U.S. import prices rebounded in July, boosted by higher costs for consumer goods, the latest indication that inflation was poised to pick up because of tariffs.
Import prices increased 0.4% last month after a downwardly revised 0.1% dip in June, the Labor Department's Bureau of Labor Statistics said on Friday. Economists polled by Reuters had forecast import prices, which exclude tariffs, unchanged after a previously reported 0.1% gain in June.
In the 12 months through July, import prices slipped 0.2% after falling 0.5% in June.
Producer price data on Thursday showed a surge in goods prices excluding the volatile food and energy components, bolstering economists expectations that consumer inflation would accelerate in the months ahead, despite what has so far been a moderate tariff pass-through.
Imported fuel prices increased 2.7% in July after rising 0.8% in June. Food prices decreased 0.1% after dropping 1.3% in the prior month. Excluding fuels and food, import prices advanced 0.3%. Core import prices eased 0.1% in June. In the 12 months through July, they increased 0.8%.
That partly reflects dollar weakness against the currencies of the United States' main trade partners. The trade-weighted dollar is down about 6.7% this year.
Prices for imported consumer goods excluding motor vehicles increased 0.4% last month after edging up 0.1% in June. Imported capital goods prices gained 0.1% while those for motor vehicles, parts and engines decreased 0.2%.
