequent efforts having been completed at semi-annual intervals through January 2015.  Effective 
with this release, PPI will update samples on a tri-annual basis, coinciding with the release of data for 
February, June, and October (in March, July, and November, respectively). This accelerated approach to 
replacing industry samples results in indexes that better represent current industry production and 
improves data quality.

For information on specific index additions, deletions, and recodes effective this month, see the June 2015 
issue of the PPI Detailed Report online at www.bls.gov/ppi/ppidr201506.pdf, or contact the PPI's 
Section of Index Analysis and Public Information at ppi-info@bls.gov or (202) 691-7705.

NAICS
Code                    Industry
212113        Anthracite mining
212311        Dimension stone mining and quarrying
212319        Other crushed and broken stone mining
311225        Fats and oils refining and blending
311351        Chocolate and confectionery manufacturing from cacao
311930        Flavoring syrup and concentrate manufacturing
312111        Soft drink manufacturing
314120        Curtain and linen mills
316998        All other leather and allied good manufacturing
324110        Petroleum refineries
324121        Asphalt paving mixture and block manufacturing
324199        All other petroleum and coal products manufacturing
325991        Custom compounding of purchased resins
327120        Clay building material and refractories manufacturing
327310        Cement manufacturing
327999        Miscellaneous nonmetallic mineral products manufacturing
332721        Precision turned product manufacturing
332999        Miscellaneous fabricated metal product manufacturing
334413        Semiconductors and related device manufacturing
335129        Other lighting equipment manufacturing
335311        Electric power and specialty transformer manufacturing
335999        Miscellaneous electrical equipment manufacturing
336320        Motor vehicle electrical and electronic equipment manufacturing
336413        Other aircraft parts and equipment manufacturing
337124        Metal household furniture manufacturing
443141        Household appliance stores
448100        Clothing stores*
482111        Line-haul railroads
488320        Marine cargo handling

* This code combines data formerly included under NAICS 448110, 448120, and 448140.



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Last Modified Date: July 15, 2015