US: Annual Core PPI jumps to 2% in January vs. 1.1% expected

• Annual Core PPI in US rose sharply in January.
• US Dollar Index continues to push higher toward 91.00.

The Producer Price Index (PPI) in the US for final demand shot higher to 1.3% in January from 0.3% in December, the US Bureau of Labor Statistics' monthly report showed. On a yearly basis, the PPI rose to 1.7% from 0.8% and came in much higher than the market expectation of 0.9%.

Further details of the publication revealed that the annual Core PPI jumped to 2% for the first time since October 2019, compared to analysts' estimate of 1.1%.

Market reaction

The US Dollar Index preserves its bullish momentum following these figures and was last seen gaining 0.5% on the day at 90.95.