Wholesale prices dropped just a bit in August, the BLS reported, potentially allowing the Federal Reserve to cut interest rates at its September meeting.

The producer price index, a gauge of costs at the wholesale level in the U.S. economy, posted an unexpected 0.1% decline in August.

The producer price index was expected to increase 0.3% in August, according to the Dow Jones consensus estimate.

Wholesale prices dropped just a bit in August, the BLS reported, potentially allowing the Federal Reserve to cut interest rates at its September meeting.