CNN: Annual Wholesale Inflation Rises to 6.5%, Highest Level Since Nov. 2022; Was at 3.4 Before the Iran War

EXCERPT:

EGAN: "Now, when we look at the annual trend for producer prices, on the left side of the screen, you can see that spike. That was from four years ago. That was the historic inflation crisis coming down. But now look at this going in the wrong direction. The yellow line shows the 10-year average. And you can see that the 10-year average is just under 4%, and we are well above that. And a lot of this undoing of progress on inflation, the spike in prices, has really taken place since the Iran war started. So, just for some context, this metric for annual inflation was at 3.4% back in February, before the Iran war started. Now it‘s at 6.5%, so it‘s almost doubled since the war started. And when we look at some of the things that are getting more expensive, you can see the fingerprints from the Iran war. Look at gasoline, 76% over the past year. That‘s huge. Diesel more than doubling, 115%. That‘s huge for farmers and truckers and really everyone in this economy. Home heating oil, also more than doubling. That is a very common way to heat homes, especially in New England and other places in the northeast. And then relatedly, with diesel, you see truck based freight significantly more expensive. Fertilizer, we‘re going to see that play out at the grocery store as well. And then you can also see the fingerprints of the AI boom, because computers and equipment increasing dramatically in price there. So you put it together, this report comes after a worse than expected consumer price report earlier this week. And this is going to keep the pressure on the Federal Reserve as they meet next week and decide whether or not to once again raise interest rates."