(Bloomberg). September saw a moderate rise in prices paid by U.S. manufacturers. This suggests a relief from supply chain pressures, which have pushed up production costs.

Labor Department data on Thursday showed that the producer price index of final demand rose from the previous month to the year ago. The so-called core PPI, which does not include volatile food or energy components, rose and was slightly higher than one year ago.

A Bloomberg survey of economists found that the median projections for the PPI expected a 0.6% monthly increase and an 8.7% rise in core figures.

This year, PPI is steadily rising as supply interruptions and other constraints like labor shortages and material shortages drive up production cost. Companies have passed at least some costs on to customers which has led to a rapid acceleration in consumer price increases. 

An additional report released Wednesday indicated that consumers paid more in September than was forecast. This is the highest annual increase since 2008.

Inflation is rising in many countries around the globe. In China, the world’s largest exporter, a gauge prices paid to factories rose last month by the most since 1975.

Recent U.S. inflation data reinforce the Federal Reserve’s plan to soon start pulling back monetary support, especially as bottlenecks show little signs of abating. Minutes from last month’s Fed policy meeting showed that officials assessed that if the economic recovery remains on track, “a gradual tapering process that concluded around the middle of next year would likely be appropriate.”

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