PPI comes in hot on energy but still below expectations.

PPI heats up a lot, but much less than expected.

• On a 12-month basis, headline PPI jumped to +4.0% YoY, significantly up from 3.4% last month, and the hottest reading since February 2023, but still below market expectations of 4.6%.
• The Producer Price Index for final demand surged +0.5% in March 2026, matching February but also significantly below the +1.1% consensus forecast.
• Core PPI (ex-food, energy & trade services) rose a milder +0.2% MoM, holding the annual rate at 3.6%.

The data point to pipeline pressures from external energy shocks as wholesale inflation heats up, albeit slower than initially feared.

Even though PPI grew mainly due to more volatile and likely temporary energy shocks it still reinforces the risk of stickier consumer inflation and the Fed's higher-for-longer stance on interest rates, as PPI (Producer Price Index) usually feeds into the CPI (Consumer Price Index) down the line.

Energy-driven inflation is reaccelerating according to the BLS Producer Price Index (PPI). Especially around goods.

• Final demand goods exploded +1.6% MoM (the biggest gain since August 2023), almost entirely fueled by an +8.5% spike in energy prices amid ongoing geopolitical tensions.
• Services remained flat.

With real-time Truflation data you can see the exact moment those consumer prices will seep into the consumer price index, and at least 41 days ahead of the BLS CPI.