U.S. import-price index increases more than expected in March

The Labor Department reported the import-price index, measuring the cost of goods ranging from Canadian oil to Chinese electronics, rose 0.6 percent m-o-m in March, following a revised 1.0-percent m-o-m increase in February (originally a 0.6 percent m-o-m advance). Economists had expected prices to gain 0.4 percent m-o-m last month.

According to the report, prices for import fuel surged 6.4 percent in March after increasing 9.7 percent in February, as prices for both petroleum and natural gas increased. Meanwhile, the price index for nonfuel imports decreased 0.2 percent m-o-m in March, after rising 0.2 percent m-o-m in February, as falling prices for capital goods, consumer goods, and nonfuel industrial supplies and materials more than offset an increase in the prices for foods, feeds, and beverages.

Over the 12-month period ended in March, import prices recorded no change.

At the same time, the price index for U.S. exports rose 0.7 percent m-o-m in March, following a revised 0.7 percent m-o-m gain in the previous month (originally a 0.6 percent increase).

Both nonagricultural prices (+0.7 percent m-o-m) and agricultural prices (+0.9 percent m-o-m) contributed to the March advance.

Over the past 12 months, the price index for exports rose 0.6 percent.