Hmmmmmm…. Inflation jumped last month due to high energy prices (thank you oil executive administration) while housing starts stumbled.
Wholesale prices leaped ahead by the biggest margin in seven months, propelled largely by soaring energy costs.
The 0.9 percent jump in April’s Producer Price Index, which measures the costs of goods before they reach stores shelves, came after a sizable 0.5 percent increase in March, the Labor Department reported Tuesday.
In other economic news, the Commerce Department reported that the number of new housing projects builders broke ground on in April dropped by 7.4 percent to a seasonally adjusted annual rate of 1.849 million units, the lowest level in 17 months. The performance _ weaker than analysts expected _ was further evidence that the housing market is slowing.