Introduction to New Producer Price Series

Starting in 2014, the Bureau of Labor Statistics completely revamped its release of the producer price report.  Not only are goods covered but also services and construction.  By definition, final demand includes goods, services, and construction which are sold for personal consumption, capital investment, government purchases, and export.  The headline numbers for the PPI report are producer prices for final demand, producer prices for final demand excluding food & energy, and producer prices for final demand excluding food, energy & trade services.  Prices will increase or decrease at earlier stages of production before consumers pay more (less) for finished goods and services. Changes in prices of food and energy products tend to overshadow changes in prices of other goods and services.  The new PPI series are available historically at the most for a few years and for some series close to a year.