Core producer inflation came in at 0.4%, below the 0.5% estimate, while both prior readings were revised lower.
U.S. producer inflation accelerated more than expected in May, with the Producer Price Index, or PPI (wholesale inflation measure), rising 1.1% month on month versus a 0.7% forecast. Core PPI, which strips out more volatile components, increased 0.4%, below the 0.5% estimate. The previous headline PPI reading was revised to 1.1% from 1.40%, and the prior core PPI reading was revised to 0.7% from 1.00%. The mix of a stronger headline reading and softer core figure may shape expectations for inflation trends and the interest-rate outlook.