May Producer Price Index Rise Sparks Concern About Inflation, Costs

Washington, D.C.–Increased production costs in May–due mostly to higher oil prices–may mean higher costs in June, according to government data.In May, the Producer Price Index grew 1.4 percent–its quickest rate in six months–which could indicate that inflation is becoming more of a concern, the New York Times said Tuesday. The wholesale gasoline price increased 9.3 percent in May. Residential gas costs grew 3.8 percent, and the total price of consumer goods escalated by 1.8 percent.However, the cost of women’s clothing, computers and passenger cars showed a small decline.