The Producer Price Index for final demand declined 0.2% from August 2019 to August 2020. This was driven by a 1.6% drop in prices for final demand goods. Prices for final demand services increased 0.4% for the 12 months ended in August.
The over-the-year fall in prices for final demand goods can be attributed to a 12.4% decrease in prices for energy, as prices for both foods (0.2%) and goods less foods and energy (0.8%) increased. Within final demand services, prices for trade services (1.6%) and services less trade, transportation, and warehousing (0.6%) rose, while prices for transportation and warehousing services (−5.2%) fell.
These data are from the Producer Price Indexes program and are not seasonally adjusted. To learn more, see “Producer Price Indexes — August 2020.” Also see Charts related to the latest “U.S. Producer Price Indexes” news release. Producer price indexes measure prices U.S. producers receive for goods, services, and construction. All producer price data are subject to revision four months after initial publication.