PPI eases in April

THERE WAS an April easing of the producer price index (PPI), with the year-on-year (y/y) increase at 8.1% compared to the 8.9% of March - and 1% month-on-month (m/m).
Both the domestic and imported components y/y were lower in April than in March, but monthly domestic inflation shot up more than tenfold to 1.1%.
According to the Standard Bank's economics division, this sharp acceleration largely emanated from the 22.9% increase in the average prices of petrol and diesel. But, the report added, it is also a sign of secondary inflationary pressures from the randÕs depreciation in recent months.
The domestic PPI was 6.9% y/y compared to 7.5% in March.
Imported inflation, meantime, increased by 11.2% y/y in April from 12.3% in March.
And the monthly comparison saw the index rising by a more moderate 0.6% m/m in April compared to 0.9% in March.