Article: nation.(Front)

producer prices, retail sales rise

Higher energy prices rippled through the economy in June, helping drive bigger-than-expected gains in retail sales and inflation at the producer level. The Commerce Department reported Tuesday that retail sales rose 0.6 percent in June, the biggest gain in five months. Without the gains from gasoline station sales and a rebound in autos, retail sales fell 0.2 percent.

Meanwhile, a 1.8 percent rise in wholesale prices - double what economists had expected - was the biggest gain since November 2007. It fanned fears of inflation, but economists said the energy spike was not the beginning of a dangerous bout of inflation. ...

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