Global| Sep 09 2005Import Prices Jumped
by:Tom Moeller
|in:Economy in Brief
Summary
Import prices last month about matched Consensus expectations and jumped 1.3%, although July's gain was revised lower to 0.8% from 1.1% reported initially. Petroleum prices surged another 7.1% on top of a downwardly revised 6.1% spike [...]
Import prices last month about matched Consensus expectations and jumped 1.3%, although July's gain was revised lower to 0.8% from 1.1% reported initially.
Petroleum prices surged another 7.1% on top of a downwardly revised 6.1% spike in July. So far in September, Brent crude oil prices have averaged $65.00 and yesterday traded at $63.79/bbl. versus an average $64.10 in August.
Import prices other than petroleum were unchanged following three consecutive months of 0.2% decline. The July decline was revised deeper from 0.1%. Prices for nonauto consumer goods fell 0.2% (+1.1% y/y) for the second month and capital goods prices were unchanged (-0.4% y/y). Computer, peripheral & semiconductor prices rose 0.1% (-6.0% y/y). Excluding computers capital goods prices fell 0.1% (2.2% y/y) for the second consecutive month.
During the last ten years there has been a 66% (negative) correlation between the nominal trade-weighted exchange value of the US dollar vs. major currencies and the y/y change in non oil import prices. The correlation is a lower 47% against a broader basket of currencies and a lower 57% against the real value of the dollar.
Export prices slipped 0.1% as agricultural prices fell 0.6% (+6.6% y/y) and nonagricultural prices fell 0.1% (+2.7% y/y).
U.S. Jobs Gained and Lost through Trade: A Net Measure from the Federal Reserve Bank of New York is available here.
The Beige Book covering U.S. regional economic conditions from the Federal Reserve Board can be found here.
| Import/Export Prices (NSA) | Aug | July | Y/Y | 2004 | 2003 | 2002 |
|---|---|---|---|---|---|---|
| Import - All Commodities | 1.3% | 0.8% | 7.6% | 5.6% | 2.9% | -2.5% |
| Petroleum | 7.1% | 6.1% | 42.5% | 30.5% | 21.0% | 3.0% |
| Non-petroleum | 0.0% | -0.2% | 1.8% | 2.6% | 1.1% | -2.4% |
| Export - All Commodities | -0.1% | 0.1% | 3.1% | 3.9% | 1.6% | -1.0% |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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