EconomyProducer Price Index

Producer Price Index News Release summary – 2023 M10 Results – TheFinanceHeadline

Producer Price Index News Release summary

Transmission of material in this release is embargoed until                          USDL 23-2423
8:30 a.m. (ET) Wednesday, November 15, 2023
Technical information:      (202) 691-7705  *  ppi-info@bls.gov  *  www.bls.gov/ppi
Media contact:              (202) 691-5902  *  PressOffice@bls.gov   

                           PRODUCER PRICE INDEXES - OCTOBER 2023

The Producer Price Index for final demand fell 0.5 percent in October, seasonally adjusted, after 
advancing 0.4 percent in September, the U.S. Bureau of Labor Statistics reported today. (See 
table A.) The October decline is the largest decrease in final demand prices since a 1.2-percent 
drop in April 2020. On an unadjusted basis, the index for final demand rose 1.3 percent for the 
12 months ended in October. 
In October, the index for final demand goods fell 1.4 percent. Prices for final demand services 
were unchanged.
The index for final demand less foods, energy, and trade services advanced 0.1 percent in 
October, the fifth consecutive rise. For the 12 months ended in October, prices for final demand 
less foods, energy, and trade services moved up 2.9 percent.
Final Demand
Final demand goods: Prices for final demand goods moved down 1.4 percent in October, the first 
decrease since falling 1.5 percent in May. A major factor in the October decline was the index for 
final demand energy, which dropped 6.5 percent. Prices for final demand foods fell 0.2 percent. 
Conversely, the index for final demand goods less foods and energy edged up 0.1 percent. 
Product detail: Over 80 percent of the October decline in the index for final demand goods is 
attributable to a 15.3-percent drop in prices for gasoline. The indexes for diesel fuel; hay, hayseeds, 
and oilseeds; home heating oil; liquefied petroleum gas; and light motor trucks also fell. (In 
accordance with usual practice, most new-model-year passenger cars and light motor trucks were 
introduced into the PPI in October. See Report on Quality Changes for 2024 Model Vehicles at 
www.bls.gov/web/ppi/ppimotveh.htm.) In contrast, prices for tobacco products increased 2.4 percent. 
The indexes for butter and for residual fuels also moved up. (See table 2.)
Final demand services: Prices for final demand services were unchanged in October following six 
consecutive advances. In October, increases of 1.5 percent in the index for final demand 
transportation and warehousing services and 0.1 percent in prices for final demand services less 
trade, transportation, and warehousing offset a 0.7-percent decline in margins for final demand trade 
services. (Trade indexes measure changes in margins received by wholesalers and retailers.)
Product detail: Within the index for final demand services in October, prices for airline passenger 
services rose 3.1 percent. The indexes for chemicals and allied products wholesaling, inpatient care, 
outpatient care (partial), and truck transportation of freight also increased. Conversely, margins for 
machinery and vehicle wholesaling declined 2.9 percent. The indexes for apparel, footwear, and 
accessories retailing; portfolio management; traveler accommodation services; and health, beauty, 
and optical goods retailing also fell. 

Table A. Monthly and 12-month percent changes in selected final demand price indexes, seasonally adjusted
MonthTotal
final
demand
Final
demand
less
foods,
energy,
and
trade
Final demand goodsFinal demand servicesChange
in final
demand
from 12
months
ago
(unadj.)
Change
in final
demand
less
foods,
energy,
and
trade
from 12
mo. ago
(unadj.)
TotalFoodsEnergyLess
foods
and
energy
TotalTradeTransportation
and
warehousing
Other

2022

Oct.

0.30.20.40.71.50.00.20.20.00.28.25.5

Nov.

0.40.40.33.3-2.30.30.40.5-0.40.57.44.9

Dec.

-0.30.2-1.4-0.9-6.30.10.20.30.00.26.44.7

2023

Jan.

0.40.51.3-1.35.40.60.0-0.8-0.50.55.74.4

Feb.

0.00.3-0.4-2.3-0.80.30.2-0.2-0.80.44.74.5

Mar.

-0.40.1-1.10.2-6.10.2-0.1-0.6-0.70.22.73.7

Apr.

0.20.20.1-0.40.70.10.20.4-2.50.52.33.4

May

-0.30.0-1.5-1.0-6.90.10.20.8-0.50.01.12.9

June(1)

0.10.30.0-0.30.8-0.20.1-0.70.00.50.32.9

July(1)

0.60.30.30.40.80.00.81.60.30.61.23.0

Aug.(1)

0.80.21.9-0.310.20.10.30.3-0.10.32.13.0

Sept.(1)

0.40.30.80.73.10.20.2-0.10.20.32.23.0

Oct.

-0.50.1-1.4-0.2-6.50.10.0-0.71.50.11.32.9

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for June 2023 through September 2023 have been revised to reflect the availability of late reports and corrections by respondents.

Intermediate Demand by Commodity Type
Within intermediate demand in October, prices for processed goods fell 0.9 percent, the index for 
unprocessed goods declined 1.4 percent, and prices for services were unchanged. (See tables B and 
C.)
Processed goods for intermediate demand: Prices for processed goods for intermediate demand 
moved down 0.9 percent in October, the largest decrease since falling 1.6 percent in May. Leading 
the October decline, the index for processed energy goods dropped 4.3 percent. Prices for processed 
foods and feeds decreased 0.4 percent. In contrast, the index for processed materials less foods and 
energy advanced 0.1 percent. For the 12 months ended in October, prices for processed goods for 
intermediate demand fell 4.5 percent.
Product detail: Over 70 percent of the October decline in prices for processed goods for intermediate 
demand can be traced to a 12.0-percent drop in the index for diesel fuel. Prices for gasoline, prepared 
animal feeds, plastic resins and materials, liquified petroleum gas, and building paper and board also 
moved lower. Conversely, the index for primary basic organic chemicals increased 13.0 percent. 
Prices for commercial electric power and for meats also moved higher.
Unprocessed goods for intermediate demand: The index for unprocessed goods for intermediate 
demand fell 1.4 percent in October, the largest decline since dropping 5.2 percent in May. The broad-
based October decrease was led by prices for unprocessed foodstuffs and feedstuffs, which moved 
down 3.1 percent. The indexes for unprocessed energy materials and for unprocessed nonfood 
materials less energy also fell, 0.3 percent and 0.4 percent, respectively. For the 12 months ended in 
October, prices for unprocessed goods for intermediate demand decreased 14.0 percent.
Product detail: A major factor in the October decrease in prices for unprocessed goods for 
intermediate demand was the index for slaughter poultry, which fell 4.9 percent. Prices for crude 
petroleum; slaughter hogs; hay, hayseeds, and oilseeds; corn; and copper base scrap also moved 
lower. In contrast, the index for natural gas increased 10.9 percent. Prices for recyclable paper and 
for slaughter cows and bulls also rose. 

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

2022

Oct.

-0.2-0.21.5-0.810.1-9.7-0.7-18.1-4.19.3

Nov.

-0.50.8-1.9-0.27.6-3.10.0-6.7-0.73.5

Dec.

-2.5-0.6-9.8-0.44.81.5-0.25.2-1.710.7

2023

Jan.

1.10.24.90.13.9-4.7-5.8-7.02.12.8

Feb.

-0.4-2.1-1.60.22.1-4.9-1.0-10.90.3-10.4

Mar.

-1.0-0.2-3.9-0.2-1.0-4.7-0.7-11.1-0.9-16.8

Apr.

-0.5-1.1-2.90.2-3.41.1-1.53.71.8-20.3

May

-1.6-1.8-7.0-0.1-7.2-5.2-4.6-8.0-2.1-28.2

June(1)

-0.5-1.2-0.5-0.4-9.4-1.01.0-2.8-1.6-32.1

July(1)

-0.31.1-0.1-0.6-7.62.4-0.810.1-3.1-24.0

Aug.(1)

2.20.811.8-0.2-4.42.20.15.80.0-26.2

Sept.(1)

0.50.82.30.0-3.83.72.37.6-0.6-21.3

Oct.

-0.9-0.4-4.30.1-4.5-1.4-3.1-0.3-0.4-14.0

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for June 2023 through September 2023 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 was unchanged 
in both October and September. In October, increases of 0.9 percent in margins for trade services for 
intermediate demand and 0.7 percent in prices for transportation and warehousing services for 
intermediate demand offset a 0.3-percent decrease in the index for services less trade, transportation, 
and warehousing for intermediate demand. For the 12 months ended in October, prices for services 
for intermediate demand advanced 3.5 percent.
Product detail: Within the index for services for intermediate demand in October, margins for 
chemicals and allied products wholesaling rose 6.7 percent. The indexes for business loans (partial); 
metals, minerals, and ores wholesaling; legal services; and airline passenger services also moved 
higher. Conversely, prices for gross rents for retail properties fell 7.0 percent. The indexes for 
securities brokerage, dealing, investment advice, and related services; portfolio management; food 
wholesaling; and deep-sea water transportation of freight also decreased.

Table C. Monthly and 12-month percent changes in selected intermediate demand price indexes for services by commodity type, seasonally adjusted
MonthServices for intermediate demand
TotalTradeTransportation
and
warehousing
OtherTotal, change
from 12 months
ago (unadj.)

2022

Oct.

0.40.00.60.56.7

Nov.

0.80.9-1.31.26.9

Dec.

0.0-1.30.00.46.0

2023

Jan.

1.00.80.51.16.3

Feb.

0.3-0.70.00.76.2

Mar.

-0.30.9-1.0-0.54.5

Apr.

0.70.8-1.11.04.4

May

0.2-0.3-0.30.43.9

June(1)

0.1-0.8-0.10.44.4

July(1)

0.62.10.90.24.8

Aug.(1)

0.1-0.2-0.60.34.5

Sept.(1)

0.0-0.50.50.14.0

Oct.

0.00.90.7-0.33.5

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for June 2023 through September 2023 have been revised to reflect the availability of late reports and corrections by respondents.

Intermediate Demand by Production Flow
Stage 4 intermediate demand: Prices for stage 4 intermediate demand decreased 0.3 percent in 
October, the largest decline since falling 0.3 percent in March. In October, the index for total goods 
inputs to stage 4 intermediate demand dropped 0.4 percent, and prices for total services inputs moved 
down 0.3 percent. (See table D.) Decreases in the indexes for gasoline; gross rents for retail 
properties; securities brokerage, dealing, investment advice, and related services; portfolio 
management; diesel fuel; and food wholesaling outweighed increases in the indexes for chemicals 
and allied products wholesaling, architectural and engineering services, and fabricated structural 
metal. For the 12 months ended in October, prices for stage 4 intermediate demand rose 1.9 percent.
Stage 3 intermediate demand: The index for stage 3 intermediate demand declined 0.5 percent in 
October, the largest decrease since falling 1.4 percent in May. In October, prices for total goods 
inputs to stage 3 intermediate demand dropped 1.7 percent. In contrast, the index for total services 
inputs advanced 0.5 percent. Lower prices for diesel fuel, gasoline, slaughter poultry, slaughter hogs, 
steel mill products, and gross rents for retail properties outweighed increases in the indexes for cable 
network advertising time sales, primary basic organic chemicals, and chemicals and allied products 
wholesaling. For the 12 months ended in October, prices for stage 3 intermediate demand declined 
4.1 percent, the eighth straight 12-month decrease.
Stage 2 intermediate demand: Prices for stage 2 intermediate demand edged down 0.1 percent in 
October following three consecutive advances. In October, the index for total goods inputs to stage 2 
intermediate demand fell 0.5 percent. Conversely, prices for total services inputs rose 0.2 percent. 
Decreases in the indexes for crude petroleum, oilseeds, liquefied petroleum gas, food wholesaling, 
and prepared animal feeds outweighed increases in the indexes for business loans (partial), natural 
gas, primary basic organic chemicals, and chemicals and allied products wholesaling. For the 12 
months ended in October, prices for stage 2 intermediate demand fell 2.7 percent.
Stage 1 intermediate demand: The index for stage 1 intermediate demand moved down 0.4 percent 
in October, the largest decrease since dropping 1.0 percent in May. In October, prices for total goods 
inputs to stage 1 intermediate demand fell 0.7 percent, and the index for total services inputs declined 
0.2 percent. Lower prices for diesel fuel; gasoline; gross rents for retail properties; securities 
brokerage, dealing, investment advice, and related services; traveler accommodation services; and 
steel mill products outweighed increases in the indexes for primary basic organic chemicals, 
chemicals and allied products wholesaling, and airline passenger services. For the 12 months ended 
in October, prices for stage 1 intermediate demand fell 1.5 percent, the seventh consecutive 12-month 
decrease.

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

2022

Oct.

0.1-0.10.2-0.1-0.60.5-4.7-9.80.80.1-0.20.4

Nov.

0.4-0.21.0-0.4-1.10.3-1.0-2.90.80.1-0.60.9

Dec.

-0.4-0.70.0-2.0-3.80.01.01.50.6-1.8-3.0-0.4

2023

Jan.

1.00.81.20.2-0.50.9-0.9-2.90.90.70.80.7

Feb.

0.0-0.10.2-0.2-0.60.1-1.4-4.61.2-0.3-0.4-0.2

Mar.

-0.3-0.5-0.1-0.7-1.1-0.4-2.5-4.9-0.7-0.4-1.00.2

Apr.

0.3-0.20.7-0.2-1.20.70.91.20.7-0.1-0.70.5

May

-0.2-0.60.2-1.4-3.0-0.1-1.4-4.10.6-1.0-1.8-0.2

June(1)

0.00.00.1-0.1-0.1-0.2-1.0-2.2-0.2-0.1-0.60.3

July(1)

0.4-0.10.9-0.4-1.40.51.94.00.40.1-0.70.9

Aug.(1)

0.60.70.51.23.3-0.50.82.2-0.31.42.60.4

Sept.(1)

0.20.30.20.51.20.01.23.4-0.40.30.30.3

Oct.

-0.3-0.4-0.3-0.5-1.70.5-0.1-0.50.2-0.4-0.7-0.2

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for June 2023 through September 2023 have been revised to reflect the availability of late reports and corrections by respondents.

________________
The Producer Price Index for November 2023 is scheduled to be released on Wednesday, December 13, 2023, 
at 8:30 a.m. (ET).
                                                    *****
                                    Resampling of Industries - October 2023
Effective with the release of data for October 2023, the Producer Price Index (PPI) includes data 
for 6 resampled industries classified according to the 2022 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. Subsequent efforts have been completed at 
regular intervals.  
For information on index additions, deletions, and recodes effective October 2023, see the 
current issue of the PPI Detailed Report online at www.bls.gov/ppi/detailed-report/ppi-detailed-
report-october-2023.pdf, or contact the PPI Section of Index Analysis and Public Information at 
ppi-info@bls.gov or (202) 691-7705.
NAICS
Code                    Industry
311511        Fluid milk manufacturing
311812        Commercial bakeries
327213        Glass container manufacturing
331315        Aluminum sheet, plate, and foil manufacturing
331511        Iron foundries
333519        Rolling mill and other metalworking machinery manufacturing

                                                    *****
            Recalculated Seasonal Adjustment Factors and Relative Importance Figures to be 
                                     Available on February 14, 2024
Each year with the release of PPI data for January, seasonal adjustment factors and relative 
importance figures are recalculated to reflect price movements from the just-completed calendar 
year. The following information relating to the seasonal-factor update will be available on 
February 14, 2024 (2 workdays prior to the release of PPI data for January 2024 on February 16, 
2024):
*  Direct seasonal factors for PPI commodity indexes for the year 2024,
*  Recalculated seasonal factors for the last 5 years (2019-2023) for PPI commodity indexes, 
*  Recalculated seasonal factors for the last 5 years (2019-2023) for PPI Final Demand-
   Intermediate Demand indexes, 
*  Recalculated seasonal index data for the last 5 years (2019-2023) for Final Demand-
   Intermediate Demand and commodity indexes. This revision to seasonally adjusted indexes 
   for the previous 5 years will be posted to the PPI database on the BLS website. 
In addition, the following relative importance figure tables, which include values for December 
2023, will be available on February 14, 2024:  
*  Final demand by individual commodities
*  Final demand by component series
*  Individual commodities of intermediate demand by commodity type
*  Component series of intermediate demand by commodity type
*  Individual commodities of intermediate demand by production flow
*  Component series of intermediate demand by production flow
*  Commodities, all levels
*  Wherever-provided services and construction
This information will be available on the PPI website at www.bls.gov/ppi or by contacting the 
PPI Section of Index Analysis and Public Information at ppi-info@bls.gov or (202) 691-7705.

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