Look out for another inflationary price pressure economic print out of the BLS this morning.
U.S. import prices increased 1.0 % in January. This comes after the modest 0.2% increase in December. Both nonfuel imports and fuel imports contributed to the increase in the price advance this month.
Prices for U.S. exports rose 0.8% in January following a 0.1 % increase in December.
From the BLS report:
All Imports: The price index for U.S. imports rose 1.0 percent in January, after increases of 0.2 percent in December and 1.0 percent in November. The 1.0-percent advances were the largest 1-month rises since the index increased 1.2 percent in May 2016. Import prices advanced 3.6 percent between January 2017 and January 2018.
Fuel Imports: Fuel prices increased 4.7 percent in January following a 2.9-percent advance in December and a 9.8-percent rise in November. Higher prices for petroleum and natural gas contributed to the increases in all 3 months. Prices for petroleum advanced 4.3 percent in January, after rising 2.3 percent the previous month and 9.5 percent in November. The price index for natural gas increased 20.7 percent in January following advances of 20.0 percent in December and 25.7 percent in November. Prices for fuel imports rose 19.7 percent over the past 12 months. Petroleum prices increased 20.9 percent for the year ended in January and prices for natural gas advanced 16.2 percent over the same period.
All Imports Excluding Fuel: Prices for nonfuel imports advanced 0.4 percent in January, after edging down 0.1 percent the previous month. The January increase was the largest monthly advance since the index rose 0.4 percent in March 2012. The last time the index increased more than 0.4 percent was a 0.8-percent rise in April 2011. Prices for nonfuel industrial supplies and materials; automotive vehicles; foods, feeds, and beverages; and capital goods all contributed to the January advance. The price index for nonfuel imports increased 1.9 percent over the past 12 months, the largest over-the-year rise since the index advanced 2.0 percent in March 2012. The January 12-month advance was primarily driven by rising prices for nonfuel industrial supplies and materials.
All Exports: U.S. export prices increased 0.8 percent in January. The index has not risen by more than 0.8 percent since the index advanced 1.1 percent in May 2016. In January, the increase in nonagricultural prices more than offset a decline in agricultural prices. The price index for exports increased 3.4 percent over the past 12 months.
Agricultural Exports: Prices for agricultural exports edged down 0.1 percent in January, after falling 0.3 percent the previous month. The January drop was driven by a 5.8-percent decline in soybean and other oilseeds prices. Despite the recent decreases, prices for agricultural exports rose 1.4 percent over the past year. Rising meat prices were the primary contributor to the advance in agricultural prices for the year ended in January.
All Exports Excluding Agriculture: Nonagricultural export prices advanced 0.9 percent in January following a 0.1-percent rise in December. The price indexes for nonagricultural industrial supplies and materials; capital goods; automotive vehicles; and consumer goods all rose in January. Prices for nonagricultural export indexes advanced 3.7 percent from January 2017 to January 2018, the largest 12- month increase since a 4.0-percent rise for the year ended December 2011.
Imports by Locality of Origin: Prices for imports from Japan increased 0.6 percent in January, after recording no change the previous month. The January advance was the first monthly rise since the index ticked up 0.1 percent in September and the largest 1-month advance since a 0.6-percent rise in January 2011. In January, import prices from China recorded no change for the second consecutive month. The price index for imports from China rose 0.2 percent for the year ended in January, the first 12-month advance since the index increased 0.1 percent in October 2014 and the largest since the index advanced 0.3 percent in July 2014. Higher fuel prices led the January increase for import prices from Canada, up 2.5 percent, and Mexico, up 0.7 percent. Prices for imports from the European Union also rose, increasing 0.5 percent.
Nonfuel Industrial Supplies and Materials: The price index for nonfuel industrial supplies and materials increased 1.8 percent in January following a 0.2-percent drop in December. The January rise was driven by higher metals prices and was the largest monthly advance since a 2.0-percent rise in March 2011.
Finished Goods: Finished goods prices were mostly up in January. Prices for automotive vehicles advanced 0.5 percent in January led by rising prices for passenger cars. The price index for capital goods also rose in January, ticking up 0.1 percent. Consumer goods prices recorded no change.
Foods, Feeds, and Beverages: Foods, feeds, and beverages prices rose 0.8 percent in January following a 0.9-percent decline in December. The January increase was driven by higher prices for fruit, bakery products, and vegetables.
Transportation Services: Import air passenger fares fell 3.2 percent in January, after increasing 6.5 percent in December. The January decline was led by an 11.1-percent drop in Asian fares and a 13.0-percent decrease in Latin American/Caribbean fares, which more than offset higher European fares. Despite the January decline, import air passenger fares rose 2.6 percent over the past year. The price index for import air freight prices decreased 3.0 percent in January and increased 8.7 percent over the past 12 months.
Nonagricultural Industrial Supplies and Materials: Nonagricultural industrial supplies and materials prices increased 2.1 percent in January, after edging down 0.1 percent in December. The January advance was driven by a 4.5-percent rise in fuel prices and a 3.0-percent increase in metals prices.
Finished Goods: Prices for each of the major finished goods categories increased in January. Capital goods prices advanced 0.5 percent. Higher prices for nonelectrical machinery, transportation equipment, and electrical machinery all contributed to the January advance. The price indexes for consumer goods and automotive vehicles also rose in January, each increasing 0.3 percent.
Transportation Services: Export air passenger fares advanced 5.6 percent in January following a 3.3- percent rise the previous month. Both increases were driven by higher Asian and Latin American/Caribbean fares which more than offset lower European fares in January and December. Despite the recent increases, export air passenger fares fell 1.0 percent for the year ended in January. Prices for export air freight increased 0.2 percent in January and 7.5 percent over the past year.