It's The Economy Stupid: PPI & Retail Sales

Economic Event	Period	Economic Survey	Actual Reported	Original Prior	Revised Prior
Producer Price Index MoM	OCT	0.2%	-0.2%	1.1%
PPI Ex Food & Energy MoM	OCT	0.1%	-0.2%	0.0%
Producer Price Index YoY	OCT	2.6%	2.3%	2.1%
PPI Ex Food & Energy YoY	OCT	2.4%	2.1%	2.3%
Advance Retail Sales	OCT	-0.2%	-0.3%	1.1%	1.3%
Retail Sales Less Autos	OCT	0.2%	0.0%	1.1%	1.2%
Retail Sales Ex Auto & Gas	OCT	0.4%	-0.3%	0.9%	1.0%
Retail Sales Control Group	OCT	0.4%	-0.1%	0.9%

 

 

Economics For Dummies

 

PPI drop = Good for the economy

Retail Sales drop = Bad for the economy

 

Producer Price Index

 

Wholesale prices in the U.S. unexpectedly fell in October for the first time in five months as energy and vehicle costs dropped.   The 0.2 percent decline in the producer price index came after a 1.1 percent increase the prior month.  The median estimate in a Bloomberg survey of 73 economists called for a 0.2 percent rise.  Excluding volatile food and energy, the so-called core measure decreased 0.2 percent, the first drop since November 2010.

 

Retail Sales

 

Retail sales in the U.S. fell in October for the first time in four months, influenced by the effects of SuperStorm Sandy, which hurt receipts for some and

helped for others.

 

The 0.3 percent drop followed a 1.3 percent increase in September that was larger than previously reported, Commerce Department figures showed today in Washington. The median forecast of 83 economists surveyed by Bloomberg called for a drop of 0.2 percent. The Commerce Department said it was able to

collect information from the storm-affected area, even as it was not able to quantify its impact.

 

John Broussard

Assistant State Treasurer

Chief Investment Officer

State of Louisiana

Department of the Treasury