U.S. Import Prices Jump 1.3% In February, Much More Than Expected

U.S. import prices rose sharply in February, coming in much higher than expected as fuel import prices rebounded significantly. The upside surprise to import-price inflation increases near-term inflationary pressure and could reinforce a hawkish tilt for policymakers, with modest market implications for interest rates and commodity-sensitive sectors.

Analysis

U.S. import prices rose sharply in February, coming in much higher than expected as fuel import prices rebounded significantly. The upside surprise to import-price inflation increases near-term inflationary pressure and could reinforce a hawkish tilt for policymakers, with modest market implications for interest rates and commodity-sensitive sectors.