Mike "Mish" Shedlock is a registered investment advisor representative for SitkaPacific Capital Management. He operates the blog MISH'S Global Economic Trend Analysis and believes in the Austrian School of economics.
Another decline in import and export prices will likely have the Fed pulling its hair out. A pair of charts will explain why.
West Texas Intermediate Crude Price
Crude is in a bear market, down about 22% since the December high. Price is lower in four consecutive months and five out of the last six.
On June 15, I reported Import Prices Dip, Export Prices Plunge.
Let’s explore the import/export price relationship to crude.
Import and Export Price Indexes vs. Crude
Don’t be confused by the Fred titles that say “all commodities”.
The BLS says Import/Export Price Indexes contain “data on changes in the prices of nonmilitary goods and services traded between the U.S. and the rest of the world.”
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Mike “Mish” Shedlock