Producer Prices Surge, Sparking Fears of Inflationary Rebound

Producer prices ran hotter than expected for the second straight month, fueled by an increase in energy costs, serving as a reminder that the inflation fight may be far from over. In February, the Producer Price Index (PPI), a measurement of the amount received by producers for goods, surged 0.6 percent, up from 0.3 percent in the previous month, according to the Bureau of Labor Statistics (BLS). The consensus estimate was 0.3 percent. Core wholesale prices, excluding volatile energy and food components, rose 0.3 percent, down from 0.5 percent. This was also slightly higher than the market forecast of 0.2 percent. The PPI rose to a much higher-than-expected 1.6 percent year over year, while the core PPI was unchanged at 2 percent year over year....