US core producer prices rose 0.3 per cent in April for the second consecutive month, while the increase from a year ago was the largest since August 2009, the Labor Department said.

Economists surveyed by Reuters had expected a rise of 0.2 per cent in the core producer price index, which excludes volatile food and energy components from prices paid at the farm and factory gate.

In the 12 months to April, the core producer price index rose 2.1 per cent, the biggest increase since August 2009.

Overall producer prices rose 0.8 per cent in April, after a 0.7 per cent rise in March, the department said. Economists had expected a 0.6 per cent rise.

The 6.8 perc ent rise in producer prices over the past year was the most since September 2008, the department said.

Reuters