FOR DATA ONLY:  (202) 691-5200     USDL 01-250
FOR TECHNICAL INFORMATION:         TRANSMISSION OF MATERIAL IN
(202) 691-7705                     THIS RELEASE IS EMBARGOED
MEDIA CONTACT:  (202) 691-5902     UNTIL 8:30 A.M. (E.D.T.), FRIDAY,
http://stats.bls.gov/ppihome.htm   AUGUST 10, 2001
                                     
                    Producer Price Indexes -- July 2001

     The Producer Price Index for Finished Goods declined 0.9 percent in
July, seasonally adjusted, the Bureau of Labor Statistics of the U.S.
Department of Labor reported today.  This index posted a 0.4-percent drop
in June and increased 0.1 percent in May.  The index for finished goods
other than foods and energy rose 0.2 percent in July, after inching up 0.1
percent a month ago.  Prices received by manufacturers of intermediate
goods fell 1.0 percent, following a 0.1-percent decrease a month earlier.
The crude goods index posted a 5.3-percent decline, after moving down 6.0
percent in June.  (See table A.)

 Table A.  Monthly and annual percent changes in selected stage-of-processing price
 indexes, seasonally adjusted
 ______________________________________________________________________________________
|        |                                                         |         |         |
|        |                   Finished  goods                       |         |         |
|        |                                                         |         |         |
|        |---------------------------------------------------------|         |         |
|        |          |          |          |         |  Change in   |         |         |
|        |          |          |          | Except  |finished goods| Inter-  |         |
|        |          |          |          |foods and|from 12 months| mediate |  Crude  |
| Month  |  Total   |  Foods   |  Energy  | energy  |  ago(unadj.) | goods   |  goods  |
|--------------------------------------------------------------------------------------|
  2000                                                           
    July     -0.1       -0.1       -0.6       0.1         4.3          0.2      -2.0
    Aug.      -.1        -.4       -1.2        .2         3.4          -.3      -3.6
   Sept.       .7         .2        3.4        .3         3.5           .8       7.1
    Oct.       .4         .7        1.5         0         3.7           .2       3.8
    Nov.       .1         .2         .5        .1         3.8          -.2      -1.3
    Dec.       .1        -.3         .8        .1         3.6           .4       9.3
                                                                                    
  2001                                                                              
    Jan.      1.1         .9        4.4        .5         4.8           .8      17.5
    Feb.       .1         .8         .4       -.3         4.0          -.2     -14.5
    Mar.     r-.1        r.9      r-2.4        .1        r3.0         r-.3     r-6.7
    Apr.      r.4        r.5        r.8        .2         3.7          -.2       r.4
     May       .1        -.4         .2        .2         3.8           .1      -2.3
    June      -.4         .1       -2.5        .1         2.5          -.1      -6.0
    July      -.9        -.6       -5.8        .2         1.5         -1.0      -5.3
 r=revised.  Some of the figures shown above and elsewhere in this release may differ 
 from those previously reported because data for March 2001 have been revised to 
 reflect the availability of late reports and corrections by respondents.

                                    -2-

     July's faster rate of decline in the finished goods index was
primarily due to finished energy goods prices, which fell 5.8 percent in
July and 2.5 percent in June.  In addition, the index for finished consumer
foods turned down 0.6 percent, following a slight increase in June.  By
contrast, the index for consumer goods other than foods and energy edged up
0.1 percent in July, after showing no change a month earlier.  The capital
equipment index rose 0.2 percent, slightly more than June's increase of 0.1 percent.

     Before seasonal adjustment, the Producer Price Index for Finished
Goods fell 1.0 percent in July to stand at 140.7 (1982=100).  From July
2000 to July 2001, prices for finished goods advanced 1.5 percent.  During
the same period, the index for finished goods other than foods and energy
rose 1.6 percent, prices for finished consumer foods increased 2.7 percent,
and the finished energy goods index decreased 0.3 percent.  At the earlier
stages of processing, prices received by manufacturers of intermediate
goods showed no change for the 12 months ended in July, and the index for
crude goods declined 5.4 percent.

Finished goods

     The finished energy goods index fell 5.8 percent in July, after
posting a 2.5-percent decrease in June.  A 17.7-percent drop in July prices
for gasoline was the biggest one-month rate of decrease in 15 years and
followed a 3.7-percent decline in June.  Prices for liquefied petroleum gas
and home heating oil also fell more in July than they did in the previous
month.  (See "One-Month Lag in Producer Price Indexes for Liquefied
Petroleum Gas Removed.")  The index for diesel fuel turned down, after
rising a month earlier.  By contrast, prices for residential electric power
turned up 2.2 percent in July, following a 1.5-percent decline in June.
The index for residential natural gas fell at a slower rate than a month
ago.

Table B.  Monthly and annual percent changes in selected price indexes for 
intermediate goods and crude goods, seasonally adjusted
 __________________________________________________________________________________
|      |                                     |                                     |
|      |       Intermediate goods            |       Crude goods                   |
|      |                                     |                                     |
|      |---------------------------------------------------------------------------|
|      |       |        |         |Change in |       |         |         | Change  |
|      |       |        |         | interme- |       |         |         |in crude |
|      |       |        |         |  diate   |       |         |         | goods   |
|      |       |        |         |goods from|       |         |         | from 12 |
|      |       |        |Excluding|12 months |       |         |Excluding| months  |
|      |       |        |foods and|months ago|       | Energy  |foods and|  ago    |
|Month | Foods | Energy | energy  | (unadj.) | Foods | (unadj.)| energy  |(unadj.) |
|----------------------------------------------------------------------------------|
 2000                                                                    
   July   -0.6     1.0      0.2        5.2      -1.9     -2.3      -1.5      25.3
   Aug.   -2.0     -.5      -.1        4.3      -3.9     -4.1      -1.6      14.7
  Sept.     .6     4.3        0        4.6       3.8     11.7        .8      17.4
   Oct.     .6     1.1        0        4.6       3.1      5.9       -.8      25.3
   Nov.     .2     -.2      -.1        4.2       1.2     -2.7      -2.1      17.6
   Dec.    1.8     1.4        0        4.1       3.6     15.8        .4      35.5
                                                                               
 2001                                                                          
   Jan.    1.4     4.1       .1        4.6       1.6     31.7         0      55.7
   Feb.   -1.1    -1.7       .1        3.5      -1.3    -23.0      -1.8      28.0
   Mar.    r.4   r-2.4       .1        2.3      r3.4   r-14.0     r-1.0     r17.1
   Apr.   r-.2    r-.6      -.1        2.0      r-.6     r2.2     r-3.3      19.4
    May     .3      .1       .1        2.3      -1.1     -3.7       -.2      12.9
   June    1.3     -.1      -.3        1.2       -.1    -11.9       -.2      -2.2
   July     .6    -3.8      -.4          0        .6    -11.5       -.9      -5.4
 r=revised.  Some of the figures shown above and elsewhere in this release may 
 differ from those previously reported because data for March 2001 have been 
 revised to reflect the availability of late reports and corrections by 
 respondents.

                                    -3-
     
     Prices for finished consumer foods posted a 0.6-percent decline, after
edging up 0.1 percent in June.  Prices for fresh fruits and melons
decreased 13.6 percent, following a 1.7-percent drop a month ago.  The
indexes for beef and veal, dairy products, processed young chickens, and
soft drinks turned down in July, after rising in the prior month.  Fresh
and dry vegetable prices fell more than they did a month earlier.  On the
other hand, the pork index advanced 5.4 percent in July, following a 1.0-
percent decline in June.  Prices for finfish and shellfish, eggs for fresh
use, and roasted coffee also turned up, after falling in the previous
month.  The index for processed fruits and vegetables increased more than
it did in June.

     The index for finished consumer goods other than foods and energy
inched up 0.1 percent in July, following no change in June.  Rising prices
for light motor trucks, book publishing, passenger car radial tires,
women's apparel, and pharmaceutical preparations slightly outweighed
falling prices for passenger cars, sanitary papers and health products,
household appliances, cosmetics, and cigarettes.

     The capital equipment index increased 0.2 percent in July, after
edging up 0.1 percent in June.  A 2.3-percent rise in light motor truck
prices led the advance in the capital equipment index.  Prices for civilian
aircraft, heavy motor trucks, commercial furniture, ships, and construction
machinery also rose in July.  By contrast, the indexes for metal cutting
machine tools, communication and related equipment, passenger cars, x-ray
and electromedical equipment, industrial material handling equipment, and
electronic computers fell in July.

Intermediate goods

     The Producer Price Index for Intermediate Materials, Supplies, and
Components dropped 1.0 percent in July, after registering a 0.1-percent
decline in June.  Prices for intermediate energy goods, nondurable
manufacturing materials, and durable manufacturing materials fell more than
they did a month prior.  The index for materials and components for
construction turned down, after rising in June.  Prices for intermediate
foods and feeds rose less than they did in the previous month.  The July
index for intermediate materials less foods and energy decreased 0.4
percent, slightly more than the 0.3-percent decrease posted in June.  (See
table B.)
     
     The index for intermediate energy goods fell 3.8 percent in July,
following a 0.1-percent decrease in June.  Prices for gasoline dropped 17.7
percent, after declining 3.7 percent a month earlier.  The indexes for
diesel fuel, commercial electric power, and jet fuels turned down in July,
after posting gains in June.  Prices for coke oven products showed no
change in July, compared with a 0.7-percent increase in the prior month. On
the other hand, the index for industrial electric power rose 3.9 percent in
July, following a 1.7-percent increase in June.  Residual fuel prices
turned up in July.  The indexes for industrial natural gas, commercial
natural gas, and natural gas to electric utilities fell less than they did
in June.
     
     Prices for materials and components for construction decreased 0.5
percent in July, after posting a 0.1-percent gain in the previous month.
The index for softwood lumber fell 5.7 percent, following a 0.6 percent
rise in June.  Prices for plywood, millwork, plastic construction products,
plumbing fixtures and brass fittings, and gypsum products also turned down
in June.  By contrast, the index for fabricated structural metal products
increased 0.1 percent in July, after showing no change a month earlier.
Prices for asphalt felts and coating rose more than they did in the prior
month.  The index for fabricated ferrous wire products fell less in July
than it did in June.  Prices for cement turned up, following a decline in
the previous month.
     
     The index for nondurable manufacturing materials decreased 1.1 percent
in July, following a 0.6-percent decline in the previous month.  Prices for
basic organic chemicals dropped 3.2 percent, after falling 1.0 percent in
June.  The indexes for gray fabrics, phosphates, finished fabrics, and
paint materials turned down, after rising a month ago.  Prices for plastic
resins and materials fell more than they did in June.  On the other hand,
the index for paperboard posted a 0.1-percent gain, following a 0.7-percent
decrease in the prior month.  Prices for nitrogenates and woodpulp fell
less in July than they did in June.  The indexes for basic inorganic
chemicals, medicinal and botanical chemicals, and synthetic fibers turned
up in July.

                                    -4-
     
     Prices for durable manufacturing materials decreased 0.9 percent,
after falling 0.4 percent a month ago.  The plywood index dropped 5.9
percent in July, following a 0.5-percent rise in June.  Prices for aluminum
extrusion billet, hot rolled sheet and strip, and for building paper and
board fell more than they did in the previous month.  The indexes for
copper and brass mill shapes, semi-finished steel mill products, prepared
paint, silver, and gold turned down, after showing gains in June.  By
contrast, prices for hot rolled bars, plates, and structural shapes posted
a 1.5-percent rise in July, following a 0.5-percent decline in the prior
month.  The indexes for aluminum mill shapes and cement turned up, after
falling in June.  Prices for cold rolled sheet and strip, primary aluminum
(except extrusion billet), and cold finished bars fell less than they did a
month ago.
     
     The index for intermediate foods and feeds increased 0.6 percent in
July, following a 1.3 percent rise in June.  Prices for prepared animal
feeds posted a 0.7-percent gain, following a 1.7-percent increase in the
previous month.  The indexes for beef and veal, flour, refined sugar, and
dry milk products turned down, after rising in June.  After increasing in
June, prices for fluid milk products showed no change in July.  The index
for natural, processed, and imitation cheese rose less than it did a month
ago.  On the other hand, pork prices posted a 5.4-percent increase in July,
following a 1.0-percent decline in June.  The index for confectionery
materials fell less than it did in the prior month.  Prices for liquid
beverage bases (used for soft drinks) showed no change, after declining in
June.  The index for snack chips rose more in July than it did a month ago.
Prices for liquid milk products increased, after showing no change in June.
     
Crude goods

     The Producer Price Index for Crude Materials for Further Processing
declined 5.3 percent in July, following a 6.0-percent drop in June.  Prices
for crude energy materials fell less than they did in the previous month,
while the index for crude foodstuffs and feedstuffs turned up, after edging
down in June.  On the other hand, basic industrial material prices declined
at a faster rate in July than in June.  (See table B.)

     The crude energy materials index fell 11.5 percent in July, a slightly
slower rate of decrease than the 11.9-percent rate registered in June.  A
19.0-percent drop in natural gas prices led the July decline in crude
energy material prices.  Crude petroleum prices decreased 5.1 percent,
following a June rise.  By contrast, the coal index advanced 4.7 percent in
July, after declining 6.6 percent in the prior month.

      Prices for crude foodstuffs and feedstuffs increased 0.6 percent in
July, after edging down 0.1 percent in June.  Accounting for most of this
acceleration, corn prices jumped 16.2 percent, after posting a 2.0-percent
gain in the previous month.  The indexes for slaughter hogs and soybeans
also rose more than they did a month earlier.  Prices for alfalfa hay,
unprocessed finfish, unprocessed shellfish, and raw cane sugar turned up in
July.  Conversely, the fluid milk index fell 3.4 percent, following a 3.4-
percent increase in June.  Prices for slaughter cattle, slaughter broilers
and fryers, fresh fruits and melons, fresh and dry vegetables, and wheat
declined more in July than they did in the prior month.

     The index for crude nonfood materials less energy fell 0.9 percent in
July, after edging down 0.2 percent in June.  A majority of July's faster
rate of decline can be traced to a 6.1-percent decrease in aluminum base
scrap prices, which followed a 0.6-percent fall in the previous month.
Also contributing to this deceleration, the indexes for softwood logs,
bolts, and timber; pulpwood; and phosphates turned down in July.  Prices
for copper base scrap declined more in July than they did a month earlier.
By contrast, the index for iron and steel scrap advanced 3.9 percent in
July, after falling 0.4 percent in June.  Prices for raw cotton and
wastepaper turned up in July.  The gold ores index fell at a slower rate
than it did in June.

                                    -5-

Net output price indexes for mining, manufacturing, and services industries

Mining.  The Producer Price Index for the Net Output of Total Mining
Industries fell 10.5 percent in July, following a 9.4-percent decrease in
June.  (Net output price indexes are not seasonally adjusted.)  Most of
July's faster rate of decline can be traced to a 14.4-percent drop in
prices received by the crude petroleum, natural gas, and natural gas
liquids industry, compared with an 11.7-percent decline in the prior month.
Also contributing to the deceleration in mining industry prices, the
industry group index for mining and quarrying of non-metallic minerals
turned down, after rising in June.  Prices received by the metal mining
industry group fell more in July than they did a month earlier.  By
contrast, the index for the bituminous coal and lignite industry advanced
3.7 percent in July, following a 5.0-percent decrease in the previous
month.  In July, the Producer Price Index for the Net Output of Total
Mining Industries stood at 103.4 (December 1984 = 100), 12.4 percent below
its year-ago level.

Manufacturing.  The Producer Price Index for the Net Output of Total
Manufacturing Industries dropped 1.0 percent in July, after declining 0.2
percent in June.  Leading the way, prices received by the petroleum
refining and related products industry group fell 11.2 percent, following a
3.3-percent decrease in the prior month.  The indexes for the chemicals and
allied products, electrical and electronic machinery and equipment, and
paper and allied products industry groups also declined more in July than
they did a month earlier.  Prices received by the food and kindred products
industry group increased less in July than they did in June.  The indexes
for lumber and wood products (except furniture), measuring and controlling
instruments, and tobacco manufactures industry groups turned down in July.
Prices received by the machinery (except electrical) industry group showed
no change, after rising slightly in June.  On the other hand, the index for
the transportation equipment industry group edged up 0.1 percent in July,
following a 0.2-percent decrease in the previous month.  July prices
received by the industry groups for printing and publishing, apparel,
rubber and miscellaneous plastic products, and non-metallic mineral
products also turned up.  In July, the Producer Price Index for the Net
Output of Total Manufacturing Industries stood at 134.6 (December 1984 =
100), 0.5 percent above its year-ago level.

Services.  Among service industries in July, advancing prices were
registered by offices of physicians, the property and casualty insurance
industry, the legal services industry, the United States Postal Service,
general medical and surgical hospitals, skilled and intermediate care
facilities, the scheduled air transportation industry, hotels and motels,
the deep sea foreign transportation of freight industry, truck rental and
leasing, and life insurance carriers.  Conversely, the industries for
telephone communications (except radiotelephone), travel agencies, airports
and flying fields, help supply services, and wireless telecommunications
experienced falling prices in July.


     
                                   *****
             Producer Price Index data for August 2001 will be
       released on Friday, September 14, 2001 at 8:30 a.m. (E.D.T.)

                                    -6-

                         Resampling of Industries
                                     
     Effective with this release, the Producer Price Index (PPI) includes
data for 25 resampled industries.  The Bureau of Labor Statistics
periodically updates the sample of producers providing data for the PPI to
reflect current conditions more accurately when the structure, membership,
technology, or product mix of an industry shifts significantly.  The first
results of this systematic process were published in July 1986.  Subsequent
efforts have been completed at 6-month intervals.  For information on
specific index additions, deletions, and recodes that are effective this
month, see the July 2001 issue of the PPI Detailed Report or contact the
Section of Index Analysis and Public Information at ppi-info@BLS.gov or
(202) 691-7705.

   Standard
  Industrial
Classification
  (SIC) Code               Industry
-------------------------------------------------------------------------------------
     1021       Copper ores
     2011       Meat packing plants
     2257       Circular knit fabric mills
     2258       Lace and warp knit fabric mills
     2599       Furniture and fixtures, not elsewhere classified
     2771       Greeting card publishing
     2819       Industrial inorganic chemicals, not elsewhere classified
     2834       Pharmaceutical preparations
     2865       Cyclic (coal tar) crudes and intermediates, organic dyes and pigments
     2869       Industrial organic chemicals, not elsewhere classified
     3313       Electrometallurgical products
     3331       Primary copper
     3495       Wire springs
     3535       Conveyors and conveying equipment
     3555       Printing trades machinery
     3559       Special industry machinery, not elsewhere classified
     3572       Computer storage devices
     3578       Calculating and accounting machines
     3873       Watches, clocks, watchcases, and parts
     4212       Local trucking without storage
     4213       Trucking, except local
     4214       Local trucking with storage
     4492       Tugging and towing services
     4731       Freight transportation arrangement
     7011       Hotels and motels

                                    -7-

One-Month Lag in Producer Price Indexes for Liquefied Petroleum Gas Removed
                                     
     Effective with this release, the 1-month lag in the Producer Price
Index (PPI) for Liquefied Petroleum Gas, commodity code 05-32, has been
eliminated.  Since 1971, the liquefied petroleum gas index has been
calculated with prices that lag behind the index reference date by one
month.  For example, the Producer Price Index for January contains
liquefied petroleum gas prices for December.
     
     In order to eliminate this lag, the Bureau of Labor Statistics
utilized the natural gas liquids price data published by the Oil Price
Information Service (OPIS) to estimate the PPI.  These data are used in the
first-released index for liquefied petroleum gas.  As is customary
practice, a revised PPI for Liquefied Petroleum Gas will be published four
months later.  At that time, the interim estimates of price movement using
OPIS data will be replaced with prices from the PPI sample.
     
     The July 2001 PPI for Liquefied Petroleum Gas released on August 10
reflects the prices for this commodity as of July 2001.  Indexes prior to
July continue to represent liquefied petroleum gas prices with a 1-month
lag.  As a result of this modification, the July 2001 percent change for
the liquefied petroleum gas index represents a 2-month (May to July) price
movement.
     
For more information, call the Section of Index Analysis and Public
Information at 202-691-7705.
Table 1.  Producer price indexes and percent changes by stage of processing                                                    
(1982=100)                                                                                                                     
_______________________________________________________________________________________________________________________________
                                                 |          |                       |Unadjusted     |                          
                                                 |          |                       |  percent      |Seasonally adjusted       
                                                 | Relative |    Unadjusted index   |change to      |percent change from:      
                    Grouping                     |importance|                       |July 2001 from:|                          
                                                 |          |_______________________|_______________|__________________________
                                                 |   Dec.   |       |       |       |       |       |       |         |        
                                                 |           Mar.   |June   |July   |  July | June  |Apr. to| May  to |June  to
                                                 |   2000 1/|2001 2/|2001 2/|2001 2/|  2000 | 2001  |   May |   June  |  July  
_________________________________________________|__________|_______|_______|_______|_______|_______|_______|_________|________
                                                 |                                                                             
Finished goods...................................|  100.000   140.9   142.1   140.7     1.5   -1.0      0.1     -0.4    -0.9   
  Finished consumer goods........................|   76.120   141.8   143.3   141.5     1.8   -1.3       .1      -.5    -1.3   
    Finished consumer foods......................|   22.507   141.1   141.9   141.2     2.7    -.5      -.4       .1     -.6   
      Crude......................................|    1.549   137.4   122.2   112.1    -2.9   -8.3     -5.5     -5.4    -7.9   
      Processed..................................|   20.958   141.3   143.5   143.5     3.0    0        0         .5     0     
    Finished consumer goods, excluding foods.....|   53.624   141.9   143.7   141.4     1.4   -1.6       .3      -.7    -1.7   
      Nondurable goods less foods................|   38.191   143.5   146.5   143.1     1.9   -2.3       .5     -1.0    -2.4   
      Durable goods..............................|   15.434   134.1   133.2   133.2      .1    0        -.1      0        .2   
  Capital equipment..............................|   23.868   139.7   139.6   139.8      .9     .1      -.1       .1      .2   
    Manufacturing industries.....................|    6.278   140.2   140.5   140.6      .8     .1      -.1       .1      .1   
    Nonmanufacturing industries..................|   17.590   139.4   139.2   139.4      .9     .1      -.1       .1      .3   
                                                 |                                                                             
Intermediate materials, supplies, and components.|  100.000   130.7   131.4   130.3     0      -.8       .1      -.1    -1.0   
  Materials and components for manufacturing.....|   45.385   129.0   128.3   127.5    -1.1    -.6      -.2      -.2     -.5   
    Materials for food manufacturing.............|    3.224   122.4   125.7   126.1     4.6     .3       .4      1.0      .2   
    Materials for nondurable manufacturing.......|   15.685   135.9   133.4   131.9    -1.9   -1.1      -.7      -.6    -1.1   
    Materials for durable manufacturing..........|    9.861   126.5   126.5   125.3    -3.2    -.9       .8      -.4     -.9   
    Components for manufacturing.................|   16.616   126.6   126.4   126.2     -.1    -.2      -.1      0       -.1   
  Materials and components for construction......|   13.216   150.2   151.7   151.0      .1    -.5       .8       .1     -.5   
  Processed fuels and lubricants.................|   15.634   105.9   110.2   106.8     1.7   -3.1       .1      -.1    -3.9   
    Manufacturing industries ....................|    5.555   106.3   108.7   108.7     4.1    0        -.7      -.7     -.6   
    Nonmanufacturing industries..................|   10.080   105.4   110.7   105.3      .4   -4.9       .5       .4    -5.7   
  Containers.....................................|    3.966   153.1   154.1   153.6      .2    -.3       .3       .1     -.3   
  Supplies.......................................|   21.799   138.8   138.8   138.8     1.1    0        0        -.1     0     
    Manufacturing industries.....................|    5.024   145.6   145.7   145.7     1.2    0        -.2      -.3     -.1   
    Nonmanufacturing industries..................|   16.775   135.8   135.9   135.8     1.0    -.1       .1      -.1     -.1   
      Feeds......................................|    1.229    95.5    95.0    96.8     1.8    1.9      0        1.9     1.9   
      Other supplies.............................|   15.546   140.7   140.8   140.6      .9    -.1       .1      -.3     -.1   
                                                 |                                                                             
Crude materials for further processing...........|  100.000   132.2   122.8   116.1    -5.4   -5.5     -2.3     -6.0    -5.3   
  Foodstuffs and feedstuffs......................|   30.898   109.1   109.7   109.6    10.4    -.1     -1.1      -.1      .6   
  Nonfood materials..............................|   69.102   143.3   127.4   116.3   -13.5   -8.7     -2.9     -9.2    -8.7   
    Nonfood materials except fuel 3/.............|   28.621   106.1   107.4   104.3   -10.4   -2.9       .8       .5    -2.9   
      Manufacturing 3/...........................|   27.686    97.6    98.7    95.8   -10.6   -2.9       .7       .4    -2.9   
      Construction...............................|    0.935   180.9   184.9   183.4    -4.7    -.8      1.0      1.1     -.8   
    Crude fuel 4/................................|   40.481   182.9   144.7   123.5   -16.7  -14.7     -5.8    -17.3   -14.7   
      Manufacturing industries...................|    3.470   182.0   143.8   121.2   -18.1  -15.7     -6.1    -16.9   -15.7   
      Nonmanufacturing industries................|   37.011   186.2   147.3   126.0   -16.5  -14.5     -5.8    -17.4   -14.5   
                                                 |                                                                             
               Special groupings                 |                                                                             
                                                 |                                                                             
Finished goods, excluding foods..................|5/ 77.493   140.8   142.0   140.5     1.2   -1.1       .2      -.5    -1.1   
Intermediate materials less foods and feeds......|6/ 95.547   131.6   132.3   131.0     -.2   -1.0       .2      -.2    -1.1   
Intermediate foods and feeds.....................|6/  4.453   114.2   116.3   117.1     3.9     .7       .3      1.3      .6   
Crude materials less agricultural products 3/ 7/.|8/ 67.222   145.5   129.7   118.1   -13.4   -8.9     -2.9     -9.4    -8.9   
                                                 |                                                                             
Finished energy goods............................|5/ 15.512    99.0   102.7    97.0     -.3   -5.6       .2     -2.5    -5.8   
Finished goods less energy.......................|5/ 84.488   147.2   147.6   147.5     1.9    -.1       .1       .1     0     
Finished consumer goods less energy..............|5/ 60.620   150.3   150.9   150.7     2.3    -.1       .1       .1     -.1   
                                                 |                                                                             
Finished goods less foods and energy.............|5/ 61.981   149.6   149.9   149.9     1.6    0         .2       .1      .2   
Finished consumer goods less foods and energy....|5/ 38.113   156.3   156.7   156.8     2.1     .1       .4      0        .1   
Consumer nondurable goods less foods and energy..|5/ 22.679   173.8   175.5   175.5     3.5    0         .7       .1     0     
                                                 |                                                                             
Intermediate energy goods........................|6/ 15.755   105.5   109.7   106.3     1.6   -3.1       .1      -.1    -3.8   
Intermediate materials less energy...............|6/ 84.245   136.0   135.9   135.3     -.3    -.4       .1      -.1     -.4   
Intermediate materials less foods and energy.....|6/ 79.792   137.5   137.2   136.5     -.5    -.5       .1      -.3     -.4   
                                                 |                                                                             
Crude energy materials 3/........................|8/ 54.136   142.1   123.1   109.0   -14.6  -11.5     -3.7    -11.9   -11.5   
Crude materials less energy......................|8/ 45.864   115.6   114.8   114.3     3.2    -.4      -.9      -.2      .2   
Crude nonfood materials less energy 4/...........|8/ 14.966   135.6   130.6   129.4   -10.3    -.9      -.2      -.2     -.9   
                                                 |                                                                             
_______________________________________________________________________________________________________________________________
                                                                                                                               
  1/  Comprehensive relative importance figures are initially computed          3/  Includes crude petroleum.                  
      after the publication of December indexes and are recalculated            4/  Excludes crude petroleum.                  
      after final December indexes are available.  The first-published          5/  Percent of total finished goods.           
      and final December relative importances initially appear,                 6/  Percent of total intermediate materials.   
      respectively, in the release tables containing January and May data.      7/  Formerly titled "Crude materials for       
  2/  The indexes for March 2001 have been recalculated to incorporate              further processing, excluding crude        
      late reports and corrections by respondents.  All indexes                     foodstuffs and feedstuffs, plant and       
      are subject to revision 4 months after original publication.                  animal fibers, oilseeds, and leaf tobacco."
                                                                                8/  Percent of total crude materials.          
Table 2.  Producer price indexes and percent changes for selected commodity groupings by stage of processing                         
(1982=100 unless otherwise indicated)                                                                                                
____________________________________________________________________________________________________________________________________ 
           |                                                       |                       |Unadjusted     |                         
           |                                                       |                       | percent       |Seasonally adjusted      
           |                                                       |   Unadjusted index    |change to      |percent change from:     
 Commodity |                                                       |                       |July 2001 from:|                         
   code    |                      Grouping                         |_______________________|_______________|________________________ 
           |                                                       |       |       |       |       |       |       |       |         
           |                                                       |Mar.   |June   |July   | July  | June  |Apr. to| May to|June to  
           |                                                       |2001 1/|2001 1/|2001 1/| 2000  | 2001  |   May |  June |  July   
___________|_______________________________________________________|_______|_______|_______|_______|_______|_______|_______|________ 
           |                                                       |                                                                 
           |FINISHED GOODS.........................................| 140.9   142.1   140.7     1.5   -1.0      0.1    -0.4    -0.9   
           | FINISHED CONSUMER GOODS...............................| 141.8   143.3   141.5     1.8   -1.3       .1     -.5    -1.3   
           |  FINISHED CONSUMER FOODS..............................| 141.1   141.9   141.2     2.7    -.5      -.4      .1     -.6   
           |                                                       |                                                                 
01-11      |   Fresh fruits and melons 2/..........................|  92.6    98.3    84.9      .4  -13.6      6.0    -1.7   -13.6   
01-13      |   Fresh and dry vegetables 2/.........................| 152.7   120.5   105.4   -11.9  -12.5       .7    -7.2   -12.5   
01-71-07   |   Eggs for fresh use (Dec. 1991=100)..................|  88.2    71.8    69.9     -.6   -2.6    -21.4   -13.5      .5   
02-11      |   Bakery products 2/..................................| 186.5   188.2   188.7     3.4     .3       .1      .4      .3   
02-13      |   Milled rice 2/......................................|  90.3    86.2    85.5   -15.4    -.8     -1.9     -.1     -.8   
02-14-02   |   Pasta products (June 1985=100) 2/...................| 122.2   122.3   122.2      .6    -.1      -.1      .1     -.1   
02-21-01   |   Beef and veal.......................................| 125.9   123.4   119.0     2.9   -3.6     -2.7      .9    -2.8   
02-21-04   |   Pork................................................| 117.3   124.1   130.7     5.9    5.3     -3.3    -1.0     5.4   
02-22-03   |   Processed young chickens............................| 113.2   117.5   117.1     8.6    -.3     -1.3      .9    -3.1   
02-22-06   |   Processed turkeys...................................|  94.9    98.8    96.4    -2.0   -2.4       .6    -3.7    -4.2   
02-23      |   Finfish and shellfish...............................| 200.9   183.1   185.8    -5.6    1.5     -6.1    -5.7     1.5   
02-3       |   Dairy products......................................| 138.7   150.1   150.9    11.1     .5      4.6     1.6     -.1   
02-4       |   Processed fruits and vegetables 2/..................| 128.2   128.2   128.8      .1     .5      -.3      .2      .5   
02-55      |   Confectionery end products 2/.......................| 170.7   170.6   170.7     -.3     .1      0       0        .1   
02-62      |   Soft drinks.........................................| 148.8   147.9   147.2     1.7    -.5       .1      .5     -.4   
02-63-01   |   Roasted coffee 2/...................................| 126.1   123.7   123.8    -6.8     .1      -.1     -.4      .1   
02-78      |   Shortening and cooking oils 2/......................| 131.4   131.0   132.5     1.1    1.1      -.1      .3     1.1   
           |                                                       |                                                                 
           |  FINISHED CONSUMER GOODS EXCLUDING FOODS..............| 141.9   143.7   141.4     1.4   -1.6       .3     -.7    -1.7   
           |                                                       |                                                                 
02-61      |   Alcoholic beverages.................................| 145.0   145.4   145.3     2.9    -.1       .3      .1     -.1   
03-81-01   |   Women's apparel 2/..................................| 124.0   122.0   122.3    -1.8     .2      -.4     -.4      .2   
03-81-02   |   Men's and boys' apparel.............................| 132.7   132.7   132.7     -.5    0         .7     -.2     -.1   
03-81-03   |   Girls', children's, and infants' apparel 2/.........| 116.4   116.5   116.6    -1.2     .1       .3     -.1      .1   
03-82      |   Textile housefurnishings 2/.........................| 122.3   122.3   122.4     -.1     .1      -.5     0        .1   
04-3       |   Footwear 2/.........................................| 145.8   146.7   146.6     1.1    -.1      -.7      .3     -.1   
05-41      |   Residential electric power (Dec. 1990=100)..........| 113.3   118.6   121.7     6.2    2.6       .7    -1.5     2.2   
05-51      |   Residential gas (Dec. 1990=100).....................| 177.1   162.6   155.6    12.8   -4.3       .2    -5.8    -4.0   
05-71      |   Gasoline............................................|  90.6   106.1    88.2   -11.8  -16.9       .4    -3.7   -17.7   
05-73-02-01|   Fuel oil No. 2......................................|  83.7    90.6    82.9    -6.6   -8.5      8.0     -.2    -9.1   
06-38      |   Pharmaceutical preparations (June 2001=100) 2/......|   (3)   100.0   100.1     (3)     .1      (3)     (3)      .1   
06-71      |   Soaps and synthetic detergents 2/...................| 130.3   130.5   130.5     2.3    0         .1     0       0     
06-75      |   Cosmetics and other toilet preparations 2/..........| 138.6   138.9   138.2      .9    -.5       .1     -.1     -.5   
07-12      |   Tires, tubes, tread, etc 2/.........................|  94.0    93.4    94.6     1.1    1.3      -.5     0       1.3   
09-15-01   |   Sanitary papers and health products 2/..............| 145.9   146.4   145.3     -.9    -.8      -.1      .1     -.8   
09-31-01   |   Newspaper circulation 2/............................| 218.3   219.0   219.0     5.0    0         .5      .2     0     
09-32-01   |   Periodical circulation..............................| 200.5   200.4   199.6     -.6    -.4      0       -.2     -.5   
09-33      |   Book publishing.....................................| 223.8   222.8   224.0     3.2     .5      2.2    -1.2      .9   
12-1       |   Household furniture 2/..............................| 154.4   154.8   154.8     1.3    0         .1     0       0     
12-3       |   Floor coverings 2/..................................| 129.9   129.6   129.8      .4     .2      -.4     -.3      .2   
12-4       |   Household appliances ...............................| 105.6   105.3   104.2    -3.2   -1.0      -.2     0      -1.0   
12-5       |   Home electronic equipment 2/........................|  71.2    69.8    69.7    -2.8    -.1      0      -1.8     -.1   
12-62      |   Household glassware.................................| 168.8   170.5   169.9     2.4    -.4       .4      .3     -.2   
12-64      |   Household flatware 2/...............................| 142.0   143.2   143.2     2.8    0       -4.7     -.8     0     
12-66      |   Lawn and garden equip., ex. tractors 2/.............| 132.7   132.3   132.1      .4    -.2       .5     0       -.2   
14-11-01   |   Passenger cars......................................| 133.5   130.9   130.2     -.3    -.5      -.1      .1     -.3   
15-11      |   Toys, games, and children's vehicles 2/.............| 123.0   123.0   123.0      .7    0        0       0       0     
15-12      |   Sporting and athletic goods 2/......................| 126.3   126.1   126.0     -.1    -.1      -.7     -.4     -.1   
15-2       |   Tobacco products 2/.................................| 426.8   447.8   447.4    13.7    -.1      4.9      .1     -.1   
15-5       |   Mobile homes 2/.....................................| 162.2   163.9   164.8     2.0     .5       .1      .6      .5   
15-94-02   |   Jewelry, platinum, & karat gold 2/..................| 127.0   128.5   129.3     1.5     .6      1.7      .1      .6   
15-94-04   |   Costume jewelry and novelties 2/....................| 144.1   144.1   144.1     1.3    0        1.3     0       0     
           |                                                       |                                                                 
           | CAPITAL EQUIPMENT.....................................| 139.7   139.6   139.8      .9     .1      -.1      .1      .2   
           |                                                       |                                                                 
11-1       |   Agricultural machinery and equipment 2/.............| 155.3   155.0   154.9      .9    -.1       .1     -.1     -.1   
11-2       |   Construction machinery and equipment................| 149.0   149.0   149.1      .3     .1      0        .1      .1   
11-37      |   Metal cutting machine tools 2/......................| 163.6   163.6   153.3    -5.4   -6.3      -.1     0      -6.3   
11-38      |   Metal forming machine tools 2/......................| 163.9   164.9   165.4     2.0     .3       .4      .2      .3   
11-39      |   Tools, dies, jigs, fixtures, and ind. molds 2/......| 140.7   142.0   141.8      .5    -.1      -.1     1.4     -.1   
11-41      |   Pumps, compressors, and equipment...................| 156.2   156.4   156.7     1.3     .2       .3     -.3      .1   
11-44      |   Industrial material handling equipment 2/...........| 136.3   137.5   137.1     1.6    -.3      -.1      .7     -.3   
11-51      |   Electronic computers (Dec. 1998=100) 2/.............|  61.5    59.1    58.9   -19.0    -.3     -1.0    -2.8     -.3   
11-62      |   Textile machinery 2/................................| 156.9   157.9   158.3     1.1     .3      -.1      .3      .3   
11-64      |   Paper industries machinery (June 1982=100)..........| 166.2   167.2   167.2     1.3    0        -.2      .7      .1   
11-65      |   Printing trades machinery 2/........................| 143.6   143.9   143.9     1.6    0        0        .1     0     
11-74      |   Transformers and power regulators 2/................| 135.0   134.3   134.3    -1.6    0        -.9      .1     0     
11-76      |   Communication & related equip. (Dec. 1985=100) 2/...| 110.3   110.3   110.0     -.5    -.3      -.1     0       -.3   
11-79-05   |   X-ray and electromedical equipment 2/...............|  99.6    99.5    99.0    -3.6    -.5      -.1      .8     -.5   
11-91      |   Oil field and gas field machinery ..................| 133.4   134.7   134.8     5.3     .1      1.6      .6      .2   
11-92      |   Mining machinery and equipment 2/...................| 147.6   148.7   148.7     1.6    0         .4      .2     0     
11-93      |   Office and store machines and equipment 2/..........| 112.0   112.8   112.9     -.3     .1      -.2      .7      .1   
12-2       |   Commercial furniture 2/.............................| 160.1   160.5   160.8     1.5     .2      0        .2      .2   
14-11-05   |   Light motor trucks..................................| 154.5   152.0   154.0     -.7    1.3     -1.6      .5     2.3   
14-11-06   |   Heavy motor trucks 2/...............................| 146.6   147.1   148.5      .2    1.0      -.3    -2.0     1.0   
14-14      |   Truck trailers 2/...................................| 138.8   138.8   138.8     -.9    0        0       -.1     0     
14-21-02   |   Civilian aircraft (Dec. 1985=100)...................| 166.3   168.6   169.7     6.1     .7       .3      .8      .8   
14-31      |   Ships (Dec. 1985=100) 2/............................| 148.6   148.7   151.4     3.3    1.8       .1     0       1.8   
14-4       |   Railroad equipment 2/...............................| 135.4   135.6   135.6     -.1    0        0       -.1     0     
           |                                                       |                                                                 
           |INTERMEDIATE MATERIALS, SUPPLIES, AND COMPONENTS.......| 130.7   131.4   130.3     0      -.8       .1     -.1    -1.0   
           |                                                       |                                                                 
           | INTERMEDIATE FOODS AND FEEDS..........................| 114.2   116.3   117.1     3.9     .7       .3     1.3      .6   
           |                                                       |                                                                 
02-12-03   |   Flour 2/............................................| 108.8   110.7   110.3     7.4    -.4      1.6     1.0     -.4   
02-53      |   Refined sugar 2/....................................| 109.2   109.6   108.6    -2.5    -.9       .6      .7     -.9   
02-54      |   Confectionery materials.............................| 105.5   104.9   104.8    11.6    -.1      1.0    -1.9     -.1   
02-72      |   Crude vegetable oils 2/.............................|  65.8    70.9    73.0      .4    3.0      2.7     3.4     3.0   
02-9       |   Prepared animal feeds 2/............................| 104.2   104.0   104.7     1.4     .7      0       1.7      .7   
           |                                                       |                                                                 
           | INTERMEDIATE MATERIALS LESS FOODS AND FEEDS...........| 131.6   132.3   131.0     -.2   -1.0       .2     -.2    -1.1   
           |                                                       |                                                                 
03-1       |   Synthetic fibers 2/.................................| 111.0   107.7   108.2      .8     .5     -3.0     -.6      .5   
03-2       |   Processed yarns and threads 2/......................| 107.6   106.3   105.0    -2.8   -1.2      -.4     -.5    -1.2   
03-3       |   Gray fabrics 2/.....................................| 115.6   115.1   113.3      .4   -1.6     -1.2     1.1    -1.6   
03-4       |   Finished fabrics....................................| 122.9   123.5   123.4      .3    -.1      -.1      .7     -.2   
03-83-03   |   Industrial textile products 2/......................| 131.4   132.7   133.3     1.5     .5       .2      .3      .5   
04-2       |   Leather 2/..........................................| 199.9   207.3   202.3    12.9   -2.4      1.4    -1.1    -2.4   
05-32      |   Liquefied petroleum gas 2/..........................| 152.6   127.5   104.8   -22.1  -17.8     -7.4    -1.3   -17.8   
____________________________________________________________________________________________________________________________________ 
See footnotes at end of table.                                                                                                       

Table 2.  Producer price indexes and percent changes for selected commodity groupings by stage of processing - Continued             
(1982=100 unless otherwise indicated)                                                                                                
____________________________________________________________________________________________________________________________________ 
           |                                                       |                       |Unadjusted     |                         
           |                                                       |                       | percent       |Seasonally adjusted      
           |                                                       |   Unadjusted index    |change to      |percent change from:     
 Commodity |                                                       |                       |July 2001 from:|                         
   code    |                      Grouping                         |_______________________|_______________|________________________ 
           |                                                       |       |       |       |       |       |       |       |         
           |                                                       |Mar.   |June   |July   | July  | June  |Apr. to| May to|June to  
           |                                                       |2001 1/|2001 1/|2001 1/| 2000  | 2001  |   May |  June |  July   
___________|_______________________________________________________|_______|_______|_______|_______|_______|_______|_______|________ 
           |                                                       |                                                                 
           | INTERMEDIATE MATERIALS LESS FOODS AND FEEDS           |                                                                 
           |   -Continued..........................................|                                                                 
05-42      |   Commercial electric power...........................| 134.6   146.7   148.3     7.2    1.1     -0.8     3.1    -0.1   
05-43      |   Industrial electric power...........................| 136.5   142.9   149.7     9.9    4.8     -1.6     1.7     3.9   
05-52      |   Commercial natural gas (Dec. 1990=100)..............| 193.5   167.9   158.9    16.0   -5.4      1.0    -8.8    -6.2   
05-53      |   Industrial natural gas (Dec. 1990=100)..............| 204.2   177.5   167.7    19.4   -5.5      1.6   -10.3    -5.5   
05-54      |   Natural gas to electric utilities (Dec. 1990=100)...| 192.6   139.6   130.0     3.3   -6.9     -7.8   -13.1    -5.5   
05-72-03   |   Jet fuels...........................................|  82.1    83.1    78.9    -5.4   -5.1      5.7     2.3    -5.6   
05-73-03   |   No. 2 Diesel fuel...................................|  83.5    92.6    85.0    -5.0   -8.2      5.5     6.6    -8.1   
05-74      |   Residual fuel 2/....................................|  78.1    72.6    74.5   -18.9    2.6     -1.0    -4.6     2.6   
06-1       |   Industrial chemicals 2/.............................| 134.6   130.6   127.4    -4.0   -2.5      0       -.8    -2.5   
06-21      |   Prepared paint......................................| 164.1   164.7   164.1     1.9    -.4       .1      .5     -.2   
06-22      |   Paint materials 2/..................................| 151.7   152.1   149.8      .7   -1.5     -1.3      .9    -1.5   
06-31      |   Medicinal and botanical chemicals 2/................| 144.0   139.4   141.0    -3.6    1.1       .4     -.1     1.1   
06-4       |   Fats and oils, inedible 2/..........................|  65.4    72.0    81.3    22.6   12.9      5.7     7.3    12.9   
06-51      |   Mixed fertilizers...................................| 117.8   119.7   118.9     5.8    -.7       .8     1.2     -.3   
06-52-01   |   Nitrogenates........................................| 183.9   145.8   134.6    11.8   -7.7     -4.0    -9.0    -5.8   
06-52-02   |   Phosphates 2/.......................................|  98.2    98.3    95.1     4.0   -3.3     -2.8     1.7    -3.3   
06-53      |   Other agricultural chemicals 2/.....................| 147.7   148.5   147.8     1.0    -.5       .7     -.7     -.5   
06-6       |   Plastic resins and materials 2/.....................| 141.4   140.2   137.3    -6.2   -2.1     -2.6    -1.1    -2.1   
07-11-02   |   Synthetic rubber 2/.................................| 124.3   124.2   124.5     5.2     .2      -.6      .4      .2   
07-21      |   Plastic construction products ......................| 133.9   134.6   134.0    -3.4    -.4      -.5      .1     -.9   
07-22      |   Unsupported plastic film, sheet, & other shapes 2/..| 139.5   138.7   137.9     4.4    -.6     -2.2      .2     -.6   
07-26      |   Plastic parts and components for manufacturing 2/...| 117.3   117.3   117.3      .1    0        -.2     0       0     
08-11      |   Softwood lumber 2/..................................| 165.7   186.3   175.7      .7   -5.7     11.2      .6    -5.7   
08-12      |   Hardwood lumber ....................................| 184.6   180.7   180.1    -3.5    -.3      -.8     -.6     -.1   
08-2       |   Millwork 2/.........................................| 177.7   179.4   179.3     1.4    -.1       .4      .5     -.1   
08-3       |   Plywood 2/..........................................| 148.0   166.5   156.6     1.7   -5.9     12.6      .5    -5.9   
09-11      |   Woodpulp 2/.........................................| 138.4   125.1   122.5   -17.5   -2.1     -2.2    -2.9    -2.1   
09-13      |   Paper 2/............................................| 152.9   152.2   152.0      .9    -.1      -.6      .1     -.1   
09-14      |   Paperboard 2/.......................................| 175.8   172.3   172.4    -4.7     .1      -.7     -.7      .1   
09-15-03   |   Paper boxes and containers 2/.......................| 175.2   176.2   175.5      .3    -.4       .5      .2     -.4   
09-2       |   Building paper and board 2/.........................| 127.1   137.1   134.7    -2.3   -1.8      9.7    -1.3    -1.8   
09-37      |   Commercial printing (June 1982=100) 2/..............| 157.4   158.0   158.2     1.4     .1      -.1     -.4      .1   
10-15      |   Foundry and forge shop products.....................| 137.0   137.0   136.9      .2    -.1       .1      .1     0     
10-17      |   Steel mill products 2/..............................| 102.6   101.6   100.9    -8.2    -.7      -.1     -.6     -.7   
10-22      |   Primary nonferrous metals 2/........................| 111.4   106.8   103.7    -8.1   -2.9      1.7    -1.8    -2.9   
10-25-01   |   Aluminum mill shapes 2/.............................| 150.7   148.9   149.7      .7     .5       .4     -.4      .5   
10-25-02   |   Copper and brass mill shapes 2/.....................| 160.9   159.5   155.6    -2.7   -2.4      -.4      .1    -2.4   
10-26      |   Nonferrous wire and cable 2/........................| 142.7   140.8   140.2    -2.4    -.4      -.5      .1     -.4   
10-3       |   Metal containers 2/.................................| 105.7   106.6   106.8     -.5     .2      0        .2      .2   
10-4       |   Hardware............................................| 153.1   153.7   153.7     1.6    0         .3     -.3      .1   
10-5       |   Plumbing fixtures and brass fittings................| 181.8   181.2   180.3     -.7    -.5       .2      .6     -.4   
10-6       |   Heating equipment...................................| 156.6   156.9   156.8      .5    -.1       .1      .1     -.2   
10-7       |   Fabricated structural metal products................| 145.1   144.7   144.8      .2     .1      -.1     0        .1   
10-88      |   Fabricated ferrous wire products (June 1982=100) 2/.| 130.0   129.3   129.2     -.5    -.1      0       -.4     -.1   
10-89      |   Other misc. metal products 2/.......................| 126.8   127.2   127.2     1.0    0         .4     -.2     0     
11-45      |   Mechanical power transmission equipment.............| 166.9   166.9   167.2     2.0     .2       .3      .1      .2   
11-48      |   Air conditioning and refrigeration equipment 2/.....| 135.8   136.1   136.1      .4    0         .2      .1     0     
11-49-02   |   Metal valves, ex.fluid power (Dec. 1982=100) 2/.....| 164.8   165.1   165.2     1.9     .1       .1     0        .1   
11-49-05   |   Ball and roller bearings............................| 169.4   169.1   169.2      .1     .1       .2     -.9     -.2   
11-71      |   Wiring devices 2/...................................| 154.0   154.3   154.4      .7     .1      0       0        .1   
11-73      |   Motors, generators, motor generator sets............| 147.0   146.9   147.2      .7     .2      0       0        .3   
11-75      |   Switchgear, switchboard, etc., equipment............| 155.8   157.5   157.3     2.9    -.1      1.2      .2     0     
11-78      |   Electronic components and accessories 2/............|  95.1    93.9    93.4    -4.4    -.5      -.7     -.4     -.5   
11-94      |   Internal combustion engines.........................| 143.7   143.8   143.8     -.3    0         .1      .1     -.3   
11-95      |   Machine shop products 2/............................| 140.1   140.7   140.5     1.8    -.1       .2      .6     -.1   
13-11      |   Flat glass 2/.......................................| 111.7   112.1   112.3     1.4     .2       .6     -.1      .2   
13-22      |   Cement..............................................| 148.8   149.8   150.5     -.2     .5       .2     -.1      .6   
13-3       |   Concrete products 2/................................| 150.7   151.0   152.0     2.7     .7       .7     -.9      .7   
13-6       |   Asphalt felts and coatings..........................| 104.6   106.1   107.1      .8     .9      -.3      .2     1.0   
13-7       |   Gypsum products 2/..................................| 160.1   146.6   145.0   -27.8   -1.1     -6.0      .5    -1.1   
13-8       |   Glass containers 2/.................................| 132.4   134.2   133.2     4.5    -.7      2.2     -.1     -.7   
14-12      |   Motor vehicle parts 2/..............................| 113.5   113.2   112.8     -.6    -.4       .2     -.1     -.4   
14-23      |   Aircraft engines & engine parts (Dec. 1985=100).....| 144.8   144.7   144.7     2.6    0         .2     0        .1   
14-25      |   Aircraft parts & aux.equip.,nec (June 1985=100).....| 147.9   147.2   147.1      .5    -.1      -.2      .1      .3   
15-42      |   Photographic supplies 2/............................| 126.1   129.3   129.3     3.7    0        -.1     -.8     0     
15-6       |   Medical/surgical/personal aid devices 2/............| 147.6   148.1   148.1     1.6    0        0        .2     0     
           |                                                       |                                                                 
           | CRUDE MATERIALS FOR FURTHER PROCESSING................| 132.2   122.8   116.1    -5.4   -5.5     -2.3    -6.0    -5.3   
           |                                                       |                                                                 
           |  CRUDE FOODSTUFFS AND FEEDSTUFFS......................| 109.1   109.7   109.6    10.4    -.1     -1.1     -.1      .6   
           |                                                       |                                                                 
01-21      |   Wheat 2/............................................|  89.1    87.1    82.8     3.9   -4.9      9.4    -4.3    -4.9   
01-22-02-05|   Corn................................................|  81.6    72.4    79.2    21.3    9.4     -6.2     2.0    16.2   
01-31      |   Slaughter cattle 2/.................................| 118.6   111.7   107.7     5.4   -3.6     -4.5    -1.1    -3.6   
01-32      |   Slaughter hogs......................................|  75.9    87.2    87.1     6.1    -.1     -5.9     2.5     7.5   
01-41-02   |   Slaughter broilers/fryers...........................| 138.2   140.4   143.0    10.3    1.9     -3.1    -2.2    -4.1   
01-42      |   Slaughter turkeys...................................| 104.5   108.7   108.4   -10.9    -.3     -2.9    -2.2    -2.8   
01-6       |   Fluid milk..........................................| 103.6   121.1   122.0    29.1     .7     10.4     3.4    -3.4   
01-83-01-31|   Soybeans 2/.........................................|  76.2    80.8    87.0     7.7    7.7      4.4     5.6     7.7   
02-52-01-01|   Cane sugar,raw 2/...................................| 111.8   109.7   110.9    14.3    1.1     -1.0    -2.2     1.1   
                                                                                                                                     
           |                                                       |                                                                 
           |  CRUDE NONFOOD MATERIALS..............................| 143.3   127.4   116.3   -13.5   -8.7     -2.9    -9.2    -8.7   
           |                                                       |                                                                 
01-51-01-01|   Raw cotton..........................................|  81.2    63.3    62.5   -28.7   -1.3     -7.3    -7.5      .8   
01-92-01-01|   Leaf tobacco 2/.....................................| 107.0     (3)     (3)     (3)    (3)      (3)     (3)     (3)   
04-19      |   Hides and skins (June 2001=100) 2/..................|   (3)   100.0    91.3     (3)   -8.7      (3)     (3)    -8.7   
05-1       |   Coal 2/.............................................|  94.7    91.7    96.0     7.4    4.7      2.1    -6.6     4.7   
05-31      |   Natural gas 2/......................................| 215.8   164.4   133.2   -21.9  -19.0     -7.2   -19.1   -19.0   
05-61      |   Crude petroleum 2/..................................|  73.1    78.3    74.3   -10.8   -5.1      1.8     1.2    -5.1   
08-5       |   Logs, timber, etc...................................| 184.0   187.6   184.8    -5.2   -1.5      1.3     2.3     -.8   
09-12      |   Wastepaper 2/.......................................| 162.5   135.2   135.7   -56.7     .4     -7.2    -3.4      .4   
10-11      |   Iron ore 2/.........................................|  96.3    96.3    96.3     1.5    0        0       0       0     
10-12      |   Iron and steel scrap 2/.............................| 120.3   119.3   123.9    -8.6    3.9      -.3     -.4     3.9   
10-21      |   Nonferrous metal ores (Dec. 1983=100) 2/............|  64.8    63.9    63.0    -7.4   -1.4      2.7     -.9    -1.4   
10-23-01   |   Copper base scrap 2/................................| 121.9   118.5   114.1    -6.7   -3.7     -2.0     -.7    -3.7   
10-23-02   |   Aluminum base scrap.................................| 168.6   165.0   155.8   -10.7   -5.6       .2     -.6    -6.1   
13-21      |   Construction sand, gravel, and crushed stone........| 167.7   169.1   169.5     3.4     .2       .2      .3      .2   
____________________________________________________________________________________________________________________________________ 
                                                                                                                                     
1/  The indexes for March 2001 have been recalculated to incorporate                 2/  Not seasonally adjusted.                    
    late reports and corrections by respondents.  All indexes are subject            3/  Not available.                              
    to revision 4 months after original publication.
Table 3.  Producer price indexes for selected commodity groupings                              
(1982=100 unless otherwise indicated)                                                          
_______________________________________________________________________________________________
         |                                                |                                   |
         |                                                |         Unadjusted index 1/       |
Commodity|                                                |___________________________________|
  code   |                    Grouping                    |March 2001 | June 2001 | July 2001 |
_________|________________________________________________|___________|___________|___________|
         |                                                |           |           |           |
         | Finished Goods (1967=100)......................|   395.5   |   398.7   |   394.9   |
         | All commodities................................|   135.9   |   135.7   |   133.9   |
         |                                                |           |           |           |
         |                                                |           |           |           |
         |            MAJOR COMMODITY GROUPS              |           |           |           |
         |                                                |           |           |           |
         | Farm products and processed foods and feeds....|   126.7   |   127.3   |   127.1   |
01       |   Farm products................................|   107.3   |   105.8   |   104.5   |
02       |   Processed foods and feeds....................|   136.3   |   138.0   |   138.3   |
         |                                                |           |           |           |
         | Industrial commodities.........................|   137.7   |   137.3   |   135.1   |
03       |   Textile products and apparel.................|   122.0   |   121.3   |   121.2   |
04       |   Hides, skins, leather, and related products..|   159.5   |   164.3   |   160.5   |
05       |   Fuels and related products and power 2/......|   111.3   |   110.1   |   103.0   |
06       |   Chemicals and allied products 2/.............|   155.4   |   153.5   |   151.8   |
07       |   Rubber and plastic products..................|   127.5   |   127.8   |   127.8   |
08       |   Lumber and wood products.....................|   172.8   |   180.6   |   176.4   |
09       |   Pulp, paper, and allied products.............|   185.5   |   184.9   |   184.7   |
10       |   Metals and metal products....................|   126.6   |   125.8   |   125.4   |
11       |   Machinery and equipment......................|   123.9   |   123.9   |   123.8   |
12       |   Furniture and household durables.............|   133.1   |   133.0   |   132.8   |
13       |   Nonmetallic mineral products.................|   143.6   |   143.7   |   144.0   |
14       |   Transportation equipment.....................|   145.1   |   144.4   |   144.7   |
15       |   Miscellaneous products.......................|   178.3   |   182.4   |   182.5   |
         |                                                |           |           |           |
         | Industrial commodities less fuels and related  |           |           |           |
         |   products and power...........................|   143.6   |   143.6   |   143.2   |
         |                                                |           |           |           |
         |                                                |           |           |           |
         |             OTHER COMMODITY GROUPINGS          |           |           |           |
         |                                                |           |           |           |
01-1     | Fruits and melons, fresh and dry vegetables,   |           |           |           |
         |   and tree nuts................................|   122.7   |   113.3   |    99.4   |
01-2     | Grains.........................................|    84.0   |    77.6   |    81.0   |
01-3     | Slaughter livestock............................|   107.9   |   106.0   |   102.9   |
01-4     | Slaughter poultry..............................|   129.3   |   131.9   |   133.8   |
01-5     | Plant and animal fibers........................|    80.5   |    63.4   |    62.7   |
01-7     | Chicken eggs...................................|   103.0   |    79.1   |    82.0   |
01-8     | Hay, hayseeds, and oilseeds....................|   101.9   |   108.2   |   114.1   |
01-83    | Oilseeds.......................................|    86.9   |    91.1   |    97.3   |
01-9     | Other farm products............................|   159.6   |  'N.A.'   |  'N.A.'   |
02-1     | Cereal and bakery products.....................|   161.1   |   162.3   |   162.7   |
02-2     | Meats, poultry, and fish.......................|   126.4   |   126.9   |   127.1   |
02-22    | Processed poultry..............................|   114.1   |   116.7   |   116.3   |
02-5     | Sugar and confectionery........................|   135.5   |   135.3   |   135.2   |
02-6     | Beverages and beverage materials...............|   146.2   |   145.9   |   145.5   |
02-63    | Packaged beverage materials....................|   126.5   |   124.5   |   124.5   |
02-7     | Fats and oils..................................|   104.5   |   105.1   |   107.7   |
03-81    | Apparel........................................|   127.0   |   126.2   |   126.4   |
04-4     | Other leather and related products.............|   147.1   |   147.5   |   147.5   |
05-3     | Gas fuels 2/...................................|   196.7   |   152.7   |   124.1   |
05-4     | Electric power.................................|   134.3   |   142.3   |   146.0   |
05-7     | Refined petroleum products.....................|    85.9   |    96.2   |    84.4   |
06-3     | Drugs and pharmaceuticals......................|   262.1   |   261.5   |   261.7   |
06-5     | Agricultural chemicals and products............|   140.7   |   132.9   |   129.0   |
06-7     | Other chemicals and allied products............|   139.4   |   139.9   |   139.7   |
07-1     | Rubber and rubber products.....................|   116.8   |   116.7   |   117.2   |
07-11    | Rubber, except natural rubber..................|   123.6   |   123.6   |   123.9   |
07-13    | Miscellaneous rubber products..................|   139.8   |   140.1   |   140.0   |
07-2     | Plastic products...............................|   135.7   |   136.1   |   136.0   |
08-1     | Lumber.........................................|   169.5   |   182.6   |   175.1   |
09-1     | Pulp, paper, and products, excluding building  |           |           |           |
         |   paper and board..............................|   159.6   |   157.9   |   157.4   |
09-15    | Converted paper and paperboard products........|   164.4   |   164.9   |   164.3   |
10-1     | Iron and steel.................................|   110.6   |   109.9   |   109.8   |
10-2     | Nonferrous metals..............................|   127.5   |   124.9   |   123.3   |
10-25    | Nonferrous mill shapes.........................|   144.0   |   142.8   |   142.4   |
11-3     | Metalworking machinery and equipment...........|   150.4   |   151.4   |   150.5   |
11-4     | General purpose machinery and equipment........|   152.1   |   152.8   |   152.8   |
11-6     | Special industry machinery.....................|   164.9   |   165.1   |   165.4   |
11-7     | Electrical machinery and equipment.............|   118.1   |   117.7   |   117.4   |
11-9     | Miscellaneous machinery and equipment..........|   135.4   |   135.9   |   136.2   |
12-6     | Other household durable goods..................|   157.1   |   157.1   |   157.0   |
13-2     | Concrete ingredients...........................|   157.9   |   159.1   |   159.6   |
14-1     | Motor vehicles and equipment...................|   131.9   |   130.5   |   130.6   |
15-1     | Toys, sporting goods, small arms, etc..........|   133.2   |   133.1   |   133.0   |
15-4     | Photographic equipment and supplies............|   109.6   |   111.8   |   111.8   |
15-9     | Other miscellaneous products...................|   137.9   |   139.2   |   139.2   |
__________________________________________________________|___________|___________|___________|
                                                                                               
1/  Data for March 2001 have been revised to reflect the availability of late reports and      
    corrections by respondents.  All data are subject to revision 4 months after original      
    publication.                                                                               
                                                                                               
2/  Prices of some items in this grouping are lagged 1 month.                                  

Table 4.  Producer price indexes for the net output of major industry groups, not seasonally adjusted             
__________________________________________________________________________________________________________________
                  |                                              |     |         Index         |  Percent change  
  Industry        |                Industry 1/                   |Index|_______________________|to_July_2001_from:
    code          |                                              |base |       |       |       |        |         
                  |                                              |     |Mar.   |June   |July   |  July  |  June   
                  |                                              |     |2001 2/|2001 2/|2001 2/|  2000  |  2001   
__________________|______________________________________________|_____|_______|_______|_______|________|_________
                  |                                              |     |                                          
                  |Total mining industries...................... |12/84| 131.2   115.5   103.4    -12.4    -10.5  
       10         | Metal mining................................ |12/84|  71.5    71.0    70.4     -4.7      -.8  
       12         | Coal mining................................. |12/85|  89.5    87.7    90.9      6.2      3.6  
       13         | Oil and gas extraction...................... |12/85| 150.4   129.6   112.9    -15.0    -12.9  
       14         | Mining and quarrying of non-metallic         |     |                                          
                  |  minerals, except fuels..................... |12/84| 140.4   141.8   141.6      2.9      -.1  
                  |                                              |     |                                          
                  |Total manufacturing industries............... |12/84| 134.5   136.0   134.6       .5     -1.0  
       20         | Food and kindred products................... |12/84| 131.8   133.8   133.9      3.5       .1  
       21         | Tobacco manufactures........................ |12/84| 372.3   391.7   391.1     14.3      -.2  
       22         | Textile mill products....................... |12/84| 117.2   117.2   116.9       .2      -.3  
       23         | Apparel and other finished products made     |     |                                          
                  |  from fabrics and similar materials......... |12/84| 125.9   125.7   125.9    0           .2  
       24         | Lumber and wood products, except furniture.. |12/84| 154.7   161.3   158.2       .4     -1.9  
       25         | Furniture and fixtures...................... |12/84| 144.7   145.2   145.3      1.3       .1  
       26         | Paper and allied products................... |12/84| 147.1   146.8   146.4      -.6      -.3  
       27         | Printing, publishing, and allied industries. |12/84| 188.0   188.4   188.6      2.9       .1  
       28         | Chemicals and allied products............... |12/84| 161.6   160.0   158.8       .9      -.8  
       29         | Petroleum refining and related products..... |12/84| 106.6   116.9   103.8    -10.3    -11.2  
       30         | Rubber and miscellaneous plastic products... |12/84| 126.1   126.4   126.5      1.2       .1  
       31         | Leather and leather products................ |12/84| 141.1   142.6   141.9      3.2      -.5  
       32         | Stone, clay, glass, and concrete products... |12/84| 135.6   135.7   135.9       .8       .1  
       33         | Primary metal industries.................... |12/84| 117.5   116.5   116.1     -3.5      -.3  
       34         | Fabricated metal products, except machinery  |     |                                          
                  |  and transportation equipment............... |12/84| 130.8   131.1   131.1       .6    0      
       35         | Machinery, except electrical................ |12/84| 117.9   118.1   118.1       .4    0      
       36         | Electrical and electronic machinery,         |     |                                          
                  |  equipment, and supplies.................... |12/84| 107.6   107.3   106.9     -1.5      -.4  
       37         | Transportation equipment.................... |12/84| 137.8   137.1   137.3       .9       .1  
       38         | Measuring and controlling instruments;       |     |                                          
                  |  photographic, medical, optical goods;       |     |                                          
                  |  watches, clocks............................ |12/84| 126.9   127.4   127.2       .8      -.2  
       39         | Miscellaneous manufacturing industries...... |12/85| 132.1   132.5   132.7      1.4       .2  
                  |                                              |     |                                          
                  |Services industries                           |     |                                          
       40         | Railroad transportation..................... |12/96| 104.0   104.1   104.3      1.7      0.2  
       42         | Motor freight transportation and warehousing |06/93| 122.6   123.2   123.3      3.7       .1  
       43         | United States Postal Service................ |06/89| 141.3   141.3   145.4      7.5      2.9  
       44         | Water transportation........................ |12/92| 126.6   130.3   131.8      5.3      1.2  
       45         | Transportation by air....................... |12/92| 156.3   156.6   157.6      6.8       .6  
       46         | Pipe lines, except natural gas.............. |12/86| 108.9   109.0   110.9      8.2      1.7  
       54         | Food stores................................. |12/99| 108.4   109.4   110.7      5.2      1.2  
       59         | Miscellaneous retail........................ |06/00| 102.3   100.6   101.8      1.3      1.2  
       80         | Health services............................. |12/94| 115.7   116.1   116.3      2.8       .2  
       81         | Legal services.............................. |12/96| 117.2   117.5   118.4      5.4       .8  
__________________________________________________________________________________________________________________
1/ Indexes in this table are derived from the net-output-weighted industry price indexes.  Because of differences 
   in coverage and aggregation methodology, they will generally not match the movements of similarly-titled       
   indexes which are derived from traditional commodity groupings.                                                
2/ The indexes for March 2001 have been recalculated to incorporate late reports and corrections by respondents.  
   All indexes are subject to revision 4 months after original publication.                                       
3/ Not available.                                                                                                 
Table 5.  Producer price indexes by stage of processing, seasonally adjusted
(1982=100)
_____________________________________________________________________________________________________________
                                                       |
                                                       |                      Index 1/   
                                                       |_____________________________________________________
               Grouping                                |        |        |        |        |        |        
                                                       |  Feb.  |  Mar.  |  Apr.  |  May   |  June  |  July 
                                                       |  2001  |  2001  |  2001  |  2001  |  2001  |  2001  
_______________________________________________________|________|________|________|________|________|________
                                                       |
      Finished goods...................................|  141.7    141.6    142.1    142.2    141.7    140.4   
        Finished consumer goods........................|  143.0    142.7    143.3    143.5    142.8    140.9
          Finished consumer foods......................|  140.2    141.4    142.1    141.5    141.7    140.9
            Crude......................................|  135.9    137.0    137.9    130.3    123.3    113.5
            Processed..................................|  140.5    141.7    142.4    142.4    143.1    143.1
          Finished consumer goods, excluding foods.....|  144.0    143.1    143.6    144.1    143.1    140.7
            Nondurable goods less foods................|  146.7    145.3    145.9    146.7    145.3    141.8
            Durable goods..............................|  133.4    133.8    134.0    133.8    133.8    134.1
        Capital equipment..............................|  139.3    139.5    139.9    139.7    139.9    140.2
          Manufacturing industries.....................|  140.0    140.1    140.4    140.3    140.5    140.6
          Nonmanufacturing industries..................|  139.0    139.2    139.6    139.4    139.6    140.0
                                                       |
      Intermediate materials, supplies, and components.|  131.7    131.3    131.1    131.2    131.1    129.8
        Materials and components for manufacturing.....|  128.8    129.0    128.7    128.5    128.2    127.5
          Materials for food manufacturing.............|  121.1    122.8    123.7    124.2    125.5    125.7
          Materials for nondurable manufacturing.......|  135.6    135.8    135.1    134.1    133.3    131.8
          Materials for durable manufacturing..........|  126.6    126.5    125.9    126.9    126.4    125.3
          Components for manufacturing.................|  126.5    126.5    126.5    126.4    126.4    126.3
        Materials and components for construction......|  150.1    150.3    150.3    151.5    151.6    150.9
        Processed fuels and lubricants.................|  111.8    109.2    108.6    108.7    108.6    104.4
          Manufacturing industries ....................|  111.2    108.6    108.3    107.5    106.8    106.2
          Nonmanufacturing industries..................|  111.8    109.2    108.4    108.9    109.3    103.1
        Containers.....................................|  153.2    153.3    153.3    153.8    154.0    153.6
        Supplies.......................................|  138.7    138.7    139.0    139.0    138.8    138.8
          Manufacturing industries.....................|  145.4    145.6    146.6    146.3    145.8    145.7
          Nonmanufacturing industries..................|  135.9    135.8    135.9    136.0    135.9    135.8
            Feeds......................................|   98.3     95.5     93.2     93.2     95.0     96.8
            Other supplies.............................|  140.5    140.7    141.0    141.2    140.8    140.6
                                                       |
      Crude materials for further processing...........|  141.8    132.3    132.8    129.7    121.9    115.4    
        Foodstuffs and feedstuffs......................|  105.9    109.5    108.8    107.6    107.5    108.1
        Nonfood materials..............................|  161.4    143.2    144.5    140.3    127.4    116.3
          Nonfood materials except fuel 2/.............|  111.5    106.0    106.0    106.8    107.3    104.2
            Manufacturing 2/...........................|  102.7     97.4     97.5     98.2     98.6     95.7
            Construction...............................|  179.3    180.9    181.0    182.9    184.9    183.4
          Crude fuel 3/................................|  216.8    182.9    185.8    175.0    144.7    123.5
            Manufacturing industries...................|  216.5    182.0    184.4    173.1    143.8    121.2
            Nonmanufacturing industries................|  220.7    186.2    189.2    178.3    147.3    126.0
                                                       |
                     Special groupings                 |
                                                       |
      Finished goods, excluding foods..................|  142.1    141.6    142.0    142.3    141.6    140.1
      Intermediate materials less foods and feeds......|  132.7    132.3    132.0    132.2    131.9    130.5  
      Intermediate foods and feeds.....................|  114.1    114.5    114.3    114.6    116.1    116.8
      Crude materials less agricultural products 2/....|  163.9    145.5    147.3    143.1    129.7    118.1
                                                       |
      Finished energy goods............................|  104.7    102.2    103.0    103.2    100.6     94.8
      Finished goods less energy.......................|  146.6    147.1    147.5    147.6    147.7    147.7   
      Finished consumer goods less energy..............|  149.7    150.3    150.8    150.9    151.0    150.8
                                                       |
      Finished goods less foods and energy.............|  149.2    149.4    149.7    150.0    150.1    150.4
      Finished consumer goods less foods and energy....|  155.8    156.1    156.3    157.0    157.0    157.2
      Consumer nondurable goods less foods and energy..|  173.5    173.7    174.0    175.3    175.5    175.5
                                                       |
      Intermediate energy goods........................|  111.4    108.7    108.1    108.2    108.1    104.0
      Intermediate materials less energy...............|  135.9    136.0    135.9    136.0    135.9    135.3
      Intermediate materials less foods and energy.....|  137.3    137.4    137.3    137.5    137.1    136.5
                                                       |
      Crude energy materials 2/........................|  165.3    142.1    145.2    139.8    123.1    109.0
      Crude materials less energy......................|  113.6    115.8    114.2    113.2    113.0    113.2
      Crude nonfood materials less energy 3/...........|  136.6    135.2    130.7    130.5    130.3    129.1
_____________________________________________________________________________________________________________

  1/  All seasonally adjusted indexes are subject to change up to 5 years after original publication due to
      the recalculation of seasonal factors each January.  The indexes for March 2001 have been
      recalculated to incorporate late reports and corrections by respondents.
  2/  Includes crude petroleum.
  3/  Excludes crude petroleum.
Technical Note



                Brief Explanation of Producer Price Indexes

     The term Producer Price Index (PPI) refers to a family of indexes that
measure the average change over time in the selling prices received by
domestic producers of goods and services.  PPIs measure price change from
the perspective of the seller.  This contrasts with other measures, such as
the Consumer Price Index (CPI); CPIs measure price change from the
purchaser's perspective.  Sellers' and purchasers' prices may differ due to
government subsidies, sales and excise taxes, and distribution costs.

     More than 10,000 PPIs for individual products and groups of products
are released each month.  PPIs are available for the products of virtually
every industry in the mining and manufacturing sectors of the U.S. economy.
New PPIs are gradually being introduced for the products of industries in
the transportation, utilities, trade, finance, and services  sectors of the
economy.

     More than 100,000 price quotations per month are organized into three
sets of producer price indexes: (1) stage-of-processing indexes; (2)
commodity indexes; and (3) indexes for the net output of industries and
their products.  The stage-of-processing structure (tables 1, 2, and 5)
organizes products by class of buyer and degree of fabrication.  The
commodity structure (tables 2 and 3) organizes products by similarity of
end-use or material composition.  The entire output of various industries
is sampled to derive price indexes for the net output of industries and
their products (table 4).

     Within the stage-of-processing system, finished goods are commodities
that will not undergo further processing and are ready for sale to the
final demand user, either an individual consumer or business firm.
Consumer foods include unprocessed foods such as eggs and fresh vegetables,
as well as processed foods such as bakery products and meats.  Other
finished consumer goods include durable goods such as automobiles,
household furniture, and appliances; and nondurable goods such as apparel
and home heating oil.  Capital equipment includes producer durable goods
such as heavy motor trucks, tractors, and machine tools.

     The stage-of-processing category for intermediate materials, supplies,
and components consists partly of commodities that have been processed but
require further processing.  Examples of such semifinished goods include
flour, cotton yarn, steel mill products, and lumber.  The intermediate
goods category also encompasses nondurable physically complete items
purchased by business firms as inputs for their operations.  Examples
include diesel fuel, belts and belting, paper boxes, and fertilizers.

     Crude materials for further processing are products entering the
market for the first time that have not been manufactured or fabricated and
that are not sold directly to consumers.  Crude foodstuffs and feedstuffs
include items such as grains and livestock.  Examples of crude nonfood
materials include raw cotton, crude petroleum, coal, hides and skins, and
iron and steel scrap.

     Producer price indexes for the net output of industries and their
products are grouped according to the Standard Industrial Classification
(SIC).  Industry price indexes are compatible with other economic time
series organized by SIC codes, such as data on employment, wages, and
productivity.  Table 4 lists indexes for the net output of major mining and
manufacturing industry groups at the 2-digit level.

     Producer price indexes are based on selling prices reported by
establishments of all sizes selected by probability sampling, with the
probability of selection proportionate to size.  Individual items and
transaction terms from these firms are also chosen by probability
proportionate to size.  BLS strongly encourages cooperating companies to
supply actual transaction prices at the time of shipment to minimize the
use of list prices.  Prices are normally reported by mail questionnaire for
the Tuesday of the week containing the 13th.

    Price data are provided on a voluntary and confidential basis; no one
but sworn BLS employees are allowed access to individual company price
reports.  The Bureau publishes price indexes instead of unit dollar prices.
All producer price indexes are routinely subject to revision once, 4 months
after original publication, to reflect the availability of late reports and
corrections by respondents.

    The BLS periodically updates the PPI sample of survey respondents to
better reflect current conditions when the structure, membership,
technology, or product mix of an industry shifts significantly and to
spread reporting burden among smaller firms.  Results of these resampling
efforts are incorporated into the PPI every January and July.

    As part of an ongoing effort to expand coverage to sectors of the
economy other than mining and manufacturing, an increasing number of
service sector industries have been introduced into the PPI.  The following
list of recently introduced service industries includes the month in which
an article describing the industry's content appeared in the PPI Detailed
Report:

		                                 PPI Detailed	
        Industry                     SIC     Report Issue	
			
Wireless Telecommunications          4812     July 1999	
Telephone Communications, Except 
   Radio Telephone                   4813     July 1995
Grocery Stores                       5411     July 2000	
Meat and Fish (Seafood) Markets,     5421     July 2000	
Fruit and Vegetable Markets          5431     July 2000	
Candy, Nut, and Confectionery Stores 5441     July 2000	
Retail Bakeries                      5461     July 2000	
Miscellaneous Food Stores            5499     July 2000	
New Car Dealers                      5511     July 2000
Miscellaneous Retail                 59       January 2001
Security Brokers, Dealers, and 
   Investment Bankers	             6211     January 2001
Life Insurance Carriers              6311     January 1999	
Property and Casualty Insurance      6331     July 1998	
Operators and Lessors of 			
   Nonresidential Buildings          6512     January 1996	
Real Estate Agents and Managers      6531     January 1996	
Prepackaged Software                 7372     January 1998	
Home Health Care Services            8082     January 1997	
Legal Services                       8111     January 1997	
Engineering, Design, Analysis,			
   and Consulting Services           8711     January 1997	
Architectural, Design, Analysis, 			
   and Consulting Services           8712     January 1997	
Premiums for Property and Casualty 			
   Insurance                         9331     July 1998	


     Weights for most traditional commodity groupings of the PPI, as well
as all indexes (such as stage-of-processing indexes) calculated from
traditional commodity groupings, currently reflect 1992 values of shipments
as reported in the Census of Manufactures and other sources.  From January
1992 through December 1995, PPI weights were derived from 1987 shipment
values.  Industry indexes shown in table 4 are also now calculated with
1992 net output weights.  This periodic update of the value weights used to
calculate the PPI is done to more accurately reflect changes in production
and marketing patterns in the economy.

     Net output values of shipments are used as weights for industry
indexes. Net output values refer to the value of shipments from
establishments in one industry to establishments classified in another
industry.  However, weights for commodity price indexes are based on gross
shipment values, including shipment values between establishments within
the same industry. As a result, broad commodity grouping indexes such as
the all commodities index are affected by the multiple counting of price
change at successive stages of processing, which can lead to exaggerated or
misleading signals about inflation.  Stage-of-processing indexes partially
correct this defect, but industry indexes consistently correct for this at
all levels of aggregation.  Therefore, industry and stage-of-processing
indexes are more appropriate than broad commodity groupings for economic
analysis of general price trends.

     Effective with publication of January 1988 data, many important PPI
series (including stage-of-processing groupings and most commodity groups
and individual items) were placed on a new reference base, 1982=100.  From
1971 through 1987, the standard reference base for most PPI series was
1967=100. Except for rounding differences, the shift to the new reference
base did not alter any changes to previously published percent changes for
affected PPI series. (See "Calculating Index Changes," below.) The new
reference base is not used for indexes with a base later than December
1981, nor for indexes for the net output of industries and their products.

     For further information on the underlying concepts and methodology of
the Producer Price Index, see chapter 14, "Producer Prices," in BLS
Handbook of Methods (April 1997), Bulletin 2490. Reprints are available
from the Bureau of Labor Statistics on request.

                         Calculating Index Changes

     Each index measures price changes from a reference period which equals
100.0 (1982 or some later month). An increase of 5.5 percent from the
reference period in the Finished Goods Price Index, for example, is shown
as 105.5.  This change can also be expressed in dollars as follows:
"Prices received by domestic producers of a systematic sample of finished
goods have risen from $100 in 1982 to $105.50 today." Likewise, a current
index of 90.0 would indicate that prices received by producers of finished
goods today are 10 percent lower than they were in 1982.

    Movements of price indexes from one month to another are usually
expressed as percent changes rather than as changes in index points because
index point changes are affected by the level of the index in relation to
its base period, whereas percent changes are not.  The example below shows
the computation of index point and percent changes.

     Index point change

     Finished Goods Price Index          107.5
     Less previous index                 104.0
     Equals index point change             3.5

     Index percent change

     Index point change                    3.5
     Divided by the previous index       104.0
     Equals                                0.034
     Result multiplied by 100              0.034 x 100
     Equals percent change                 3.4
                  

                  Seasonally Adjusted and Unadjusted Data

     Because price data are used for different purposes by different
groups, the Bureau of Labor Statistics publishes seasonally adjusted and
unadjusted changes each month.  Seasonally adjusted data are preferred for
analyzing general price trends in the economy because they eliminate the
effect of changes that normally occur at about the same time and in about
the same magnitude every year--such as price movements resulting from
normal weather patterns, regular production and marketing cycles, model
changeovers, seasonal discounts, and holidays.  For these reasons,
seasonally adjusted data more clearly reveal underlying cyclical trends.

     Unadjusted data are of primary interest to users who need information
that can be related to actual dollar values of transactions.  Individuals
requiring this information include marketing specialists, purchasing
agents, budget and cost analysts, contract specialists, and commodity
traders.  It is the unadjusted data that are generally cited in escalating
long-term contracts such as purchasing agreements or real estate leases.
(See Escalation and Producer Price Indexes:  A Guide for Contracting
Parties, BLS Report 807, September 1991, available on request from BLS.)

     For more information, see (1) "Appendix A: Seasonal Adjustment
Methodology at BLS," in the BLS Handbook of Methods (April 1997), Bulletin
2490 and (2) "Summary of  Changes to the PPI's  Seasonal Adjustment
Methodology" in the January 1995 issue of Producer Price Indexes.