PPI Report: Flat Glass Prices Continue to Climb in JuneJuly 18th, 2014 by DWM Magazine
Flat glass prices continue to see in an increase through the first half of 2014 after dipping for much of the second half of 2013.
According to the latest Producer Price Index Report issued Tuesday by the U.S. Labor Department, flat glass prices increased 0.2 percent from May to June, getting back on track after flattening out the month before.
The Producer Price Index (PPI) program measures the average change over time in the selling prices received by domestic producers for their output, according to the Bureau of Labor Statistics (BLS). The prices included in the PPI are from the first commercial transaction for many products and some services.
The latest PPI increase in flat glass is in line with what the industry has seen for much of the first half of the year, as prices spiked 1.7 percent from March to April and saw an increase of 0.6 over the two months prior. It’s been a bit of a turnaround, as prior to February, flat glass prices had seen a dip in four of five months. But despite the modest decrease six months ago, this June, prices were 2.1 percent higher than June 2013.
Meanwhile, in another report, import prices for glass and glassware dipped for the fourth straight month, falling 0.1 percent, though prices in that category are still up 0.7 from a year ago.
Export prices for glass and glassware, however, flattened out in June after a 1 percent increase over the span of the three months prior. They were also up 0.4 over four months prior to that, and as of the latest report, prices are up 1.3 percent from a year ago.
Prices of materials for construction jumped 0.4 percent from May to June following a 0.2 percent increase the month before. Prices in that category are up 2.6 percent from June 2013. Final demand for construction also continued to rise with a 0.1 percent increase and is up 3.3 percent from a year ago.
U.S. import prices on the whole advanced 0.1 percent in June following a 0.3-percent rise in May, the U.S. Bureau of Labor Statistics reported, as higher fuel prices drove the monthly increases for both June and May. Prices for U.S. exports decreased 0.4 percent in June, after ticking up 0.1 percent the previous month.
The Producer Price Index for final demand, meanwhile, rose 0.4 percent in June, seasonally adjusted—an increase that followed a 0.2-percent decline in May and a 0.6-percent advance in April. On an unadjusted basis, the index for final demand moved up 1.9 percent for the 12 months ended in June, according to the BLS. In June, the 0.4-percent increase in final demand prices can be traced to a 0.5-percent advance in the index for final demand goods and a 0.3-percent rise in prices for final demand services.