Import Prices Come in Higher Than Expected, Hinting at More Inflation Ahead

by John Carney
Breitbart.com

Inflation might not be cooling by as much as thought.

The Labor Department’s index of import prices excluding fuel jumped by 0.2 percent in June, partially reversing the 0.3 percent decline in May.

While imports are just a small part of the overall inflation picture, the rise in prices indicates strong demand from consumers that could translate into broader price increases.

Including fuel, the import price index was flat for the month. Wall Street had forecast prices to decline 0.2 percent.

Imported fuel prices fell by a steep one percent in June, following a 0.4 percent increase in the prior month.

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