The Labor Department reported on Friday the U.S. producer-price index (PPI) fell 0.2 percent m-o-m in June, following an unrevised 0.4 percent m-o-m advance in May.

For the 12 months through June, the PPI fell 0.8 percent, the same pace as in the previous month.

Economists had forecast the headline PPI would increase 0.4 percent m-o-m but drop 0.2 percent over the past 12 months.

According to the report, the June drop in the final demand index was attributable is attributable to a 0.3-percent m-o-m decline in prices for final demand services (the largest decrease since February). Meanwhile, the index for final demand goods rose 0.2 percent m-o-m.

Excluding volatile prices for food and energy, the PPI fell 0.3 percent m-o-m but edged up 0.1 percent over 12 months. Economists had forecast gains of 0.1 percent m-o-m and 0.4 percent y-o-y.