- Prior month 0.4%
- PPI (industrial product price index) MoM -1.0% versus 0.2% expected
- PPI YoY -2.7% versus 0.6% last month
- Raw material prices MoM -2.5% versus 3.9% last month (revised from 3.5%)
- Raw material prices YOY -0.8% versus 2.9% last month (revised from 2.4%)
Details for industrial product prices:
Energy and petroleum product prices fell 5.7% in October, primarily due to a significant drop in finished motor gasoline (-8.4%), influenced by lower crude oil prices and weak gasoline demand in North America.
Softwood lumber prices decreased by 6.4% in October, mainly due to weak seasonal demand and the impact of high interest rates on real estate activities.
Intermediate food product prices dropped by 1.9% in October, driven by declining prices for canola oil (-7.5%) and soybean oil (-9.4%), driven by factors like reduced consumption and increased global soybean production.
Prices for primary non-ferrous metal products declined by 1.2% in October, with unwrought nickel, copper, and precious metals seeing drops due to supply factors, reduced industrial consumption during Chinese holidays, and strong US dollar.
Pulp and paper product prices rose 1.5% in October, mainly due to higher wood pulp prices (+8.2%) driven by strong demand and a global price increase announcement by a major pulp producer in Brazil.
Details for raw material price index:
Crude energy product prices fell 4.7% in October, mainly due to a drop in conventional crude oil prices (-3.7%). Prices were volatile, initially rising due to Middle East tensions but ultimately declining due to concerns about demand.
Metal ores, concentrates, and scrap prices declined by 1.6% in October, driven by lower prices for nickel ores and gold, silver, and platinum group metal ores.
Hog prices decreased by 3.6% in October due to ample supply and slow seasonal demand, while cattle and calf prices rose by 1.6% due to tight domestic supply.
Yearly cattle slaughter counts decreased in Canada and the US in October, and beef cold storage has been falling in both countries, with US storage down by 20.1% in September compared to the previous year.
Overall good news for pipeline inflation to move to the downside. The
