Intermediate goods
The Producer Price Index for Intermediate Materials, Supplies, and Components increased 0.4 percent in January, after inching down 0.1 percent in the previous month. Prices for materials for durable manufacturing, materials and components for construction, materials for nondurable manufacturing, and intermediate foods and feeds rose in January, while the intermediate energy goods index declined in January. Excluding foods and energy prices, the index for intermediate goods advanced 0.8 percent, following a 0.5-percent gain in December.Prices for materials for durable manufacturing increased 1.8 percent in January, compared with a 1.1-percent rise in the preceding month. The aluminum mill shapes index advanced 4.0 percent, following a 2.1-percent gain in the previous month. The indexes for cold rolled steel sheet and strip, cement, and prepared paint also increased more than they did in December. Prices for adhesives and sealants and hardwood lumber turned up, after falling a month earlier. Alternatively, the hot rolled steel bars, plates, and structural shapes index declined 0.5 percent in January, after moving up 2.1 percent in the previous month. Prices for plywood, copper cathode and refined copper, copper and brass mill shapes, and cold finished steel bars rose less than they did in December, while the semifinished steel mill products index decreased in January, after showing no change in the prior month.
Subsequent to a 0.5-percent rise in December, prices for materials and components for construction went up 1.0 percent in January. The concrete products index advanced 2.2 percent in January, following a 0.6-percent gain in the preceding month. Prices for fabricated structural metal products, softwood lumber, heating equipment, and paving mixtures and blocks also increased more than they did in December, while the indexes for plastic construction products and treated wood turned up in January. By contrast, prices for asphalt felts and coatings turned down 3.5 percent in January, after posting a 1.5-percent gain in the previous month. The indexes for millwork and metal valves (except fluid power) also declined, following increases a month earlier. Prices for plywood, steel mill products, and nonferrous wire and cable rose less than they did in the December.
The rate of increase in the index for materials for nondurable manufacturing slowed from 1.2 percent in December to 0.6 percent in January. Plastic resins and materials prices rose 2.3 percent, after increasing 4.5 percent in December. The indexes for intermediate basic organic chemicals, paper, fertilizer materials, paint materials, and medicinal and botanical chemicals turned down in January. Alternatively, the fats and oils (inedible) index jumped 12.5 percent in January, following a 1.2-percent decline in the preceding month. Prices for gray fabrics, finished fabrics, and paperboard also turned up, after decreasing a month earlier. The index for primary basic organic chemicals fell less than it did in December, and prices for basic inorganic chemicals rose more in January than they did in the prior month.
The intermediate foods and feeds index advanced 0.9 percent in January, after increasing 0.8 percent in the previous month. In January, rising prices for prepared animal feeds, fluid milk products, beef and veal, dry milk products, refined sugar and byproducts, and liquid beverage bases (used for soft drinks) outweighed falling prices for natural, processed, and imitation cheese; shortening and cooking oils; processed young chickens, and liquid milk products.
The rate of decrease in the intermediate energy goods index slowed from 2.2 percent in December to 1.3 percent in January. Prices for jet fuels fell 1.9 percent in January, compared with a 21.9-percent drop in the preceding month. The indexes for gasoline and liquefied petroleum gas also fell less in January than they did in December. Prices for diesel fuel and home heating oil turned up in January, while the industrial electric power index increased at a quicker pace than it did a month earlier. By contrast, industrial natural gas prices moved down 4.5 percent in January, after posting a 1.9-percent gain in the prior month. The commercial natural gas index declined, following no change in December, and prices for natural gas to electric utilities fell more than they did in the preceding month.
