U.S. Import Prices Rise, Export Prices Fall

ByJohn S. McClenahen Even as the Federal Reserve Board continues to worry about the possibility of a generalized decline in prices in the U.S., the prices of imports continue to rise. Led by rising petroleum prices, the U.S. Labor Department's import price index rose 0.5% in July, its second consecutive monthly increase and fifth overall this year. Petroleum prices increased 3.7% in July and are up 11.6% during the past 12 months. Meanwhile, prices for U.S. exports fell 0.1% in July, their second consecutive monthly decline and their third decrease of the year. The fourth consecutive monthly price decline in nonagricultural exports was primarily responsible for last month's overall decrease in U.S. export prices.