The first of a pair highly anticipated inflation reports will land on Tuesday, with markets on edge and traders betting on little-to-no easing by the Federal Reserve in 2025. With a solid economic and labor market backdrop,

The Labor Department reported Tuesday that its producer price index — which tracks inflation before it hits consumers — rose 0.2% last month from November, down from a 0.4% gain the month before. Compared with a year earlier, producer prices rose 3.3%, biggest jump since February 2023 and up from a 3% gain in November.

Inflation, as measured by the producer price index, rose three-tenths of a percentage point to 3.3% for the year ending in December, hinting that the economy may not yet have vanquished price pressures.

Wholesale prices rose less than expected in December, a positive sign for the economy amid recent market fears that inflation isn't falling as quickly as hoped to the Federal Reserve's 2% target.

Where prices did climb — warehousing and transportation — points to an inventory build. Upcoming CPI will make the inflation picture clearer.

U.S. producer prices rose less than expected in December as higher costs for goods were partially offset by stable services prices, suggesting inflation remained on a downward trend after progress had stalled in recent months.

Producer prices rose less than expected in Dec, easing Fed's inflation concerns and providing relief to markets. Core PPI also flattened.

The report from the U.S. Bureau of Labor Statistics could help ease market concerns that inflation is proving stubborn.

Stock futures rose ahead of December’s consumer price index report. The SEC sued Elon Musk over his 2022 purchase of Twitter. Six of President-elect Donald Trump's cabinet picks are set to face questioning in Senate confirmation hearings.

Stocks bounced around all day long, with traders unwilling to make any significant bets as they awaited key inflation data for clues on the path of Federal Reserve rates.Most Read from BloombergThese Homes Withstood the LA Fires.

The Federal Reserve meets for its first two-day rate ... largely driven by gas and food prices. The producer price index released a day earlier on January 14 reported a modest 0.3% increase ...

Investors are gearing up for December's crucial consumer price index to determine the direction of Fed policy.