PPI: All Commodities

Source:
U.S. Bureau of Labor Statistics

Release:
Producer Price Index

Units:
Index 1982=100, Not Seasonally Adjusted

Frequency:
Monthly

Available Through:
10/31/2021

Why Use:

The producer price index for all commodities represents the average movement in selling prices from domestic production of all goods over time. This indicates supply and demand for goods, disposable income, and real estate prices.

Suggested Treatment:

The data shows autocorrection and a non-normal distribution. The data should be differenced. While the Order Norm transformation, provides the best normality, the Yeo Johnson variable will also perform well.

Grain Transformation:

Data is unable to be distributed by time or geography. The roll up method used is Weighted Average.

Connect to this
Data Set Now

Ready Signal automates the process of sourcing, normalizing, and applying data science treatments to this data and other impactful control data. Create an account today.

PPI: All Commodities

Auto Correction Function

Auto Correlation Function After Differencing

Partial Auto Correlation Function

Seasonal Impact

Seasonal and Trend Decompostion

Autocorrectation Analysis:

Data shows autocorrectation indicating a need for differencing

The ACF indicates 1 order differencing is appropriate.

Further differencing is reccommended

Trend Analysis:

The Kwiatkowski-Phillips-Schmidt-Shin (KPSS) test, KPSS Trend = 0.44 p-value = 0.01 indicates that the data is not stationary.

Distribution Analysis:

The Shapiro-Wilk test returned W = 0.93 with a p-value =0.00 indicating the data does not follow a normal distribution.

A skewness score of -0.65 indicates the data are moderately skewed.

Hartigan's dip test score of 0.03 with a p-value of 0.76 inidcates the data is unimodal

Statistics (Pearson P/ df, lower => more normal)

No transform
1.92
Box-cox
1.84
Log_b(x-a)
1.96
sqrt(x+a)
1.97
exp(x)
9.18
arcsinh(x)
1.96
Yeo-Johnson
1.67
OrderNorm
1.41

Citation:

U.S. Bureau of Labor Statistics, Producer Price Index for All Commodities [PPIACO], retrieved from FRED, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/series/PPIACO, December 15, 2019.

Take the next step

SIGN UP FREE