In July, falling prices for metals and the strength of the Canadian dollar drove the prices of manufactured products down for a third consecutive month, while a jump in crude oil prices pushed raw materials prices upward.   ; From June to July, prices charged by manufacturers, as measured by the Industrial Product Price Index (IPPI), fell  ; 0.7% following two consecutive monthly declines. The drop in prices essentially reflects lower prices for primary metal products, motor vehicles and other transportation equipment, as well as chemical products. However, higher prices for petroleum and coal products, and lumber and other wood products tempered the decline in the IPPI.   ; On a 12-month basis, the IPPI edged down  ; 0.3%, its first decrease after  ; 22  ; consecutive advances. The most significant declines were in motor vehicles and other transportation equipment, and petroleum and coal products. The downward movement was slowed by a rise in prices for chemical products, fruit, vegetables and feed products, and tobacco and tobacco products, among others.
The Raw Materials Price Index (RMPI) rose  ; 3.9% from June to July, led almost exclusively by a jump in the prices of mineral fuels. The largest price decreases were in animals and animal products, non-ferrous metals and wood.   ; Compared with July  ; 2006, raw materials cost plants  ; 3.5% more, a lower year-over-year rate of increase than the  ; 4.9% recorded in June. The rise in the index was mainly due to prices for non-ferrous metals, while it was slowed by prices for mineral fuels.
In July, the IPPI was  ; 115.6  ; (1997=100), down from June's revised level of  ; 116.4. The RMPI was  ; 181.4  ; (1997=100), up from June's revised level of  ; 174.6.
IPPI: Primary metal products lead decline in industrial prices Month over month, manufacturers' prices were pulled downward mainly by falling prices for primary metal products and, to a lesser extent, for motor vehicles and other transportation equipment, and chemical products. However, the decline in the overall index was slowed by higher prices for petroleum and coal products, and lumber and other wood products.
Prices for primary metal products dropped  ; 3.9% in July after two consecutive monthly decreases. The index has fallen  ; 10.9% since reaching a record high in April. Nickel products plummeted  ; 21.0% in July, following a similar decline in June (-22.2%). Nickel prices are returning to more realistic levels as a result of high inventories and production cuts in the steel industry.   ; Other decreases in metal prices had less effect on the movement of the primary metal products index, in particular, aluminum products (-1.9%) and iron and steel products (-0.9%). The price reductions for those metals reflect the slowdown of economic activity in the United States and high levels of inventories. The decline in the primary metals index was partly offset by a  ; 2.5% increase in the prices of copper and copper alloys, due to lower production in Africa and Latin America and low inventories.
Prices for motor vehicles fell  ; 0.8%, their sixth consecutive month-over-month decline. Prices for motor vehicles are still affected by the rise in the Canadian dollar's value against the US currency.
Prices for chemical products were down  ; 1.6%, following a  ; 0.1% dip in June. They were led by declines in prices for ammonia and urea-based fertilizer, both of which fell  ; 18.3%. These two products were affected by weaker demand.
The IPPI's decline was moderated by petroleum and coal products, which advanced  ; 0.8% after a  ; 2.6% drop in June. If the prices for petroleum and coal products had been excluded, the IPPI