U.S. economy released today more key data, where the report was issued U.S. producer prices, which returned to reaffirm that inflation remained under control during the September / September, but the report noted that the price levels are still rising, but at a moderate pace.
The producer prices during September / September by 1.1%, compared with the previous reading, which amounted to 1.7%, and the highest of expectations, which amounted to 0.8%, while at the annual rose prices by 2.3%, compared with the previous reading, which amounted to 2.5%, and the lowest than expectations of 2.5%.
On the other hand have stabilized PPI core - those excluded from food and energy prices - during the September / September when reading zero, compared with the previous reading, which amounted to 0.2%, and lower than expectations of 0.2%, while at the annual prices have risen producers core 2.1%, compared with the previous reading, which amounted to 2.0%, and the highest of expectations, which amounted to 1.8%.
We must take into account that the prices of consumer goods, which represent approximately 73.33% of the report as a whole rose during September / September by 1.6%, compared with the previous reading which reached during August / August 2.3%, while producer prices excluding food - those which represents about 81.22% of the total price - by 1.3%, compared with the previous reading, which amounted to 1.9%.
This was confirmed by the report on the survival rates of inflation core within expectations, which is a clear confirmation that inflation remains under control, noting the Feds economic situation being that economic activities declined during the past period, which has put pressure on prices and limited high, knowing that this weakness led the Feds to approve a third round of quantitative easing plans (QE) to support the economy.
The bank expects the U.S. Federal inflation remains under control during the next two years, in the midst of a policy the Fed, which is based on growth, such as resorting to control inflation, in addition to that the U.S. economy is still in a standoff with the obstacles that are in the high unemployment rates and conditions to stress credit, which limits the progress levels of consumer spending.
This has seen gold prices rise immediately after the producer price data, due to the fact that gold is a hedge against inflation, with higher levels and rates of inflation during September / September draws investors in their dealings following the release of figures cursor to the gold, up at 12:55 pm GMT Greenwich to $ 1.771.42 an ounce.
And here to point out that the overall situation in the U.S. economy is still weak somewhat, and this indicates that the U.S. economy would be required more time to be back to normal, as they say, not to mention that the phase of recovery of the U.S. economy lost some of its intention during the past few , since it is anticipated that the U.S. economy continues to recovery phase during the current year and until the second half of the year 2013 ...
