Gas Sends Wholesale Prices Up The Most In 3 Years

A sharp rise in gasoline costs drove up wholesale prices last month by the most since June 2009. But outside energy and food, price gains were mild.

The producer price index, which measures price changes before they reach the consumer, jumped 1.7 percent in August, the Labor Department said Thursday. The increase was mostly because gas prices soared 13.6 percent, the biggest gain in three years.

Food prices rose 0.9 percent, driven up by steep increases in the cost of eggs and dairy products.
Excluding the volatile food and gas categories, core wholesale prices rose only 0.2 percent, below July's increase.

In the past 12 months, wholesale prices have increased 2 percent, a mild gain and far below the recent peak of 7.1 percent in July 2011.

READ MORE:  http://www.npr.org/2012/09/13/161058446/gas-sends-wholesale-prices-up-the-most-in-3-years