Prices for crude foodstuffs and feedstuffs went down 2.1 percent in September, after falling 4.6 percent in the preceding month. The main cause of this index's movement was the slowing rate of decline in prices for soybeans -- which decreased 3.1 percent in September following a 35.5-percent decline in August. The indexes for fluid milk and corn also fell less than they did in the previous month, while prices for wheat and fresh fruits and melons turned up in September. By contrast, the index for slaughter broilers and fryers dropped 13.7 percent in September, following a 4.0-percent decline in the prior month. The indexes for fresh vegetables (except potatoes) and unprocessed finfish rose less than they did in August, and prices for slaughter cattle and slaughter hogs turned down in September. Prices for crude foodstuffs and feedstuffs decreased at a 37.5-percent seasonally adjusted annual rate for the three months ending in September 2004, compared with a 9.7-percent seasonally adjusted annual rate of increase in the preceding quarter.
Net output price indexes for mining, manufacturing, and services industries
Mining.
The Producer Price Index for the Net Output of Total Mining Industries declined 5.3 percent in September, following a 1.3-percent rise in August. (Net output price indexes are not seasonally adjusted.) Most of this downturn can be traced to prices received by the industry for natural gas liquid extraction, which fell 13.9 percent in September after advancing 2.2 percent in the preceding month. The industry indexes for crude petroleum and natural gas extraction and for potash, soda, and borate minerals mining also moved down, following August gains. Prices received by the industries for oil and gas well drilling and miscellaneous metal ores mining increased at a slower rate in September than they did in the prior month. By contrast, the index for the bituminous coal and lignite surface mining industry jumped 5.8 percent, compared with a 0.3-percent rise in August. Prices received by the industries for oil and gas operations support activities, bituminous coal underground mining, and construction sand and gravel mining also advanced at a quicker rate in September than they did a month earlier. The index for the gold ore mining industry turned up, after falling in August. For the 3 months ended September 2004, the Producer Price Index for the Net Output of Total Mining Industries declined at an annual rate of 12.4 percent, compared with a 60.7-percent rate of increase for the preceding calendar quarter. In September 2004, this index was 148.8 (December 1984=100), 19.3 percent above its year-ago level.Manufacturing
The Producer Price Index for the Net Output of Total Manufacturing Industries climbed 0.3 percent in September, following a 0.2- percent gain in August. In September, manufacturers of chemicals, petroleum and coal products, plastics and rubber products, primary metals, nonmetallic mineral products, electrical equipment and appliances, and paper products collected higher prices. On the other hand, prices received by food manufacturers, textile mills, and beverage and tobacco product makers fell in September. From June 2004 to September 2004, the Producer Price Index for the Net Output of Total Manufacturing Industries increased at an annual rate of 3.1 percent, after rising at a 7.9-percent rate from March to June. In September 2004, this index was 144.1 (December 1984=100), 5.1 percent above its year-ago level.
