For the third consecutive month, the US inflation for wholesale prices associated with goods and services have risen. Still-high energy prices are the influential factors that play most of the parts in influencing the occurrence of inflation in the country, as indicated in the information that was released on Wednesday, October 4, by the Bureau of Labor Statistics.

There is a peak of 2.2 percent in The Producer Price Index within the year, ending in September of this year. When economists look at the monthly reference of the statistics, prices were up 0.5 percent, a slight addition to the 0.7 percent increase in August. For the most part, September’s overall peak in The Producer Price Index was influenced by a 0.9 percent up of prices of goods, as brought about by increased power and food prices, as the data in the BLS indicates (via CNN).

Statistics of Gas Prices Increase

Gas prices have increased at a maximum rate for the year by September, as oil prices reached over the $92 a barrel worth in the midst of decrease of items’ supplies availability. The flooding in Libya have also played a role in the occurrence of the said scenario in the national economy.

A twist of event occurred in October, as oil prices have taken in a different direction when it comes to establishing their market prices. Such a turn or twist is beneficial for both the national consumers and the Federal Reserve of the United States.

The Combination of Influence of Food and Power Prices in the Overall Inflation Condition

Without the shortage of food and power sources, the prices for the final need for necessities increased only for 0.1 percent within August to September, as indicated on the BLS information system. In a written statement, Gregory Daco, EY chief economist said: “While the disinflationary impulse from easing supply chain strains is largely over, the all-important PPI for trade services — a proxy for margins — has shown significant disinflation which should in turn feed into lower consumer price inflation.”

The Final Take

Economists, though, do not see the recent two-month increase in energy prices to have a long-term downside effect on the economy and the national population. However, such an increase in prices may be a source of people and businesses experiencing a slight bump in daily life.