The producer price index showed that the core finished goods index jumped 1.3 percent in November, more than reversing a 0.9 percent decline reported for October. Much of the story was passenger cars and light trucks. They rose by 2.2 percent and 13.7 percent, respectively after showing October declines of 2.3 percent and 9.7 percent. This reflects the timing of discounts, which was an important factor holding down the November CPI.
The moral of this story is that price data (like most data) are very erratic. You can never make too much of a single month's data. If the data look very different from prior months' data, then the odds are that it is an aberation which will be reversed in future months.
If you enjoyed this article, please consider making a tax-deductible donation today. For over 30 years, The American Prospect has delivered independent reporting that exposes corporate power, investigates political corruption, and analyzes threats to our democracy. Unlike many media outlets, we’re not owned by billionaires or corporations—we’re powered by readers like you.
Today’s independent journalism faces unprecedented challenges. Your support makes our reporting possible and keeps our work free and accessible to all. Whether it’s $5 or $50, every contribution helps sustain our nonprofit newsroom.
Join our community of supporters and make a donation today to help keep independent journalism thriving.
Copyright 2025 | The American Prospect, Inc. | All Rights Reserved
