WASHINGTON -- The inflation numbers look terrific, so it must be time to raise interest rates again.

This perverse logic was at work again in the bond market yesterday after the Labor Department reported that the producer price index, which measures wholesale prices, fell 0.5% in October. The decline matched a 0.5% drop in September and marked a meager 1.0% rise in prices over the last year.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.