The Labor Department reported on Wednesday the U.S. producer-price index (PPI) rose 0.5 percent m-o-m in January 2020, following an unrevised 0.2 percent m-o-m gain in December 2019.

For the 12 months through January, the PPI rose 2.1 percent, accelerating from 1.3 percent in the previous month. That was the largest gain since May 2019.

Economists had forecast the headline PPI would increase 0.1 percent m-o-m and 1.6 percent over the past 12 months.

According to the report, 90 percent of the January advance in the final demand index was attributable to prices for final demand services, which jumped 0.7 percent m-o-m. Meanwhile, the index for final demand goods edged up 0.1 percent m-o-m.

Excluding volatile prices for food and energy, the PPI also rose 0.5 percent m-o-m and surged 1.7 percent over 12 months. Economists had forecast gains of 0.2 percent m-o-m and 1.3 percent y-o-y, respectively.