Infla­tion unex­pect­ed­ly rose to 2.7% in June in pro­duc­er price index

Infla­tion as mea­sured by the pro­duc­er price index rose to 2.7% for the year end­ing in June, the Bureau of Labor Sta­tis­tics report­ed Fri­day, some bad news for the Fed­er­al Reserve and Pres­i­dent Joe Biden.
Econ­o­mists had fore­cast a slight rise in infla­tion from 2.2% in May.
On a month-to-month basis, the pro­duc­er price index increased by 0.2 per­cent­age points, more than expect­ed.
The pro­duc­er price index report was pre­ced­ed by a con­sumer price index update Thurs­day that showed infla­tion eas­ing to 3%, the third straight CPI report show­ing infla­tion falling. The pro­duc­er price index, which mea­sures prices received by busi­ness­es and sup­pli­ers for their goods and ser­vices, is not as wide­ly known as the CPI. But econ­o­mists watch it …