The Bureau of Labor Statistics reported the producer price index rose 1% in January, this follows readings of +0.4% in December, and +0.9% in November. Annual wholesale inflation is reported at 9.7% (down slightly from the record 9.8% readings for both November and December). Prices for final demand services rose 0.7% in January, mirroring December’s reading. Three-quarters of the rise in January is attributable to a 0.9% increase in the index for final demand services less trade, transportation, and warehousing. A major factor in the January increase in the index for final demand services was healthcare which rose 1.6%. Prices for final demand goods rose 1.3% in January and follows a 0.1% drop in December. Some 40% of the increase in final demand goods is attributable to a 0.8% rise in the index for final demand goods less foods and energy, and follows readings of +0.9% in November and +0.6% in December. Over the past 12 months, this index is up 8.4%. Core wholesale inflation, which removes the more volatile food, energy and trade services components, was up +0.9% for the month and ticked up to 6.9% for the year.

The Commerce Department reported advanced U.S. retail and food services sales increased 3.8% to $649.8B in January, following a downwardly revised -2.5% in December. Retail sales are running 13.0% higher than a year ago. Total sales for November 2021 through January 2022 were up 16.1% year over year. Sales at nonstore retailers climbed 14.5% while department stores rose 9.2%, and furniture and home furnishings saw a 7.2% increase. Gains were also reported by auto dealerships (+5.7%), building materials and supply (+4.1%), general merchandise (+3.6%), and electronics and appliances (+1.9%). Sporting goods stores saw a decrease (-3.0%), in addition food services and drinking places saw a modest decline of (-0.9%). Core retail sales, a measurement that excludes spending on autos, gasoline, building materials, and food services, was up 4.8% and follows a revised (-4.0%) drop in December.

The U.S. Census Bureau reported new residential building permits were up 0.7% in January to a seasonally adjusted 1.899M. New residential building permits are running 0.8% above the January 2021 level. Single-family permits were up 6.8% from an upwardly revised December figure of 1.128M, multifamily permits dropped 8.8% to 629K. Building permits increased in both the West (+13.9%) and South (+11.4%), while the Northeast (-48.3%) and Midwest (-0.7%), both saw decreases.  Single-family housing completions came in at 927K, 7.3%, below December’s reading. Multifamily construction was unchanged at 309K. Housing starts posted a seasonally adjusted annual rate of 1.638M, a 4.1% decrease from December’s revised 1.708M, and up 0.8% over January 2021. Single-family housing starts came in at a rate of 1.116M, down 5.6% from December's 1.182M. Multifamily housing starts came in at a rate of 510K, down 2.1% from December's 521K.