U.S. producer prices surge in July as tariffs increase costs
U.S. wholesale inflation surged last month, a sign that President Donald Trump’s tariffs are boosting costs and higher prices may be on the way.
The Producer Price Index for final demand climbed 0.9% in July, seasonally adjusted, the U.S. Bureau of Labor Statistics reported Thursday. Final demand prices were unchanged in June and moved up 0.4% in May. On an unadjusted basis, the index for final demand advanced 3.3% for the 12 months ended in July, the largest 12-month increase since rising 3.4% in February 2025.
Prices for final demand goods increased 0.7%. The index for final demand – less foods, energy, and trade services – moved up 0.6% in July, the largest increase since rising 0.9% in March 2022.
Spencer Hakimian, founder of Tolou Capital Management, called it the return of inflation.
“As I’ve been warning you all for months, we have a massive inflation problem in the United States again,” he wrote on X.
For the 12 months ended in July, prices for final demand less foods, energy, and trade services advanced 2.8%.
Sunny
Latest News Stories
WATCH: Pritzker IDs half billion in ‘reserves;’ SCOTUS considering gun ban challenge
Proposed Illinois bill would let local voters approve rent control, drawing sharp criticism
Businesses close in Minnesota for anti-ICE ‘economic blackout’
Illinois Quick Hits: Higher ed board pushes for more spending
Policy Change Relaxes Grade Exclusion Requirements for Returning Students
Pritzker says $481.6 million put in reserves, GOP questions state spending
Illinois Quick Hits: HHS: IL abortion referral rule violates federal law
WATCH: Resolution condemning federal immigration law enforcement sparks debate
Casey City Council Bans Sale and Possession of Kratom Products
Council Pursues Site Readiness Grant; Discusses Outsourcing Code Enforcement
Chicago splits pension payments in hopes of Improving cash flow
Following GOP criticism, Pritzker finds $481.6 million in budget reserves
