Import prices increased 0.4% month-over-month in July and export prices rose 0.7%. Nonfuel import prices were flat and export prices, excluding agricultural products, jumped 0.6%. These monthly gains notwithstanding, import and export prices were still down 4.4% and 7.9%, respectively, on a year-over-year basis.
Treasuries have seen some volatile action in response to the data.
The 10-yr note yield, at 4.24% just before the release, jumped to 4.27% in the immediate aftermath before pulling back to 4.19%.
The 2-yr note yield, at 4.97% just before the data, jumped to 5.02% before pulling back to 4.93%.