Wholesale costs rose sharply in the U.S. in November. This is despite general inflation levels decelerating after its peak in 2022.

The Labor Department tracks inflation before it reaches consumers through its producer price index, which rose 0.4 percent from the previous month. Final demands goods, less food and energy, rose 0.2 percent from last month and final demand services rose 0.2 percent from the prior month. The 12-month change in final demand—less food, energy and trade—was 3.5 percent.

Consumer price inflation has decreased from its 40-year high of 9.1 percent in June 2022 but is still above the 2 percent target set by the Federal Reserve.