Wholesale prices increased at a faster rate in November, signaling that inflation may not be cooling as expected.

The Producer Price Index rose 0.4%, the biggest monthly gain since summer, and was up 3% year-over-year, the largest increase since February 2023.

Food prices, particularly chicken eggs, which saw a 55% rise, contributed significantly to the increase.

However, some key components, like portfolio management fees and hospital care, experienced slower price growth, Axios has reported.

Economists expect November’s Personal Consumption Expenditures (PCE) Price Index to show slower inflation, with core PCE rising just 0.1%, but caution that inflation risks remain.

Written by B.C. Begley