US import prices increase 0.5 pc

WASHINGTON, Oct 15 (Reuters): US import prices jumped faster than expected in September amid resurgent energy prices but prices excluding fuels were unchanged.
The Labour Department said import prices rose 0.5 per cent last month. That was the largest increase since May and followed a revised 0.4 per cent decrease in August.
Import prices were previously reported to have fallen 0.6 per cent in August. Economists polled by Reuters had forecast import prices rising 0.2 per cent in September.
In the 12 months through September, import prices rose 3.5 per cent after a 3.8 per cent increase in the 12 months through August.
Last month, prices for imported fuels and lubricants rose 3.8 per cent, the largest increase since May, after falling 2.2 per cent in August.
Food prices advanced 2.0 per cent in September after rising 0.3 per cent in the prior month.
Excluding food and fuels, prices fell 0.1 per cent in September. These so-called core prices fell 0.2 per cent in August and were down in July and June as well.
The weakness in core import prices likely reflects ongoing dollar strength.
The dollar has gained more than 6.0 per cent this year against the currencies of the United States' main trade partners.
Dollar strength is expected to offset some of an anticipated increase in prices as the Trump administration presses ahead with tariffs on nearly all Chinese imports.
US President Donald Trump imposed tariffs on nearly $200 billion of Chinese imports last month and then threatened more levies if China retaliated.
China then hit back with tariffs on about $60 billion of US imports.
On Thursday, Trump warned there was much more he could do that would hurt China's economy.
US Treasury yields briefly rose after the data. The dollar was trading slightly higher.
The import price data excludes duties. In September, import prices for nonfuel industrial supplies and materials fell 0.4 per cent after falling 0.9 per cent in August.
The cost of imported capital goods was unchanged.