U.S. import prices rise strongly in Aug

Published 09/15/2010, 08:32 AM
Updated 09/15/2010, 08:36 AM

WASHINGTON, Sept 15 (Reuters) - U.S. import prices rose faster than expected in August, recording their largest increase in four months on higher petroleum and food costs, according to a government report on Wednesday that hinted at an uptick in imported inflation.

Import prices increased 0.6 percent after rising by a revised 0.1 percent in July, the Labor Department said.

Analysts polled by Reuters had forecast import prices rising 0.3 percent last month from a previously reported 0.2 percent gain in July.

In the 12 months to August, import prices increased 4.1 percent, the smallest advance since November.

August's monthly rise reflected a 2.1 percent rise in the price of imported petroleum and petroleum products, the largest since April, after a 0.9 percent increase in July. Excluding petroleum, import prices rose 0.2 percent, reversing the prior month's 0.2 percent decline.

Prices of imported foods jumped 2.2 percent from a 0.1 percent rise in July. There were also increases in prices for industrial supplies and materials.

The Labor Department report showed export prices rebounded 0.8 percent last month after slipping 0.2 percent in July. Export prices were boosted by a 4.3 percent jump in food prices, the biggest rise in 14 months.

Analysts had expected export prices to gain 0.2 percent. Compared to August last year, export prices rose 4.1 percent. (Reporting by Lucia Mutikani; Editing by Andrea Ricci)

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