Producer prices increased by the most in three years in July, suggesting a broad pickup in inflation was imminent. "This is a kick in the teeth for anyone who thought that tariffs would not impact domestic prices in the United States economy,

The producer price index (PPI) for final demand rose 0.9% month-over-month after a flat reading in June. Core PPI, which excludes food and energy prices, rose 0.9% month-over-month after a flat reading in June. In July, the PPI for finished goods rose 0.5% month-over-month, up from 0.4% in June.