Thu, 14 Aug 2025

Thu, 14 Aug 2025 US wholesale prices jump in July as tariffs hit

US producers raised prices at the fastest pace in more than three years last month, stoking concerns about higher prices for consumers.

* US producer prices rose by 0.9% last month, the largest increase in over three years
* This was much higher than the expected 0.2% rise and is likely to lead to higher prices for consumers
* The jump in producer prices has renewed concerns about inflation in the months ahead
* Economists warn that expanding production in the US will be costly and difficult due to new tariffs introduced by President Trump
* Higher inflation could complicate calls for the Federal Reserve to lower interest rates, despite recent weak job growth
* Wholesale prices of goods jumped 0.7% from June to July, with nearly half of this increase coming from higher food prices
* Categories heavily exposed to tariffs, such as home furniture and apparel, also saw price increases
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