Business inflation in May surged to its highest level since late 2022, as high fuel prices triggered by the war with Iran ripple across the U.S. economy.
New data released Thursday showed that from April to May, the producer price index saw a 1.1% month-over-month rise.
Even more notably, it rose to 6.5% from the same period a year ago.
The year-over-year reading was “the largest 12-month rise since moving up 7.4% in November 2022,” the Bureau of Labor Statistics said in a statement.
The data comes one day after the consumer price index showed that overall inflation rose in May to its highest level since early 2023.
Core PPI, which excludes food and energy costs, rose to 4.9% annually.