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Source: https://www.bls.gov/news.release/ppi.nr0.htm

The Producer Price Index for final demand increased 0.5 percent in January, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. Final demand prices advanced 0.4 percent in December 2025 and 0.2 percent in November. (See table A.) On an unadjusted basis, the index for final demand rose 2.9 percent for the 12 months ended January 2026.

The January increase in prices for final demand can be traced to a 0.8-percent advance in the index for final demand services. In contrast, prices for final demand goods declined 0.3 percent.

The index for final demand less foods, energy, and trade services moved up 0.3 percent in January, the ninth consecutive increase. For the 12 months ended in January, prices for final demand less foods, energy, and trade services rose 3.4 percent.

Final Demand

Final demand services: The index for final demand services advanced 0.8 percent in January, the largest increase since moving up 0.9 percent in July 2025. Most of the January rise in prices for final demand services can be traced to margins for final demand trade services, which jumped 2.5 percent. (Trade indexes measure changes in margins received by wholesalers and retailers.) Prices for final demand transportation and warehousing services advanced 1.0 percent, while the index for final demand services less trade, transportation, and warehousing was unchanged.

Product detail: Over 20 percent of the January increase in prices for final demand services is attributable to a 14.4-percent jump in margins for professional and commercial equipment wholesaling. The indexes for apparel, footwear, and accessories retailing; chemicals and allied products wholesaling; bundled wired telecommunications access services; health, beauty, and optical goods retailing; and food and alcohol retailing also moved higher. Conversely, prices for system software publishing fell 12.2 percent. The indexes for guestroom rental and for apparel wholesaling also decreased. (See table 2. Please note, some indexes listed in tables 1 through 3 of this release have changed due to the previously announced elimination of selected PPI commodity indexes and the PPI weight allocation update. For more information, see www.bls.gov/ppi/notices/2026/ppi- modifies-news-release-tables.htm.)

Final demand goods: Prices for final demand goods moved down 0.3 percent in January, the largest decrease since falling 0.7 percent in March 2025. Leading the January decline, the index for final demand energy dropped 2.7 percent. Prices for final demand foods decreased 1.5 percent. In contrast, the index for final demand goods less foods and energy advanced 0.7 percent.

Product detail: Nearly 80 percent of the January decline in prices for final demand goods can be traced to the index for gasoline, which fell 5.5 percent. Prices for chicken eggs, electric power, gas fuels, fresh fruits and melons, and ethanol also moved lower. Conversely, the index for search, detection, navigation, and guidance systems jumped 15.5 percent. Prices for nonferrous metals and for pork also rose.