US PPI rises less than expected in July

The US producer price index rose less than expected in July as a decline in services prices offset a rise in goods prices, suggesting that inflation is continuing to slow.

The US Labor Department’s Bureau of Labor Statistics said on Tuesday that the producer price index for final demand rose 0.1% last month after rising 0.2% in June on an unrevised basis. Economists polled by Reuters had forecast the index rising 0.2%.

The index rose 2.2% in the 12 months through July after rising 2.7% in June.