Back-to-back 1% price hike; wholesale prices rise in July

Inflation at the wholesale level jumped a higher-than-expected 1% in July, disappointing hopes for a slowdown in price increases

WASHINGTON -- Inflation at the wholesale level jumped a higher-than-expected 1% in July, matching the rise from the previous month, and dimming hopes that the upward trajectory of prices would begin to slow. Prices at the wholesale level over the past 12 months are up a record 7.8%, the largest increase in that span of time in a series going back to 2010. And the back-to-back monthly increases in the producer price index, which measures price pressures before they reach consumers, were the most sizeable since a 1.2% rise in January, the Labor Department reported Thursday. The latest data on rising producer prices comes a day after the U.S. reported that there was some evidence of slowing in price hikes at the retail level. Consumer prices in July rose 0.5%, compared with a 0.9% jump in June. Over the past year retail prices are up a notable 5.4%, the same 12-month gain posted in June with both months recording the largest annual gain since 2008.