Producer prices rise as gasoline costs jump

Producer prices rose twice as much as expected in August, but if energy prices moderate in the months ahead, economists say inflation should not increase.

Producer prices rose 1.7 percent in August, the U.S. Labor Department announced Tuesday, as energy prices jumped 8.0 percent. Gasoline prices rocketed 23.0 percent during the month. Excluding the often-volatile food and energy component, producer prices rose just 0.2 percent in August.