ECONOMY
Lower US import prices suggest inflation will remain benign
Washington — US import prices fell for a second consecutive month in June amid further declines in the cost of petroleum products, suggesting inflation pressures could remain benign for a while. The labour department said on Tuesday that import prices decreased 0.2% in June after an upwardly revised 0.1% decline a month earlier. In the 12 months to June, import prices increased 1.5%. That was the smallest gain since last November and followed May’s 2.3% increase. The year-on-year increase in import prices has slowed sharply since posting 4.7% in February, which was the biggest advance in five years. US financial markets were little moved by the report, which came on the heels of data last week showing consumer prices were unchanged in June and the annual consumer price index rate increased 1.6% — the smallest rise since October 2016. Low oil prices are largely curbing both domestic and imported inflation pressures. Other factors such as declining prices for mobile phone services hav...
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