With a drop in non-fuel prices more than offsetting an increase in fuel prices, the Labor Department released a report on Thursday showing an unexpected decrease in U.S. import prices in the month of June.
The Labor Department said import prices fell by 0.2 percent in June following a revised 0.7 percent decrease in May. Economists had been expecting import prices to inch up by 0.1 percent.
The unexpected drop in import prices in June reflected a 0.3 percent decrease in non-fuel import prices, which matched the decrease seen in the previous month.
The Labor Department said lower prices for non-fuel industrial supplies and materials, foods, feeds, and beverages, and each of the major finished goods categories all contributed to the drop in non-fuel prices.
Meanwhile, the report said fuel import prices inched up by 0.1 percent in June after tumbling by 1.9 percent in May and by 2.4 percent in April.
Petroleum prices edged up by 0.2 percent, although the increase was partly offset by a 1.2 percent drop in natural gas prices.
Additionally, the report said export prices edged down by 0.1 percent in June after dropping by 0.5 percent in the previous month. The drop in export prices matched economist estimates.
Prices for non-agricultural exports dipped by 0.2 percent in June following a 0.7 percent decrease in May, with the continued decrease reflecting a 0.5 percent drop in non-agricultural industrial supplies and materials prices.
On the other hand, the Labor Department said prices for agricultural exports rose by 0.6 percent in June following a 1.1 percent increase in May.
The increase in agricultural prices was led by a 5.3 percent advance in soybean prices, a 2.3 percent increase in corn prices, and a 4.7 percent rise in nut prices.
Compared to the same month a year ago, import prices were up by 0.2 percent in June, while export prices rose by 0.8 percent year-over-year.
For comments and feedback: editorial@rttnews.com