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Archived News Release--Caution: information may be out of date.

U.S. DEPARTMENT OF LABOR

OPA Press Release: Statement Of U.S. Labor Secretary Alexis M. Herman Regarding The February 2000 Producer Price Index [03/16/2000]

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The Producer Price Index for finished goods rose 1.0 percent in February, following no change in January. Energy prices jumped by 5.2 percent, the largest one-month gain since a 7.5 percent increase in October 1990. The increase in energy prices explains most of the increase in this month's PPI.

I am monitoring the impact that energy prices are having on our economy. Today's report however continues to show that inflationary pressure remains limited to the energy sector.

Excluding the volatile energy and food sectors, the "core" Producer Price Index rose 0.3 percent in February. The modest increase was due to a 5.6 percent increase in the price of tobacco products, which reversed a 0.2 percent decline in January.

Further excluding tobacco from the "core" Producer Price Index yields an increase of only 0.1 percent for February.

Archived News Release--Caution: information may be out of date.