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January 16, 2015

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Consumer Price Index, New York-Northern New Jersey – December 2014

Area prices down 0.5 percent over the month and up 0.3 percent over the year

Prices in the New York-Northern New Jersey-Long Island area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), decreased 0.5 percent in December after declines of 0.4 percent in November and 0.2 percent in October, the U.S. Bureau of Labor Statistics reported today. Chief Regional Economist Martin Kohli attributed the December decrease to falling energy prices. (Data in this report are not seasonally adjusted. Accordingly, month-to-month changes may reflect the impact of seasonal influences.)

Over the year, the CPI-U increased 0.3 percent. (See chart 1 and table A.) The 12-month percent change in December was the smallest rate of increase since October 2009. The all items less food and energy index rose 1.1 percent. (See table 1.)

 Chart 1. Over-the-year percent chabge in CPI-U, New York-Northern New Jersey-Long Island, December 2011-December 2014

 

Food

After no change in October and November, the food index rose 0.5 percent in December, due to higher prices for food at home. Groceries jumped 0.8 percent, with eggs, tomatoes, and sugar and sweeteners among the items with price increases. In contrast, prices for food away from home were unchanged.

For the year ending in December, the food index advanced 3.5 percent, reflecting increases of 3.7 percent for at-home food and 3.2 percent for away-from-home food.

Energy

The energy index fell 4.3 percent, marking the sixth consecutive one-month decline. The last time the index was down for six successive months was for the period ending in January 2009. Gasoline prices dropped 8.5 percent in December, the largest decline recorded in six years. Prices for household energy also decreased, with price reductions for electricity (-2.0 percent) and for fuel oil outweighing a 5.5-percent jump in natural gas charges.

From December 2013 to December 2014, the energy index dropped 12.9 percent, the largest 12-month decline since September 2009. Prices for gasoline fell 21.1 percent, and prices for household energy were down 5.8 percent, with declines in natural gas (-9.1 percent) and in electricity (-1.3 percent).

All items less food and energy

The index for all items less food and energy decreased 0.3 percent, after edging down 0.2 percent in November. Not uncommon for this time of year, apparel prices declined, falling 4.9 percent. Lower prices were also reported for household furnishings and operations (-0.6 percent) and for used cars and trucks. In contrast, prices for recreation, education and communication, and other goods and services were unchanged. Shelter prices inched up 0.1 percent, as did residential and owners’ equivalent rent. Medical care prices, on the other hand, advanced 0.5 percent.

Over the year, the index for all items less food and energy increased 1.1 percent, due primarily to higher prices for shelter (2.1 percent). Within shelter, residential rent rose 2.9 percent. Medical care prices increased 3.6 percent. These increases were tempered by declines in a number of items, including apparel (-1.2 percent) and household furnishings and operations (-2.6 percent).

Table A. New York-Northern New Jersey-Long Island CPI-U 1-month and 12-month percent changes (not seasonally adjusted)
Month 2009 2010 2011 2012 2013 2014
1-month 12-month 1-month 12-month 1-month 12-month 1-month 12-month 1-month 12-month 1-month 12-month

January

0.2 1.5 0.2 2.4 0.3 1.5 0.4 2.8 0.5 2.2 0.9 1.9

February

0.5 1.6 0.0 1.8 0.5 2.1 0.4 2.6 0.6 2.4 -0.2 1.1

March

0.2 0.8 0.5 2.1 0.7 2.3 0.6 2.6 0.1 1.9 0.4 1.3

April

0.2 0.8 0.2 2.1 0.4 2.5 0.2 2.4 -0.2 1.4 0.0 1.6

May

0.2 -0.1 0.2 2.2 0.6 2.9 0.1 1.8 0.1 1.4 0.5 1.9

June

0.5 -0.6 -0.1 1.5 0.2 3.2 -0.1 1.6 0.3 1.8 0.0 1.7

July

0.2 -1.1 0.1 1.5 0.3 3.3 -0.2 1.1 0.2 2.1 0.1 1.6

August

0.3 -0.9 0.2 1.4 0.4 3.5 0.6 1.4 0.1 1.7 -0.2 1.3

September

0.1 -0.6 0.0 1.2 0.2 3.8 0.4 1.6 0.3 1.6 0.0 1.0

October

-0.1 0.0 0.2 1.5 -0.2 3.3 -0.1 1.7 -0.6 1.1 -0.2 1.3

November

0.2 1.8 0.0 1.3 -0.3 3.0 0.0 2.0 0.1 1.2 -0.4 0.8

December

-0.1 2.3 0.0 1.4 -0.4 2.7 -0.3 2.1 0.0 1.5 -0.5 0.3

CPI-W

In December, the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) was 253.224, down 0.6 percent over the month. The CPI-W increased 0.1 percent over the year.

The January 2015 Consumer Price Index for New York-Northern New Jersey-Long Island is scheduled to be released Thursday, February 26, 2015, at 8:30 a.m. (ET).


Technical Note

The Consumer Price Index (CPI) is a measure of the average change in prices over time in a fixed market basket of goods and services. The Bureau of Labor Statistics publishes CPIs for two population groups: (1) a CPI for All Urban Consumers (CPI-U) which covers approximately 89 percent of the total population and (2) a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers 28 percent of the total population. The CPI-U includes, in addition to wage earners and clerical workers, groups such as professional, managerial, and technical workers, the self-employed, short-term workers, the unemployed, and retirees and others not in the labor force.

The CPI is based on prices of food, clothing, shelter, and fuels, transportation fares, charges for doctors' and dentists' services, drugs, and the other goods and services that people buy for day-to-day living. Each month, prices are collected in 87 urban areas across the country from about 4,000 housing units and approximately 26,000 retail establishments—department stores, supermarkets, hospitals, filling stations, and other types of stores and service establishments. All taxes directly associated with the purchase and use of items are included in the index.

The index measures price changes from a designated reference date (1982-84) that equals 100.0. An increase of 16.5 percent, for example, is shown as 116.5. This change can also be expressed in dollars as follows: the price of a base period "market basket" of goods and services in the CPI has risen from $10 in 1982-84 to $11.65. For further details see the CPI home page on the Internet at www.bls.gov/cpi and the BLS Handbook of Methods, Chapter 17, The Consumer Price Index, available on the Internet at www.bls.gov/opub/hom/homch17_a.htm.

In calculating the index, price changes for the various items in each location are averaged together with weights that represent their importance in the spending of the appropriate population group. Local data are then combined to obtain a U.S. city average. Because the sample size of a local area is smaller, the local area index is subject to substantially more sampling and other measurement error than the national index. In addition, local indexes are not adjusted for seasonal influences. As a result, local area indexes show greater volatility than the national index, although their long-term trends are quite similar. NOTE: Area indexes do not measure differences in the level of prices between cities; they only measure the average change in prices for each area since the base period.

The New York-Northern New Jersey-Long Island, N.Y.-N.J.-Conn.-Pa. consolidated area covered in this release is comprised of Bronx, Dutchess, Kings, Nassau, New York, Orange, Putnam, Queens, Richmond, Rockland, Suffolk, and Westchester Counties in New York State; Bergen, Essex, Hudson, Hunterdon, Mercer, Middlesex, Monmouth, Morris, Ocean, Passaic, Somerset, Sussex, Union, and Warren Counties in New Jersey; Fairfield County and parts of Litchfield, Middlesex, and New Haven Counties in Connecticut; and Pike County in Pennsylvania.

Information in this release will be made available to sensory impaired individuals upon request. Voice phone: 202-691-5200; Federal Relay Service: 800-877-8339.

Table 1. Consumer Price Index for All Urban Consumers (CPI-U): Indexes and percent changes for selected periods, New York-Northern N.J.-Long Island, NY-NJ-CT-PA (1982-84=100 unless otherwise noted)(not seasonally adjusted)
Item and Group Indexes Percent change from-
Oct.
2014
Nov.
2014
Dec.
2014
Dec.
2013
Oct.
2014
Nov.
2014
 

Expenditure category

 
 

All items

260.500 259.382 258.080 0.3 -0.9 -0.5

All items (1967=100)

753.070 749.838 746.075      
 

Food and beverages

253.453 253.418 254.535 3.3 0.4 0.4

Food

253.487 253.417 254.599 3.5 0.4 0.5

Food at home

252.442 252.159 254.284 3.7 0.7 0.8

Food away from home

261.635 261.856 261.767 3.2 0.1 0.0

Alcoholic beverages

248.525 249.033 249.137 0.3 0.2 0.0
 

Housing

276.521 275.897 275.669 1.0 -0.3 -0.1

Shelter

343.159 343.026 343.223 2.1 0.0 0.1

Rent of primary residence (1)

351.398 352.808 353.288 2.9 0.5 0.1

Owners' equivalent rent of residences (1) (2)

349.041 350.049 350.289 1.8 0.4 0.1

Owners' equivalent rent of primary residence (1) (2)

348.765 349.743 349.995 1.7 0.4 0.1

Fuels and utilities

193.417 191.727 190.016 -4.7 -1.8 -0.9

Household energy

187.571 185.559 183.641 -5.8 -2.1 -1.0

Energy services (1)

173.031 171.794 171.750 -3.5 -0.7 0.0

Electricity (1)

184.266 187.631 183.943 -1.3 -0.2 -2.0

Utility (piped) gas service (1)

145.184 134.524 141.971 -9.1 -2.2 5.5

Household furnishings and operations

117.424 115.623 114.892 -2.6 -2.2 -0.6
 

Apparel

130.467 126.286 120.119 -1.2 -7.9 -4.9
 

Transportation

226.369 222.948 216.635 -5.9 -4.3 -2.8

Private transportation

213.336 208.740 204.095 -6.0 -4.3 -2.2

Motor fuel

258.223 239.271 218.993 -21.1 -15.2 -8.5

Gasoline (all types)

257.047 238.151 217.925 -21.1 -15.2 -8.5

Gasoline, unleaded regular (3)

257.108 237.446 216.742 -22.1 -15.7 -8.7

Gasoline, unleaded midgrade (3) (4)

264.991 249.065 229.577 -17.7 -13.4 -7.8

Gasoline, unleaded premium (3)

261.677 246.439 228.559 -16.9 -12.7 -7.3
 

Medical care

438.668 440.672 442.695 3.6 0.9 0.5
 

Recreation (5)

118.510 118.503 118.468 -0.3 0.0 0.0
 

Education and communication (5)

140.861 140.752 140.791 0.0 0.0 0.0
 

Other goods and services

400.706 398.221 398.052 0.6 -0.7 0.0
 

Commodity and service group

 
 

All items

260.500 259.382 258.080 0.3 -0.9 -0.5

Commodities

193.919 191.224 188.449 -1.9 -2.8 -1.5

Commodities less food and beverages

155.578 151.738 147.231 -5.8 -5.4 -3.0

Nondurables less food and beverages

199.053 192.413 184.530 -7.5 -7.3 -4.1

Durables

100.477 99.800 99.096 -2.4 -1.4 -0.7

Services

317.547 317.657 317.498 1.4 0.0 -0.1
 

Special aggregate indexes

 
 

All items less medical care

252.688 251.455 250.030 0.1 -1.1 -0.6

All items less shelter

228.131 226.583 224.630 -0.8 -1.5 -0.9

Commodities less food

159.356 155.616 151.212 -5.5 -5.1 -2.8

Nondurables

228.415 224.875 221.233 -1.8 -3.1 -1.6

Nondurables less food

202.357 196.078 188.599 -6.9 -6.8 -3.8

Services less rent of shelter (2)

300.400 300.801 300.214 0.4 -0.1 -0.2

Services less medical care services

307.867 307.885 307.607 1.2 -0.1 -0.1

Energy

217.168 208.657 199.698 -12.9 -8.0 -4.3

All items less energy

266.548 266.127 265.547 1.4 -0.4 -0.2

All items less food and energy

270.634 270.148 269.246 1.1 -0.5 -0.3

Footnotes
(1) This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator.
(2) Index is on a December 1982=100 base.
(3) Special index based on a substantially smaller sample.
(4) Indexes on a December 1993=100 base.
(5) Indexes on a December 1997=100 base.
 

Note: Index applies to a month as a whole, not to any specific date.
The New York-Northern New Jersey-Long Island, NY-NJ-CT-PA consolidated area comprises the five boroughs of New York City, Nassau, Suffolk, Westchester, Rockland, Putnam, Dutchess, and Orange Counties in New York State; Bergen, Essex, Hudson, Hunterdon, Mercer, Monmouth, Middlesex, Morris, Ocean, Passaic, Somerset, Sussex, Union, and Warren Counties in New Jersey; Fairfield County and parts of Litchfield, New Haven, and Middlesex Counties in Connecticut; and Pike County in Pennsylvania.
 

 

Last Modified Date: Friday, January 16, 2015