August import prices post biggest drop in 7 months

Washington

US import prices in August recorded their biggest drop in seven months as the cost of petroleum and a range of goods fell, indicating that a strong dollar and soft global demand continued to put downward pressure on imported inflation.

The Labor Department said on Thursday import prices fell 1.8 per cent last month, the largest decline since January, after an unrevised 0.9 per cent drop in July. Import prices have now declined in 12 of the last 14 months.