FX.co ★ US Producer Prices Expected to Rebound in April

US producer prices are anticipated to rise by 0.2% month-over-month in April 2025, following a 0.4% decrease in March—marking the first decline in the Producer Price Index (PPI) since October 2023. Annually, producer price inflation is predicted to reduce to 2.5%, the lowest in seven months, down from 2.7% in March. Concurrently, the core PPI, which omits the volatile food and energy sectors, is expected to see a monthly increase of 0.3%, rebounding from a 0.1% reduction in March. Year-on-year, core producer inflation is anticipated to decrease to 3.1%, the lowest since August 2024, compared to the previous 3.3%. Investors will also be observing for early indications of inflationary pressures that might be associated with tariffs, although the broader economic effects are expected to become clearer later in the year.