Friday, August 28, 2009

Producer Price Index (PPI)

The indicator of the average level of price change for raw materials andfinished products, the cost of which also includes the cost of labor. A more accurate figure is obtained by exclusion of food and energy industries (PPIexcluding food and energy). The index does not take into account the price of imported goods and services. The growth of this indicator leads to the growth of cost inflation: the cost of production increases, while the prices do notchange, which leads to an imbalance in production. Monthly figures issued one week after "Nonfarm payrolls" at 13:30 GMT.

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