The U.S. Bureau of Labor Statistics announced on July 15 (Korean time) that the U.S. Producer Price Index (PPI) for June rose 5.5% year-on-year. Core PPI, excluding volatile energy and food prices, also climbed 5.1%, reflecting persistent inflationary pressure. This represents a slight moderation compared to the May PPI increase of 6.5% and core PPI rise of 5.2% announced on June 11. Along with the Consumer Price Index (CPI), the PPI is considered a key indicator for gauging the trajectory of U.S. inflation.

Prior to this release, the June CPI, disclosed on July 14 (Korean time), had risen 3.5% year-on-year. Following the CPI release, signals of cooling inflation were detected, prompting U.S. tech stocks and the Korean stock market to rally across the board.

Against this backdrop, attention is focused on how the June PPI results will impact global stock market volatility. In particular, markets are on high alert over how the U.S. Federal Reserve (Fed) will determine the direction of its future interest rate policy.