Prices Charged Net Rising Index
With the PPI and the CPI being released this week, the Graph of the Week is the Prices Charged Net Rising Index from the NABE Industry Survey. From the survey:
For the first time since the last recession, more respondents are reporting price cuts than are reporting price increases, resulting in a negative NRI of -9 (See Figure 3). This represents a steep step-down from where the index had hovered over the prior 18 months, but is not surprising given both the continued deterioration in demand as well as the softening of input prices over the last three months. The percentage of firms that raised prices last quarter (12 percent) was the lowest since the end of 1998. This is in sharp contrast to the results from the prior quarter where 38% of respondents had reported price increases.
NABE members can read the full survey here. A summary is available for non-members.
