Trustage's Steve Rick said in a report that for the Federal Reserve, the lower-than-expected PPI report is a welcome development. The chief economist said, “This will indicate that inflation may be gradually approaching the Federal Reserve's target and may reinforce expectations that policymakers can stand still rather than consider further rate hikes. “While the fight against inflation is not over yet, weaker price data would be another step towards achieving a better balance between price stability and a healthy labor market,” he said.

Trustage's Steve Rick said in a report that for the Federal Reserve, the lower-than-expected PPI report is a welcome development. The chief economist said, “This will indicate that inflation may be gradually approaching the Federal Reserve's target and may reinforce expectations that policymakers can stand still rather than consider further rate hikes. “While the fight against inflation is not over yet, weaker price data would be another step towards achieving a better balance between price stability and a healthy labor market,” he said.