There was mixed news for the US economy this afternoon, as separate figures pointed to a strengthening economy and a build-up of inflationary pressures.
US producer prices soared 5% in the year to May, the steepest annual rise in more than 13 years, as energy and food costs leapt. Wholesale prices in the month to May were up by a 14-month record of 0.8%, a worrying acceleration from a 0.5% monthly gain in March and a 0.7% gain in April.
Stripping out volatile food and energy prices, the closely watched core producer price index rose 0.3% in the month to May and 1.7% - the highest since January 2001 - over the year.
Meanwhile, a barometer of the US economic outlook rose in May, pointing to an improving economy in summer despite the prospect of higher interest rates.
Private research group the Conference Board said its index of leading economic indicators, forecasting activity in the coming months, rose 0.6 points from the previous month to 116.5 points in May.
'The data reflect a robust economic environment this spring and point to more of the same this summer,' Conference Board economist Ken Goldstein said.
He said there were concerns about petrol prices and interest rates, but pointed out almost a million new jobs had been created in the last three months.
