Producer Price Index Rises 1.1% on Oil Surge

Washington, DC, October 12, 2007--Producer prices rose 1.1% in September on rebounding energy prices, according to the Labor Department. The core index, which excludes food and energy rose 0.1%.

Economists had forecast an increase of 0.2% in both the PPI and the core index.

It was the largest gain in producer prices since February, when they were up 1.2%.

Energy prices were up 4.1% in September, with gasoline prices rising by 8.4%, the biggest gain since March.

Food prices rose 1.5% during the month.