Prices rise highest level in 36 years
4-14-2011
http://news.yahoo.com/s/ap/20110414/ap_on_bi_go_ec_fi/us_economy
A spike in the cost of gasoline pushed wholesale prices higher in March, a trend that could limit consumer spending in the coming months.
Overall, the Producer Price Index, which measures price changes before they reach the consumer, rose 0.7 percent last month and is up 5.8 percent over the past year, the Labor Department said Thursday. Food prices eased slightly in March after having risen in the previous month by the most in 36 years.
Companies added more than 200,000 jobs in March for the second straight month, the first time that has happened since 2006. The unemployment rate fell to a two-year low of 8.8 percent and has dropped a full percentage point since November
"Unfortunately, wage growth has not been commensurate with the pickup in job creation," said Dan Greenhaus, chief economic strategist at Miller Tabak. "The economy can add a zillion jobs but if wage growth is not coincident ... purchasing power is likely to be constrained."