Following a 0.4% decline in July, inflation in prices received by producers remained steady during the month of July, according to the latest Producer Price Index (PPI) release by the Bureau of Labor Statistics. Eye on Housing's David Logan takes a look at this index which shows that building material prices saw gains which contrasts other data seen in the index, with oriented strand board (OSB) rising by 1.5%.
He also notes the mixed signals put out by the index:
Services prices were kept steady by opposing forces from services less trade, transportation, and warehousing (which increased 0.5%) and trade services (which fell 0.6%). This marked the second consecutive month that the trade index fell and a cumulative two-month decline of nearly 2%. The product detail showed a net decline in prices for real estate services of roughly 3% in August.