Producer Price Index Falls for First Time in Four Months

Prices paid to U.S. producers fell in April for the first time in four months, the Labor Department reported Friday.

The producer price index dipped 0.2%, following an unchanged reading in March.

The 1.9% rise over the past 12 months was the smallest in two-and-a-half years.

The core PPI excluding food and energy also rose 0.3%, matching economists’ estimates, Bloomberg reported. Economists had forecast no change in the overall PPI.

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, it could also hurt the economy.