U.S. wholesale prices barely increased last month after falling for three straight months, a sign there is little inflation pressure in the economy.
The Labor Department says the producer price index — which measures price changes before they reach the consumer — rose 0.1 percent in February. It slipped 0.1 percent in January. Excluding volatile food and energy costs, core producer prices also rose 0.1 percent. Wholesale prices increased 1.9 percent from a year earlier, and core prices rose 2.5 percent.
Despite an unemployment rate near a five-decade low and faster wage growth, inflation is tame. The Consumer Price Index, released Tuesday, increased just 1.5 percent in February from a year ago. Mild inflation is a major reason the Federal Reserve has paused its interest rate hikes.