U.S. April import and export prices rose only 0.2%, both below expectations
U.S. April import and export prices rose only 0.2%, both below expectations. Petroleum and food prices were the biggest monthly movers in both. The 0.6% increase in March import prices was not revised, while the 0.7% export price gain was nudged down to 0.6%. On a 12-month basis, import prices contracted at a -0.2% y/y clip versus 0.1% y/y previously (revised from unchanged); and export prices are up 0.3% y/y versus 0.6% y/y previously. For import prices, petroleum increased 6.1% last month after revised gains of 5.3% (was 4.7%), 10.2% (was 9.7%), and 7.8% (was 7.5%) in the prior there months. Excluding petroleum, import prices declined 0.6% versus the 0.2% gain previously. Food/beverage costs increased 2.8% from -0.2% (revised from 0.1%). Industrial supplies prices were up 1.0% from 2.9% (revised form 2.7%). Capital goods prices dipped 0.4% from -0.1% (revised from -0.2%). Import prices with China were down 0.2% from unchanged, and were up 1.3% with Canada from 3.0% (revised from 2.0%). For export prices, agricultural dropped 1.5% from 1.0% (revised from 0.9%), and were up 0.4% excluding ag, versus 0.7%. Food/beverage prices dropped 1.8% from 1.2%. Industrial supplies prices were 0.9% higher from 1.8% (revised from 2.0%), and capital goods prices were flat from 0.1% (revised from -0.1%).