US wholesale prices fell 0.2% in June as food costs plunged
WASHINGTON (AP) -- U.S. wholesale prices fell 0.2% in June as food costs dropped sharply, offsetting a big increase in energy prices. The Labor Department said the drop in its Producer Price Index, which measures inflation pressures before they reach consumers, followed a 0.4% gain in May. Wholesale prices have fallen in four of the past five months. The country has been pushed into a deep recession which is expected to see the economy shrink in the April-June quarter by a record-shattering amount. That downturn, triggered by efforts to contan the coronavirus pandemic, is expected to keep inflation under control.The 0.2% drop in wholesale prices in June reflected a 5.2% decline in food costs which helped to offset a 7.7% jump in energy prices.
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