Japan Inflation Stays Below BOJ Target Despite Rate Hike and Rising Energy Cost Risks 
German Industry Employment Falls to Lowest Level in a Decade 
Asian Stocks Rally as Japan and South Korea Reach Record Highs on US-Iran Peace Deal 
BOJ Signals More Rate Hikes as Inflation Risks Rise Amid Energy Price Pressures 
Fed Chair Kevin Warsh Signals Policy Overhaul as Hawkish Rate Outlook Rattles Markets 
Asian Stocks Advance as Nikkei Nears Record High Ahead of Fed Decision 
Canada, British Columbia Launch $5 Billion Infrastructure Partnership to Boost Housing, Transit, and Healthcare 
Yen Near 40-Year Lows Despite BOJ Rate Hike, Markets Brace for Possible Intervention 
Asian Currencies Steady as Dollar Holds Firm Ahead of Fed Decision and US-Iran Deal Details 
Gold Prices Rebound on U.S.-Iran Peace Deal Optimism Despite Fed Rate Hike Signals 
Italy’s Economy Outpaces Eurozone Peers as Investment Spending Fuels Growth 
US Stock Futures Jump on Reports of Preliminary US-Iran Peace Deal Despite Fed’s Hawkish Outlook 
Trump and Iran Sign Framework Peace Deal in France Amid Ongoing Middle East Tensions 
US Stock Futures Slip After Wall Street Rally Fueled by US-Iran Deal and Chipmaker Surge 
German Auto Suppliers Turn Bearish as Investment and Jobs Shift Overseas 
Dollar Hits One-Month High as Hawkish Fed Outlook Boosts Greenback 
Asian Stocks Surge as Oil Prices Fall and Strong US Dollar Weighs on Markets 
United States import prices rose for the second straight month since mid-2015, albeit below expectations, on accelerating petroleum products cost. This is indeed an indication that inflation is likely to strengthen in the coming months.
Import prices increased 0.3 pct last month after an upwardly revised 0.3 percent gain in March. The rise last month was due to a pick-up in oil prices amid a depreciating dollar. Besides, rise in non-fuel imports by 0.1 pct in April with firm gains in food, beverages and industrial supplies also contributed to the rise in import prices, the US Labor Department report showed.
Further, monthly import prices gains from Canada, Mexico and the European Union was led by higher fuel and metal prices. However, prices of imports from China slipped 0.1 pct in the previous month. A Reuters poll of economists forecasted that import prices would rise 0.5 pct in April after March's previously reported 0.2 pct advance.
Prices of imported goods deteriorated 5.7 pct in the 12 months ending Apr, 2016, reflecting the greenback’s sharp rally and the plunge in oil prices between June 2014 and December 2015. However, the disinflationary impacts of a strong dollar, which helped hold inflation below the 2 pct target of the Federal Reserve, have started to fade away.
In addition, imported petroleum prices rose 4.1 pct last month after rising 9.6 pct in March. Import prices excluding petroleum edged 0.1 pct higher, the first increase since March 2014. Imported food prices surged 1.3 pct last month, also the largest gain since March 2014. Prices for imported industrial supplies and materials excluding petroleum increased 0.4 percent.
However, prices of imported capital goods slipped 0.1 pct, while the cost of imported automobiles edged up 0.1 pct. Prices for imported consumer goods excluding auto slipped 0.3 percent.
"Looking ahead, we expect import price inflation to climb higher in the coming months on anticipation of further oil price stabilization and more gradual appreciation of the greenback," Wells Fargo Securities said in a research note.
