Producer Price Index Declines in September; Retail Sales Dip

Prices paid to U.S. producers dipped 0.1% in September, the Labor Department reported Oct. 29.

The decline in the producer price index reading followed a rise of 0.3% in August. Economists had forecast a 0.1% increase, Bloomberg News reported.

The so-called core PPI, which excludes food and energy, did not change in August, though economists had expected a 0.1% gain.

An increase in the PPI could indicate strong demand for goods, which would mean more shipments for trucking companies. However, if inflation begins to accelerate too quickly, the economy could be hurt.

Retail sales declined 0.1% in September, according to a separate report from the Commerce Department.

The drop followed a 0.1% rise in August. Economists had forecast no change, Bloomberg reported.

Nine of 13 major categories showed gains, led by electronics outlets.

Almost all trucking operations depend on the health of retail sales because such sales involve nearly every type of cargo.