U.S. — Goods prices decreased 0.7% in July 2026, while services prices increased 0.2% during the same period. Energy prices decreased 3.1% in July 2026, driven in part by a 5.7% fall in wholesale gasoline prices. Food prices declined 0.9% in July 2026.

Within the services category, portfolio management fees increased 6.5%, and hospital outpatient prices increased 0.9%. Airline fares decreased 3.4%, and hotel and motel room prices fell 0.2%.

Timeline

On June 30, 2026, the June 2026 Producer Price Index was revised to a 0.1% decrease from a previously reported 0.3% decrease. On July 31, 2026, the core Producer Price Index, excluding food and energy, rose 0.2% in July 2026. Also on July 31, 2026, the Producer Price Index for final demand was unchanged in July 2026.

The Producer Price Index rose 4.7% in the 12 months ended July 2026. The annual Producer Price Index increase of 4.7% in July 2026 was down from a 5.5% increase in June 2026. Wholesale gasoline prices fell 5.7% in July 2026. Energy prices decreased 3.1% in July 2026. Food prices declined 0.9% in July 2026.

What's New

The U.S. Producer Price Index (PPI) has been published by the Bureau of Labor Statistics (BLS) since 1901, with the final demand index tracking inflation at the wholesale level for goods and services. In June 2026, the PPI fell 0.3%, marking the largest decline since April 2025, following a revised 0.1% decrease in May and a 1.1% increase in April, indicating volatility in wholesale price trends. Prices for goods excluding food and energy edged up 0.1 percent (vs 0.2%). The annual core PPI (excluding food and energy) dropped to 4.2% in July 2026, the lowest rate since March 2026, reflecting easing inflation pressures in non-volatile sectors. Economists had forecast the Producer Price Index would rise 0.2% in July 2026. Economists had forecast the annual Producer Price Index would slow to 4.9% in July 2026. The June 2026 Producer Price Index was revised to a 0.1% decrease from a previously reported 0.3% decrease. Wholesale gasoline prices fell 5.7% in July 2026.

How Sources Differ

Sources presented differing figures regarding the revised decrease price. The bls.gov source stated that in June 2026, the PPI fell 0.3%, marking the largest decline since April 2025, following a revised 0.1% decrease in May and a 1.1% increase in April, indicating volatility in wholesale price trends. The Bureau of Labor Statistics Producer Price Index report, July 2026, stated that the June 2026 Producer Price Index was revised to a 0.1% decrease from a previously reported 0.3% decrease.

Regarding metrics excluding food and energy, desk_web reported that prices for goods excluding food and energy edged up 0.1 percent (vs 0.2%). The bls.gov source stated that the annual core PPI (excluding food and energy) dropped to 4.2% in July 2026, the lowest rate since March 2026, reflecting easing inflation pressures in non-volatile sectors. Additionally, desk_web reported that prices for goods excluding food and energy edged up 0.1 percent (vs 0.2%), while the Bureau of Labor Statistics Producer Price Index report, July 2026, stated that the core Producer Price Index, excluding food and energy, rose 0.2% in July 2026.

On the topic of core excluding food and energy, bls.gov stated that the annual core PPI (excluding food and energy) dropped to 4.2% in July 2026, the lowest rate since March 2026, reflecting easing inflation pressures in non-volatile sectors. The Bureau of Labor Statistics Producer Price Index report, July 2026, stated that the core Producer Price Index, excluding food and energy, rose 0.2% in July 2026. Regarding the annual core dropped metric, bls.gov stated that the annual core PPI (excluding food and energy) dropped to 4.2% in July 2026, the lowest rate since March 2026, reflecting easing inflation pressures in non-volatile sectors. The Bureau of Labor Statistics Producer Price Index report, July 2026, stated that the annual core Producer Price Index dropped to 4.2% in July 2026, down from 4.7% in June 2026.

Concerning the producer price index, the Bureau of Labor Statistics Producer Price Index report, July 2026, stated that the core Producer Price Index, excluding food and energy, rose 0.2% in July 2026. FactSet consensus estimates stated that economists had forecast the annual Producer Price Index would slow to 4.9% in July 2026. Regarding economists forecast producer price index, the Reuters economist survey stated that economists had forecast the Producer Price Index would rise 0.2% in July 2026. FactSet consensus estimates stated that economists had forecast the annual Producer Price Index would slow to 4.9% in July 2026. Finally, on the producer price index, the Reuters economist survey stated that economists had forecast the Producer Price Index would rise 0.2% in July 2026, while the Bureau of Labor Statistics Producer Price Index report, July 2026, stated that the Producer Price Index rose 4.7% in the 12 months ended July 2026.

Why It Matters

The divergence between the unchanged headline PPI and the rising core PPI presents questions about how Federal Reserve policy decisions may be influenced. The volatility seen in April through June, where the index fluctuated between increases and decreases, raises questions about whether this pattern will persist into the second half of 2026.