PPI February 2026 Wholesale Prices Rise
PPI February 2026 showed producer prices rose and broad wholesale inflation across goods and services, prompting traders to reassess inflation momentum.
KEY TAKEAWAYS
- PPI for final demand rose 0.7% month-over-month, signaling renewed wholesale inflation pressure.
- The 12-month PPI advanced 3.4%, the largest annual increase since February 2025.
- Core PPI rose 0.5% monthly and 3.5% annually, indicating broad-based goods and services inflation.
HIGH POTENTIAL TRADES SENT DIRECTLY TO YOUR INBOX
Add your email to receive our free daily newsletter. No spam, unsubscribe anytime.
The Bureau of Labor Statistics reported on March 18, 2026, that producer prices rose in February, signaling inflation pressures beyond energy as gains appeared across goods, services, and intermediate demand.
Producer Prices Accelerated in February
The Producer Price Index (PPI) for final demand increased 0.7% month-over-month, seasonally adjusted, in February 2026. On an unadjusted 12-month basis, the index rose 3.4%, the largest annual increase since February 2025. Core PPI, which excludes foods, energy, and trade services, advanced 0.5% for the month and 3.5% over the year. These figures indicate persistent wholesale inflation pressures.
Broad Gains in Goods and Services
Final demand goods rose 1.1% in February, led by foods, which climbed 2.4%, and energy, up 2.3%. Goods excluding foods and energy increased 0.3%. Final demand services grew 0.5%, driven by a 0.6% rise in services excluding trade, transportation, and warehousing. This service-sector strength highlights inflation beyond commodity markets.
Intermediate demand measures showed upstream pressure. Processed goods increased 1.6% for the month and 4.0% over 12 months. Unprocessed goods rose 3.1% in February but declined 1.7% year-over-year. Intermediate services gained 0.8% monthly and 3.7% annually. These upstream increases often foreshadow cost pass-through to finished goods.
Notable item-level drivers included traveler accommodation services, up 5.7%; fresh and dry vegetables, up 48.9%; diesel fuel, up 13.9%; and natural gas, up 10.9%. The widespread gains across final and intermediate demand suggest inflation remains broad-based rather than concentrated in energy, which may affect market and policy assessments of inflation momentum.
