2018.11.1509:35:00UTC+00U.S. Import And Export Price Growth Exceeds Estimates In October

A report released by the Labor Department on Thursday showed U.S. import and export prices both rose by more than expected in the month of October.

The Labor Department said import prices climbed by 0.5 percent in October after rising by a downwardly revised 0.2 in September.

Economists had expected import prices to inch up by 0.1 percent compared to the 0.5 percent increase originally reported for the previous month.

Prices for fuel imports led the way higher, spiking by 3.3 percent in October after increasing by 0.7 percent in September. Higher prices for both petroleum and natural gas contributed to the advance.

Excluding the jump in fuel prices, import prices rose by 0.2 percent in October after showing no change in September.

Higher prices for foods, feeds, and beverages drove the increase, more than offsetting decreasing prices for capital goods, consumer goods, and non-fuel industrial supplies and materials.

Meanwhile, the report said export prices rose by 0.4 percent in October after coming in unchanged in September. Export prices had also been expected to tick up by 0.1 percent.

The Labor Department said higher non-agricultural prices more than offset decreasing agricultural prices, resulting in the bigger than expected increase in export prices.

Prices for non-agricultural exports climbed by 0.5 percent in October after rising by 0.2 percent in September, largely reflecting higher prices for non-agricultural industrial supplies and materials.

On the other hand, the report said prices for agricultural exports fell by 0.3 percent in October after plunging by 1.3 percent in September, with the continued decrease led by lower nut and cotton prices.

Compared to the same month a year ago, import prices were up by 3.5 percent in October, while export prices were up by 3.1 percent.