US producer prices picked up in October, fueled in part by gains in portfolio management and other categories that feed into the Federal Reserve's preferred inflation gauge.

The producer price index for final demand increased 0.2% from a month earlier after rising a revised 0.1% in September, Bureau of Labor Statistics data showed Thursday. Compared with a year ago, the PPI rose 2.4%.

The wholesale inflation data follow the more closely watched consumer price index, which showed on Wednesday that underlying inflation remained stubborn for a third month. While price pressures have largely abated this year, a lack of headway more recently suggests Fed policymakers will slow the tempo of interest-rate cuts.

Economists parse the PPI data for categories that feed into the Fed's preferred inflation measure — the personal consumption expenditures price index. Portfolio management fees, which track the stock market, climbed 3.6%, the most in six months.

Airfares were also higher, increasing by the most since the end of 2022. Health-care categories were mostly stronger, the report showed.

Source : Bloomberg