Applications for unemployment benefits climbed to a more than one-year high and wholesale inflation continued to moderate, adding to signs of softening in the economy.

The producer price index for final demand increased 2.3% in April from a year ago, the slowest pace since early 2021 and extending a year-long easing tied to falling commodities costs and improved supply chains. Government data Thursday also showed initial jobless claims last week rose to the highest since October 2021.

At a high level, the reports may bolster chances that the Federal Reserve will pause its run of interest rate hikes at next month’s meeting. However, details beneath the surface show persistent inflationary pressures that officials are struggling to tame.

The PPI data come a day after the consumer price index indicated inflation though still high is beginning to show promising signs of moderation. While shipping delays, shortages and other logistics headaches sharply drove up prices for a variety of goods in 2021 and the first half of 2022, the gradual amelioration of these challenges has been a key disinflationary force.

“If you take the totality of the data and CPI as well, these numbers certainly argue that the Fed should take a breather and watch the landscape over the next few months,” said Omair Sharif, president of Inflation Insights LLC. “The bottom line is that there’s uncertainty right now in general and if that uncertainty is feeding into the labor market, that’s an even bigger reason for the Fed to pause right now and just get a sense of where things are headed.”

Bad bike seat post assembly leads to big Peloton recall

Peloton is recalling more than 2 million of its exercise bikes in the U.S. because the bike’s seat post assembly can break during use, posing fall and injury hazards.

The recall includes approximately 2.2 million of the Peloton bikes model PL01. The bikes were sold in the U.S. from January 2018 through May for about $1,400. They were sold at Peloton and Dick’s Sporting Goods stores nationwide and online at Amazon, Peloton and Dick’s websites.

Peloton has received 35 reports of the seat post breaking and detaching from the bike during use, including 13 reports of injuries including a fractured wrist, lacerations and bruises because of falling from the bike.

Peloton can be reached at 866-679-9129 from 3 a.m. to 9 p.m. PST, seven days a week or online atonepeloton.com. Consumers can click on Product Recalls at the bottom of the Peloton website page for information on how to request the free seat post and instructions for installation.

Peloton has been in the process of a corporate reorganization. In October, the company announced it was cutting about 500 jobs. That announcement came after the company said in August that it would cut 784 jobs, close its North America distribution network and shift delivery work to third-party providers.

No more pooled rides for Lyft customers

San Francisco-based Lyft is officially discontinuing shared rides, the latest change the ride-hailing company’s new chief executive officer is making in a bid to revamp the platform to compete with Uber Technologies Inc.

“The problem with shared trips is that they take people out of their way,” David Risher said in an interview Thursday. “At some point you have to pay attention to what your customers want.”

It’s one of a slate of product changes Risher is making since taking over as CEO in April and marks the end of a feature that came to define the ride-hailing industry. Lyft was the first to launch shared rides in 2014, and Uber later followed with Uber Pool.

Lyft also is focusing on boosting airport rides, which comprise about 10% of all trips, by making it easier for customers to prebook a trip. Riders now will have the option to hail a Lyft the moment they land from a flight as opposed to ordering when arriving to the ride-share pickup area,

Compiled from Bloomberg reports.