Wholesale prices jumped last month at a rate 9.7% higher than a year ago, the Labor Department said Tuesday in another sign that inflation remains high.
The producer price index, a measure of inflation before goods reach consumers, rose 1% from December. Excluding food and energy prices, wholesale inflation rose 0.8% from the previous month and climbed 8.3% from January 2021.
The department said a 1.6% increase in outpatient healthcare costs was a “major factor” in the jump.
The rate was twice as high as expected by many economists, and was near a record in data going back to 2010.
Consumer prices soared 7.5% in January, the government reported last week, reaching a 40-year high that has wiped out wage gains for many workers.
Inflation is looming as a major campaign issue in the midterm elections.
“President Biden continues to be Jimmy Carter 2.0,” tweeted Sen. Ted Cruz, Texas Republican, in response to the new report.
