US wholesale prices dropped in May, adding to evidence that inflation pressures are cooling

By PAUL WISEMAN
AP Economics Writer

WASHINGTON (AP) — Wholesale price increases fell in May, the latest sign that inflation pressures in the United States may be easing as the Federal Reserve considers a timetable for cutting interest rates. The producer price index — which tracks inflation before it reaches consumers — declined 0.2% from April to May after rising 0.5% the month before. Measured from a year earlier, wholesale prices were up 2.2% in May. The producer price index can provide an early read on where consumer inflation is headed. The wholesale figures were released a day after the government reported that consumer inflation eased in May for a second straight month.