Biggest jump in food costs in more than 36 years

WASHINGTON (AP) — Wholesale prices jumped last month by the most in nearly two years due to higher energy costs and the steepest rise in food prices in 36 years. Excluding those volatile categories, inflation was tame.

The Labor Department said Wednesday that the Producer Price Index rose a seasonally adjusted 1.6 percent in February — double the 0.8 percent rise in the previous month. Outside of food and energy costs, the core index ticked up 0.2 percent, less than January’s 0.5 percent rise.

Food prices soared 3.9 percent last month, the biggest gain since November 1974. Most of that increase was due to a sharp rise in vegetable costs, which increased nearly 50 percent. That was the most in almost a year. Meat and dairy products also rose.

Energy prices rose 3.3 percent last month, led by a 3.7 percent increase in gasoline costs.

Separately, the Commerce Department said home construction plunged to a seasonally adjusted 479,000 homes last month, down 22.5 percent from the previous month. It was lowest level since April 2009, and the second-lowest on records dating back more than a half-century.

The building pace is far below the 1.2 million units a year that economists consider healthy.

There was little sign of inflationary pressures outside of food and energy. Core prices have increased 1.8 percent in the past 12 months.

Still consumers are paying more for the basic necessities.



Gas prices spiked in February and are even higher now. The national average price was $3.56 a gallon Tuesday, up 43 cents, or 13.7 percent, from a month earlier, according to the AAA’s Daily Fuel Gauge. Rising demand for oil in fast-growing emerging economies such as China and India has pushed up prices in recent months. Turmoil in Libya, Egypt and other Middle Eastern countries has also sent prices higher.

But economists expect the earthquake in Japan to lower oil prices for the next month or two, which should temper increases in wholesale prices in coming months. Japan is a big oil consumer, and its economy will suffer in the aftermath of the quake. But as the country begins to rebuild later this year, the cost of oil and other raw materials, such as steel and cement, could rise.

Oil prices fell sharply Tuesday as fears about Japan’s nuclear crisis intensified. Oil dropped $4.01, or 4 percent, to settle at $97.18 per barrel on the New York Mercantile Exchange.

Food costs, meanwhile, are rising. Bad weather in the past year has damaged crops in Australia, Russia, and South America. Demand for corn for ethanol use has also contributed to the increase.

Prices rose 1 percent for apparel, the most in 21 years. Costs also increased for cars, jewelry, and consumer plastics.

Read more here:   http://waronyou.com/topics/wholesale-prices-up-1-6-pct-on-steep-ris...!+Mail

Views: 37

Comment

You need to be a member of 12160 Social Network to add comments!

Join 12160 Social Network

"Destroying the New World Order"

TOP CONTENT THIS WEEK

THANK YOU FOR SUPPORTING THE SITE!

mobile page

12160.info/m

12160 Administrators

 

Latest Activity

Doc Vega posted blog posts
9 hours ago
Sandy posted a video

Dan Bilzerian believes Palestinians are real Semites and he explained why

#danbilzerian #shorts #israel #palestine #gaza #british #piersmorgan #politics #uk
yesterday
Doc Vega commented on honeygirl's video
yesterday
Doc Vega posted blog posts
Friday
honeygirl posted videos
Friday
Doc Vega's 2 blog posts were featured
Thursday
Less Prone commented on Sandy's photo
Thumbnail

FB_IMG_1775463256193

"Then they had the same old photo edited. Very stupid!"
Thursday
Less Prone favorited Sandy's photo
Thursday
Doc Vega posted a blog post

The Escape

The dreamland comes as I close my eyesTake me from the forbidden lands that I despiseWhere all…See More
Wednesday
cheeki kea commented on Sandy's photo
Thumbnail

FB_IMG_1775463256193

"ahh yes but one must be well  practised in the art of double think for such occasions as these…"
Wednesday
honeygirl posted videos
Tuesday
Doc Vega posted a blog post

You’ve Heard of Champ, right? This Aint it!

 CHAMP, you might be thinking of is a legendary cryptid supposedly existing in the waters of Lake…See More
Apr 13
Less Prone favorited Sandy's photo
Apr 13
Less Prone favorited Sandy's photo
Apr 13
Doc Vega posted a blog post

Truth or Fiction? You Figure it Out

 Working for the federal government, specifically, the Pentagon. I was, what you might call a…See More
Apr 11
tjdavis posted a video

GOLDSPHINCTER - Donald J Trump is Acrid Goldsphincter (James Bond Music Parody)

In this James Bond parody, Donald J Trump is Acrid Goldsphincter in our version of the classic Bond "Goldfinger" theme song. All voices and singing performed...
Apr 11
Doc Vega posted a blog post

How Long does Destabilization Take?

How long does it take to topple a society targeted by the left? What ingredients go into this toxic…See More
Apr 9
tjdavis posted a photo
Apr 9
tjdavis posted a video
Apr 8
Doc Vega posted blog posts
Apr 7

© 2026   Created by truth.   Powered by

Badges  |  Report an Issue  |  Terms of Service

content and site copyright 12160.info 2007-2019 - all rights reserved. unless otherwise noted