Current developments affecting occupancy, room rates, labor, local demand and revenue management. Updated as the evidence changes.
New since October 14: 1 verified update. Earlier intelligence remains below.
September’s producer-price increase was the largest since March 2022. Energy prices drove much of the goods increase, while transportation and trade margins also rose.
DevelopingCostsGasoline accounted for more than half of September’s monthly CPI increase. Restaurant menu prices kept rising even as grocery prices edged lower.
PersistentOperating CostsISM’s September services price index reached 74.0. Demand is still growing, but fuel, labor and software charges are weighing on operating costs.
DevelopingDemandSeptember confidence fell sharply while major retailers moved more aggressively on price. The evidence points to a more value-conscious consumer, not yet to an across-the-board spending contraction.
DevelopingDemandFor the week ending August 29, occupancy, average daily rate and RevPAR were all above the comparable 2025 week.
AcceleratingLaborAccommodation payrolls rose by about 8,600 jobs in August to roughly 1.93 million.
PersistentPricingLodging away from home was up 3.2% year over year in August; hotel and motel lodging was up 2.9%.
VolatileLocal DemandSan Francisco’s RevPAR jumped nearly 60% in one late-August week while other major markets fell sharply.
Producer prices jump 1.3% as energy and freight costs rise
Watch: October producer-price data; weekly fuel and freight quotations; supplier surcharges and contract renewal dates; and whether food or energy increases persist after September.
Evidence: U.S. Bureau of Labor Statistics — September Producer Price Index, October 15
Earlier evidence: U.S. Bureau of Labor Statistics · Institute for Supply Management