U.S. producer prices were unchanged in September as a modest rise in the cost of services was offset by cheaper goods, pointing to a still-favorable inflation outlook and supporting views that the Federal Reserve would cut interest rates again next month.

G0d4ather The Producer Price Index came in flat M/M in September, less than the 0.1% increase expected and decelerating from August's 0.2% rise, the U.S.

U.S. producer prices were unchanged in September as a small rise in the cost of services was offset by cheaper goods, pointing to a still-favorable inflation outlook and supporting views that the Federal Reserve would cut interest rates again next month.

The unchanged reading in the producer price index for final demand last month followed an unrevised 0.2% gain in August, the Labor Department's Bureau of Labor Statistics said Friday.

The producer-price index was unchanged from a month earlier and came in below the 0.1% increase economists had expected. Over the past 12 months, producer prices have risen by 1.8%.