There was a significant shift in inflation between November, 2008 and November, 2009. The Producer Price Index for Finished Goods rose 1.8% last month--a year ago it dropped 2.7%. Here's the 12-month trend for the seasonally-adjusted PPI from the Bureau of Labor Statistics:

Here are the headlines from the BLS report on Finished Goods:
About three-fourths of the November advance in the finished goods index can be traced to higher prices for energy goods, which jumped 6.9 percent. The indexes for finished goods less foods and energy and for finished consumer foods also contributed to the finished goods increase, both rising 0.5 percent.
Finished energy: The index for finished energy goods climbed 6.9 percent in November after advancing 1.6 percent a month earlier. About sixty percent of the broad-based November rise can be attributed to a 14.2-percent surge in gasoline prices. Increases in the indexes for liquefied petroleum gas and home heating oil also were major factors in the finished energy goods advance.
Finished core: The index for finished goods less foods and energy moved up 0.5 percent in November, its largest increase since a 0.5-percent gain in October 2008. Leading the November advance, the index for light motor trucks jumped 4.2 percent. Higher cigarette prices also contributed to the rise in the finished core index.
Finished foods: The index for finished consumer foods advanced 0.5 percent in November, its second consecutive monthly increase. Over sixty percent of the November rise can be traced to higher prices for fresh and dry vegetables, which climbed 8.7 percent.
The percentage change for the price of Intermediate Goods, seasonally adjusted, was 1.4%--that figure had dropped 4.8% in November of last year. Prices for Crude Goods, seasonally adjusted, rose 5.7%, after dropping 13.1% a year ago. Read the full report here.
Posted
12-15-2009 10:42 AM
by
Graham Griffith