Producer Prices Rise 0.3%

Prices paid to U.S. producers rose 0.3% in October, the Labor Department said Tuesday.

The core producer price index, which excludes food and energy, dropped 0.6%, Labor said.

October’s gain was only the second increase in four months.

Economists had predicted the PPI would rise 0.5%, while the core rate was expected to rise 0.1%, Bloomberg reported.

An increase in the PPI could indicate strong demand for goods, which would mean more shipments for trucking companies. However, if inflation begins to accelerate too quickly, it could also hurt the economy.