US import prices extend decline as inflation outlook brightens

Reuters polled economists, who predicted that import prices, which don't include tariffs, would fall by 0.1%.Import costs decreased 6.1% for the past year, ending in June.

In June, import prices in the United States decreased for a second consecutive month as drops elsewhere more than offset an increase in the price of fuel, the latest sign that the economy's inflationary pressures are easing.The Labour Department's data came out on Friday after this week's reports indicating both producer and consumer prices increased marginally in December.

Despite the fact that inflation is still above the Federal Reserve's 2% objective, lessening price pressures have led the majority of experts to predict that this month's anticipated interest rate increase will be the final one in the fastest monetary policy tightening cycle since the 1980s.According to Jeffrey Roach, chief economist at LPL Financial in Charlotte, North Carolina, "the inflation pipeline is clearing up." Investors should anticipate that the Fed will recognise the ongoing improvement in pricing dynamics across the domestic economy at its upcoming meeting.Last month, import prices decreased by 0.2%. Import costs decreased by 0.4% in May instead of the previously reported 0.6%, according to updated data.

Reuters polled economists, who predicted that import prices, which don't include tariffs, would fall by 0.1%.Import costs decreased 6.1% for the past year, ending in June. This followed a 5.7% loss in May and was the largest annual decline since May 2020.Five months in a row have seen a drop in annual import prices. At its policy meeting last month, the Fed, which has increased its benchmark overnight interest rate by 500 basis points since March 2022, decided against raising the rate.Prices for imported fuel increased 0.8% last month after falling 4.3% in May. While natural gas prices decreased 5.6%, petroleum prices increased by 1.1%. The cost of imported food dropped by 0.3%.

global prices, inflation, El Nino, world supply, rice commerce, sugar exports, export ban, exports, exports, and consumer prices inflationIndia is thinking of banning most rice exports as domestic prices rise.

CPI inflation, headline inflation, tomato prices, weather disruption, RBI, monetary policy, interest rate, economy, food prices, monsoon US FedAccording to analysts, retail inflation is up 4.81% due to increased food costs and the strength of the monsoon.

WPI inflation, the economy, inflation, food prices, textiles, mineral oils, basic metals, crude oil & natural gas, textiles, and the ministry of commerce & industry all see declines in June, with WPI inflation falling to (-)4.12%, its lowest level since October 2015.

In June, rising food costs were seen as a factor in India's inflation rate.

With fuel and food excluded, import prices fell by 0.4%. In May, these so-called core import prices remained the same. On a yearly basis, core import prices dropped 1.5% in June. They haven't changed much this year despite the dollar's decline versus the major trading partners of the United States.Despite the fact that dollar strength has turned into dollar weakness, the Fed has gained an ally in its battle against inflation, according to Christopher Rupkey, chief economist at FWDBONDS in New York. "The harmful trend of the goods inflation Americans have been paying is being subtracted by import prices."In June, the cost of imported capital goods decreased by 0.1%.

Consumer goods prices, excluding motor vehicles, decreased by 0.3%.For the third consecutive month, the cost of importing goods from China decreased by 0.4%, with the manufacturing of computers and electronic products seeing the largest decline of 0.7%. The highest decline in Chinese import prices since November 2009 was 2.3% on an annual basis.The economy may be slowing down, according to the deflation of import prices. Additionally, the study revealed that export prices dropped 0.9% in June after falling 1.9% in May. As lower prices for soybeans, fruit, and nuts more than offset higher prices for meat, export prices for agricultural products fell 1.6%.

Non-agricultural export prices decreased by 0.9%. Prices of non-agricultural food and non-agricultural industrial supplies and materials declined, offsetting increases in the cost of capital goods, consumer goods, and automobiles.After decreasing 10.2% in May, export prices fell 12.0% year-over-year in June, marking the largest annual decline since the government began keeping track of the series in September 1984.