(202) 606-7705 This Release Is Embargoed — 1999-01-12

The Producer Price Index for Finished Goods rose 0.4 percent in December, seasonally adjusted, the Bureau of Labor Statistics of the U. S. Department of Labor reported today. The increase followed a decline of 0.2 percent in November. The index for finished goods other than foods and energy advanced 1.0 percent in December as a result of a 30.7-percent increase in cigarette prices. Excluding the rise in cigarette prices, the index for finished goods other than foods and energy declined 0.1 percent in December. Prices received by domestic producers of intermediate goods declined 0.6 percent, after decreasing 0.2 percent in November. The crude materials index fell 3.8 percent, following a 1.4-percent drop in the previous month. (See table A.) Table A.