Goods Sector Faces a Slight Decline
Contrasting the services sector, final demand goods edged down by 0.1 percent, influenced primarily by a 1.6 percent decrease in final demand energy. Gasoline prices notably dropped 3.6 percent. Despite this downturn, there were pockets of growth, such as a significant 10.7 percent jump in processed poultry prices.
Core PPI Remains Steady
Excluding the volatile sectors of food, energy, and trade services, the core PPI rose 0.2 percent in March, building upon a 0.3 percent rise in February. Over the last 12 months, this measure has increased by 2.8 percent.
Market Forecast
Considering the moderate rise in PPI and the steady growth in the core index, the market outlook remains cautiously optimistic. The services sector, particularly in finance and investment services, shows resilience, potentially offsetting the slight dip in goods, especially energy. Traders might anticipate a stable, if not bullish, trend in the short term, assuming no significant economic disruptions or policy shifts occur.
