With survey after survey warning of stagflationary impulses – stagnant growth and higher input prices – today’s US import prices will do nothing to assuage those fears as the year-over-year rise of 1.8% is the hottest since March 2012.
This confirmed the end of the 27 month deflationary cycle.
The main drive of the jump is the rise in energy costs as ex-fuel, input prices declined 0.1% YoY.
This is the 25th month in a row of ex-fuel import price declines.
via http://ift.tt/2igvdB4 Tyler Durden