With prices for fuel imports seeing a significant decrease, the Labor Department released a report on Thursday showing an unexpected drop in U.S import prices in the month of May.
The report said import prices fell by 0.6 percent in May following a revised 0.7 percent decrease in April. Economists had been expecting import prices to come in unchanged.
The unexpected drop in import prices was largely due to a sharp drop in prices for fuel imports, which tumbled by 1.9 percent in May after plunging by 2.5 percent in April.
The Labor Department noted that a 2.0 percent drop in petroleum prices more than offset a 1.2 percent increase in natural gas prices.
Excluding the drop in prices for fuel imports, import prices fell by a more modest 0.3 percent in May compared to a 0.2 percent dip in the previous month.
The report also showed a 0.5 percent decrease in export prices in May, which followed a 0.7 percent drop in April. Export prices had been expected to edge down by 0.1 percent.
The decrease in export prices came as a 0.7 percent drop in prices for non-agricultural exports more than offset a 1.0 percent increase in prices for agricultural exports.
Compared to the same month a year ago, import prices were down by 1.9 percent in May, while export prices fell at an annual rate of 0.9 percent.
For comments and feedback contact: editorial@rttnews.com
Forex News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.