According to Jinshi, the US PPI was flat in September, indicating that the inflation outlook remains favorable, supporting the view that the Federal Reserve will cut interest rates again next month. Inflation further stabilized in September as the PPI was suppressed by the decline in gasoline prices.
The move came after data yesterday showed the consumer price index rose slightly above expectations in September, driven by gains in housing, food and clothing. The report showed costs for doctor care and hospital visits were little changed, while airfares rebounded sharply.
Portfolio management fees rose slightly. The cost of services rose 0.2%, slowing from a 0.4% gain in the previous month. Wholesale food prices rose 1%, the biggest gain since February, while energy prices fell 2.7%.