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Producer Price Index (PPI)
Term category: Economics
In 10 words or less:  An index that measures producer's price changes...

Definition: An index that measures changes in price from the perspective of the seller.

StockJargon Advice: The PPI measures changes in price based on three areas of production: industry, commodity, and stage of processing.  This index differs from the CPI, which measures changes in price from the perspective of the buyer.

This is a closely watched indicator because it hints at the level of inflation in an economy.

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