The Wall Street Journal-20080216-Economic Snapshot- Prices of Imported Goods Rose 1-7- in January

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Economic Snapshot: Prices of Imported Goods Rose 1.7% in January

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Prices of imported goods jumped last month, keeping inflation as a top worry even as U.S. economic growth slows.

The Labor Department reported that import prices rose 1.7% in January from the previous month after a 0.2% gain in December. Prices were up 13.7% from January 2007, the largest yearly increase on record, as petroleum prices soared 66.9% during that time.

Amid rising food and energy costs, the preliminary February survey of consumer sentiment produced by Reuters/University of Michigan sank to a 16-year low of 69.6 in February from 78.4 in January. Dismal consumer attitudes may damp consumer spending.

The Federal Reserve also reported that production at factories, utilities and mines rose by 0.1% in January from December. Output at utilities rose during the month, while mining output fell. Manufacturing output was flat as U.S. demand for goods continues to soften.