Producer prices in the USA unexpectedly fell in May, according to a report from the USA's Labour Department. It is the largest decline in seven months.
Compared to April, producer prices in May fell by 0.2 per cent. The average forecast was an increase of 0.1 per cent, according to Bloomberg's compilation.
Compared to a year ago, producer prices rose by 2.2 per cent, which was a smaller increase than the average forecast of 2.5 per cent.
Adjusted for food and energy prices, producer prices rose 2.3 per cent year-on-year. It was less than the expected 2.5.
The figures follow Wednesday's announcement that inflation slowed down for the second month in a row. At the same time, the central bank, the Federal Reserve, indicated in its interest rate decision that it is leaning towards only one interest rate cut this year.
