The Federal Reserve’s March rate hike did not relieve inflationary pressures faced by U.S. manufacturers, survey results released Monday suggested.
Prices paid for factory inputs rose substantially in April and at the fastest rate so far this year, the S&P Global U.S. Manufacturing purchasing managers index survey showed. Greater material and supplier prices—notably increased transportation fuel and metals expanses—were the drivers of the cost increases.
Manufacturers passed on the higher materials and labor costs to customers, according to the survey. The increase in selling prices was the fastest since October.
“Both input costs and selling price inflation surged higher, the latter accelerating to a near-record rate, as firms faced rising energy prices, ongoing supplier-driven price hikes amid strained supply chains, and rising wage costs,” said Chris Williamson,…
