While the Labor Department released a report on Friday showing U.S. import prices increased by slightly less than expected in the month of January, the report also showed U.S. export prices surged by much more than anticipated.
The Labor Department said import prices rose by 0.3 percent in January after inching up by an upwardly revised 0.2 percent in December.
The report said the annual rate of growth by import prices slowed to 1.9 percent in January from 2.2 percent in December.
The modest monthly increase by import prices largely reflected a continued surge by prices for fuel imports, which spiked by 3.2 percent in January after jumping by 1.7 percent in December.
Prices for non-fuel imports crept up by 0.1 percent for the third straight month, as higher prices for non-fuel industrial supplies and materials, capital goods, and foods, feeds, and beverages more than offset lower prices for automotive vehicles and consumer goods.
Meanwhile, the Labor Department said export prices shot up by 1.3 percent in January after climbing by an upwardly revised 0.5 percent in December.
The report also showed a significant acceleration in the annual rate of growth by export prices, which surged to 2.7 percent in January from 1.8 percent in December.
The sharp monthly increase by export prices came as prices for non-agricultural exports jumped by 1.5 percent in January after rising by 0.4 percent in December.
Prices for non-agricultural exports saw the biggest increase since August 2023, as higher prices for non-agricultural industrial supplies and materials, capital goods, consumer goods and nonagricultural foods more than offset lower prices for automotive vehicles.
At the same time, prices for agricultural exports edged down by 0.2 percent in January after climbing by 0.7 percent in December, with lower prices for nuts, meat, fruit and vegetables more than offsetting higher corn prices.