The Digester

Producer prices rise 0.5% in January as services climb and gasoline drags goods

Feb 27th 2026

The Bureau of Labor Statistics reports the Producer Price Index for final demand rose 0.5% in January 2026 as services strengthened and gasoline led a decline in goods, with core inflation measures also ticking up.

  • Final demand PPI rose 0.5% in January and was up 2.9% over the past 12 months, unadjusted.
  • Final demand services led the increase with a 0.8% gain while final demand goods fell 0.3%.
  • Trade margins were a major driver, including a 14.4% jump in professional and commercial equipment wholesaling margins.
  • Gasoline pushed the goods decline, falling 5.5%, and final demand energy dropped 2.7% in January.
  • Core final demand excluding foods, energy, and trade services increased 0.3% for the month and 3.4% year over year.
  • BLS recalculated seasonal adjustment factors and updated FD-ID weight allocations, and said a prior federal shutdown delayed some data requests though January response rates were within the normal range.

Sources

bls.gov