Keeping an eye on the 10-year yield. (and all that flows from it)
From the Bureau of Labor Statistics:
8:30 a.m. (ET), Tuesday, August 11, 2020
PRODUCER PRICE INDEXES - JULY 2020 The Producer Price Index for final demand increased 0.6 percent in July, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today. This rise followed a 0.2-percent decline in June and a 0.4-percent advance in May. (See table A.) The July increase is the largest rise since a 0.7- percent advance in October 2018. On an unadjusted basis, the final demand index moved down 0.4 percent for the 12 months ended in July. In July, the advance in the final demand index was led by a 0.5-percent rise in prices for final demand services. The index for final demand goods also moved higher, increasing 0.8 percent. Prices for final demand less foods, energy, and trade services advanced 0.3 percent in July, the same as in June. For the 12 months ended in July, the index for final demand less foods, energy, and trade services edged up 0.1 percent, following three straight 12-month declines. Final Demand Final demand services: The index for final demand services moved up 0.5 percent in July, the largest advance since climbing 0.5 percent in April 2019. In July, about 60 percent of the rise can be traced to a 0.4-percent increase in prices for final demand services less trade, transportation, and warehousing. Margins for final demand trade services also moved higher, advancing 0.8 percent. (Trade indexes measure changes in margins received by wholesalers and retailers.) In contrast, prices for final demand transportation and warehousing services fell 0.8 percent. Product detail: In July, a 7.8-percent rise in the index for portfolio management was a major factor in the advance in prices for final demand services. The indexes for machinery and vehicle wholesaling, automobiles and automobile parts retailing, long-distance motor carrying, legal services, and machinery and equipment parts and supplies wholesaling also moved higher. Conversely, prices for airline passenger services decreased 7.0 percent. The indexes for automotive fuels and lubricants retailing and for guestroom rental also declined. (See table 4.) Final demand goods: The index for final demand goods rose 0.8 percent in July, the third consecutive advance. Leading the July increase, prices for final demand energy climbed 5.3 percent. The index for final demand goods less foods and energy moved up 0.3 percent. In contrast, prices for final demand foods declined 0.5 percent....
....MUCH MORE
