Washington, DC, July 15—-The producer price index for June was unchanged despite higher energy prices, as the core rate fell 0.2%, according to the a Labor Department report.
Economists had forecast a 0.4% increase in the overall index and a 0.4% rise in the core index.
In May the index dropped 0.6% and the core index rose 0.1%.
Despite the mild reading in June, inflation accelerated on a year-over-year basis to 3.6% from 3.5% a month earlier. Yearly inflation peaked at 5% in November. The core PPI is up 2.2% year-over-year.
Prices of intermediate goods destined for further processing increased 0.1%, with core intermediate prices falling 0.8%.
The core intermediate PPI is up 4.9% in the past year, having peaked at 8.5% in January.
Prices of crude goods fell 3.3%. Prices of iron and steel scrap fell 19.9%, the biggest drop in 31 years, Crude energy prices fell 3.1% despite a 5.5% rise in crude petroleum prices.
At the finished goods level, energy prices rose 2%, including an 8.7% rise in wholesale gasoline prices, the most since October.
Finished foods prices fell 1.1%, with large declines in beef, pork and seafood offsetting a large increase in vegetable prices.
Prices of finished consumer goods other than food and energy fell 0.1%. Auto prices fell 1% while light truck prices dropped 1.7%.
Prices of finished capital goods fell 0.2% in June.
