Import prices decline 0.3% in August, the first monthly drop since October

 

• August Import/Export Prices: Import prices -0.3% M/M vs. +0.3% consensus and +0.4% prior (revised from +0.3%).
• That represents the first monthly drop since October 2020. Import fuel prices fell  by 2.3% in August, following a 3.0% increase in July, marking the first monthly decrease since a 1.0% decline in October 2020.
• Excluding fuel, import prices edged down 0.1% in August as lower nonfuel industrial supplies and materials prices more than offset higher prices for automotive vehicles; foods, feeds, and beverages; capital goods; and consumer goods.
• Import prices increased 9.0% over the past year, the smallest 12-month increase since March 2021.
• Export prices: +0.4% M/M vs. +0.5% consensus and +1.1% prior (revised from +1.3%). The August increase is the smallest one-month since October 2020.
• Prices for agricultural exports advanced 1.1% in August after falling 1.7% in July. Higher prices for nuts, wheat, meat, vegetables and dairy products more than offset lower prices for corn, animal fees, fruit, and soybeans.
• On a Y/Y basis, prices of U.S. exports rose 16.8%.
• Excluding agricultural, prices for exports rose 0.2% in August, the smallest one-month increase since October 2020, when that number declined.