The Labor Department reported on Wednesday the U.S. producer-price index (PPI) fell 1.3 percent m-o-m in April, following an unrevised 0.2 percent m-o-m drop in March. That marked the largest decline since the index began in December 2009.

For the 12 months through April, the PPI decreased 1.2 percent, following a 0.7 percent advance in the previous month. That was the largest drop since the 12 months ended November 2015.

Economists had forecast the headline PPI would decrease 0.5 percent m-o-m and 0.2 percent over the past 12 months.

According to the report, over 80 percent of the April decrease in the final demand index can be traced to a 3.3-percent m-o-m plunge in prices for final demand goods. Meanwhile, the index for final demand services dropped 0.2 percent m-o-m.

Excluding volatile prices for food and energy, the PPI declined 0.3 percent m-o-m but rose 0.6 percent over 12 months. Economists had forecast no change m-o-m and a gain of 0.9 percent y-o-y.