U.S. Import Prices Eased in May

By Ed Frankl

Import prices fell in May, snapping a four-month rising streak, potentially easing the pressure at the Federal Reserve over recently higher-than-expected inflation readings.

Prices declined by 0.4% on month, after climbing 0.9% in April and 1.5% in the first quarter of this year, according to Bureau of Labor Statistics data published Friday. This compared with the flat growth economists had expected, according to a survey carried out by The Wall Street Journal.

Prices for fuel imports fell 1.7%, after a 4.6% rise in April, while prices for non-fuel imports crept down 0.3%.

Falling overall import prices may cool some concerns at the Fed, which this week left interest rates unchanged and forecast just a single cut this year. Higher interest rates often lead the dollar higher than other currencies, which can make imports cheaper.

Write to Ed Frankl at edward.frankl@wsj.com

(END) Dow Jones Newswires

June 14, 2024 08:56 ET (12:56 GMT)

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