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18 August 2005

Sharp rise in US producer prices

US wholesale prices are rising at their fastest rate for months, fuelling concerns that inflation is returning to the US economy. Producer prices rose 1% in July including a 4.4% gain in energy costs. Even excluding the volatile food and energy components, the index rose 0.4%. Economists had been expecting a more modest gain of about 0.1% on core producer prices.



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