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Finance Dictionary and Glossary of Investment Terms
Producer Price Index
PPI. An inflationary indicator published by the U.S. Bureau of Labor Statistics to evaluate wholesale price levels in the economy.
A government index that measures changes in price at the wholesale level. Since producers pay for things that will eventually end up being consumed by somebody later, the PPI is considered an indicator of what''s ahead in terms of inflationary pressures. The corresponding index for consumer goods is the Consumer Price Index.