Import and Export Prices Fall in August, Led by Oil

Export prices for the month of August fell 0.5%, against the Bloomberg estimate of -0.1%. The reading for the month of July was 0.1%. Over the course of the year, export prices have increased 0.4%, which has remained the same as in the previous year.

Excluding agricultural products, export prices fell 0.3% in the month of August, resulting in the increase of the yearly rate of 0.5%.

Import prices fell 0.9% against an estimate of -1.0%. The reading for the previous month was -0.3%. Over the course of the year, import prices have fallen 0.4% from the previous reading of an increase in 0.8%.

However, import prices were skewed for August by a 4.4% fall in petroleum products. Import prices, excluding petroleum, only fell by 0.1% in the month of August, compared to a fall of 0.2% in the month of July. Excluding petroleum products and looking at the year over year, we see import prices adjust back to 0.8% from -0.4%.

Initially a look at prices of finished goods, for both imports and exports, showed no major red flags. The largest yearly increase is exported consumer goods at 1.0%. Exported capital goods and imported consumer goods both increased 0.8% on the year.

Imported motor vehicles are down on the year at -0.7%, which is a small upturn from the July reading of -0.9%, the largest fall in motor vehicles since December 1992.

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