A 2.5 percent increase in nonpetroleum industrial supplies and materials prices was the largest contributor to the overall February rise in nonpetroleum prices. That advance was led by higher prices for natural gas, metals, and fertilizers. Prices for nonpetroleum industrial supplies and materials rose 12.5 percent over the past year.
The price indexes for consumer goods, automotive vehicles, and capital goods all ticked up in February, rising 0.3 percent, 0.2 percent, and 0.1 percent, respectively. The February increase in consumer prices was led by an advance in jewelry prices and came after a 0.5 percent rise in January.
The increase for capital goods followed a 0.3 percent downturn the previous month. In contrast, foods, feeds, and beverages prices edged down 0.1 percent, the first decline for the index since a 0.2 percent decrease in March of last year. Despite the downturn, prices for foods, feeds, and beverages rose 11.0 percent over the past year.
Export Goods
The 0.9 percent increase in export prices in February followed a 1.2 percent advance in January
which was the largest monthly rise for the index since January 1989. The index rose 6.8 percent for the year ended in February. The price indexes for agricultural exports and nonagricultural exports each contributed to the overall increase last month. Agricultural prices rose 4.4 percent in February following a 5.0 percent increase the previous month and the index advanced 30.8 percent for the year ended in February, the largest 12-month rise since September 1988. Higher prices for wheat, corn, and soybeans all factored into both the February and year-over-year increases. Nonagricultural prices increased 0.5 percent in February after rising 0.8 percent in January, and rose 4.6 percent over the past year.
The increase in nonagricultural exports was led by a 1.1 percent rise in the price index for nonagricultural industrial supplies and materials. Prices for nonagricultural industrial supplies and
materials had advanced 1.9 percent in January and rose 10.7 percent over the past 12 months. The
February increase was primarily driven by higher metals prices which more than offset lower prices for fuel.
Each of the major finished goods price indexes advanced in February as well. Capital goods prices increased 0.4 percent, the largest monthly rise for the index since a similar 0.4 percent advance in January 2006. Higher prices for transportation equipment, industrial service machinery, and computers all factored into the February increase. Consumer goods prices and prices for automotive vehicles also advanced in February, rising 0.4 percent and 0.1 percent, respectively.
Imports by Locality of Origin
The price index for imports from China ticked up 0.1 percent in February following a 0.8 percent jump in January. Import prices from China last recorded a monthly decline in January 2007 and rose
3.4 percent for the year ended in February after dropping 0.9 percent for the previous 12-month period. Prices of imports from Japan also continued to trend upward in February, advancing 0.3 percent for the second time in the past three months. The index was up 0.7 percent for the February 2007-2008 period.
Import prices from the European Union and from Canada rose 0.6 percent and 0.1 percent, respectively, in February. The price index for imports from the European Union had risen 1.6 percent in January and advanced 5.0 percent over the past year. Import prices from Canada were up 2.4 percent in January and 13.7 percent for the year ended in February.
In contrast, prices for imports from Mexico declined 1.2 percent in February, the first monthly decrease for the index since January 2007. Despite the February drop, the index advanced 17.3 percent over the past 12 months.
Import and Export Services
Import air passenger fares declined 1.1 percent in February, the fifth decrease in the past six months. Despite the recent downward trend, the index rose 6.7 percent for the year ended in February. The price index for export air passenger fares fell 7.1 percent in February, but increased 8.8 percent over the past year. Lower fares for Asia, the Latin America-Caribbean region, and Europe all contributed to the February decline.
The price index for import air freight advanced 0.6 percent in February after edging down 0.1 percent in January. Import air freight prices increased 9.0 percent over the past 12 months. Export air freight prices ticked up 0.1 percent in February following a 3.0 percent rise the previous month. The index rose 13.0 percent for the year ended in February.
