US import prices fall as petroleum, food costs decline

U.S. import prices fell during the month of August for petroleum and food products. This means that inflation could stay subdued for awhile. The Department of Labor said that import prices have dropped 0.5% in the last month. The prices of imports have dropped by 2% in the last 12 months. Inflation is likely to remain moderate even though the has been an increase in consumer prices. This could allow the federal reserve to cut interest rates to limit the damage of U.S.-China trade tensions. The Fed cut rates for the first time since July. Excluding food and petroleum import prices were unchanged from the previous month.