Prices in the Honolulu Area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), increased 1.8 percent in the second half of 2015, the U.S. Bureau of Labor Statistics reported today. (See table A.) Regional Commissioner Richard J. Holden noted that this latest six-month increase was influenced by higher prices for shelter and medical care. (Data in this report are not seasonally adjusted. Accordingly, six-month-to-six-month changes may reflect seasonal influences.)

Over the last 12 months, the CPI-U rose 1.3 percent. (See chart 1 and table A.)Energy prices fell 26.1 percent, largely the result of a decrease in the price of gasoline. The index for all items less food and energy increased 3.2 percent over the year. (See table 1.)

 

Food

Food prices increased 2.7 percent in the second half of 2015. (See table 1.) Prices for food away from home increased 3.2 percent and prices for food at home rose 2.2 percent for the same period.

Over the year, food prices rose 4.6 percent. Prices for food away from home rose 6.6 percent, and prices for food at home rose 2.3 percent since a year ago.

Energy

The energy index decreased 6.7 percent since the first half of 2015. The decrease was mainly due to lower prices for gasoline (-8.6 percent). Prices for electricity declined 4.8 percent, and prices for natural gas service decreased 0.5 percent in for the same period.

Energy prices fell 26.1 percent over the year, largely due to lower prices for gasoline (-29.7 percent). Prices paid for electricity fell 22.1 percent, and prices for natural gas service fell 18.3 percent during the past year.

All items less food and energy

The index for all items less food and energy advanced 2.2 percent in the latest six-month period. Higher prices for medical care (7.7 percent) and recreation (2.4 percent) were partially offset by lower prices for apparel (-1.9 percent).

Over the year, the index for all items less food and energy increased 3.2 percent. Components contributing to the increase included medical care (10.6 percent), other goods and services (3.8 percent), and shelter (3.0 percent). Partly offsetting the increases was a price decline in apparel (-2.0 percent).

Table A. Honolulu CPI-U semi-annual and annual percent changes (not seasonally adjusted)

Month	2010		2011		2012		2013		2014		2015
	Semi-annual	Annual	Semi-annual	Annual	Semi-annual	Annual	Semi-annual	Annual	Semi-annual	Annual	Semi-annual	Annual
First Half	0.8	2.5	2.5	3.5	1.3	2.8	1.2	1.8	0.5	1.1	-0.5	0.7
Second Half	0.9	1.7	1.4	4.0	0.7	2.0	0.6	1.7	1.3	1.8	1.8	1.3

The First Half of 2016 Consumer Price Index for the Honolulu is scheduled to be released on July 15, 2016.

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 6,000 housing units and approximately 24,000 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/cpi/.

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 Honolulu metropolitan area covered in this release consists of Oahu County in the State of Hawaii.

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 for semiannual averages and percent changes for selected periods

Honolulu, HI (1982-84=100 unless otherwise noted)

Item and Group	Semiannual average indexes			Percent change to 2nd half 2015 from-
	2nd half 2014	1st half 2015	2nd half 2015	2nd half 2014	1st half 2015
Expenditure category
All items	259.190	257.848	262.482	1.3	1.8
All items (1967=100)	713.543	709.848	722.606	-	-
Food and beverages	259.151	263.610	270.472	4.4	2.6
Food	259.386	264.047	271.238	4.6	2.7
Food at home	263.728	264.135	269.886	2.3	2.2
Food away from home	250.660	258.797	267.147	6.6	3.2
Alcoholic beverages	253.272	254.712	256.632	1.3	0.8
Housing	275.343	274.380	277.714	0.9	1.2
Shelter	292.046	295.504	300.930	3.0	1.8
Rent of primary residence	290.631	293.792	297.479	2.4	1.3
Owners' equiv. rent of residences (1)	301.175	305.094	311.160	3.3	2.0
Owners' equiv. rent of primary residence (1)	301.175	305.094	311.160	3.3	2.0
Fuels and utilities	378.605	334.075	324.495	-14.3	-2.9
Household energy	333.793	273.872	261.209	-21.7	-4.6
Energy services	328.983	269.057	256.515	-22.0	-4.7
Electricity	326.096	266.665	253.870	-22.1	-4.8
Utility (piped) gas service	326.205	267.712	266.469	-18.3	-0.5
Household furnishings and operations	151.312	149.378	148.742	-1.7	-0.4
Apparel	110.021	109.941	107.845	-2.0	-1.9
Transportation	235.132	217.288	216.223	-8.0	-0.5
Private transportation	235.748	215.372	209.809	-11.0	-2.6
Motor fuel	310.944	239.388	218.887	-29.6	-8.6
Gasoline (all types)	319.624	245.627	224.543	-29.7	-8.6
Gasoline, unleaded regular (2)	338.353	258.769	235.751	-30.3	-8.9
Gasoline, unleaded midgrade (2) (3)	253.927	198.119	181.706	-28.4	-8.3
Gasoline, unleaded premium (2)	281.799	218.577	201.210	-28.6	-7.9
Medical care	355.393	364.754	392.998	10.6	7.7
Recreation (4)	119.860	120.419	123.261	2.8	2.4
Education and communication (4)	144.995	146.406	149.332	3.0	2.0
Other goods and services	465.906	473.733	483.535	3.8	2.1
Commodity and service group
All Items	259.190	257.848	262.482	1.3	1.8
Commodities	201.900	197.662	197.922	-2.0	0.1
Commodities less food & beverages	165.302	156.607	153.371	-7.2	-2.1
Nondurables less food & beverages	209.306	192.522	187.258	-10.5	-2.7
Durables	116.938	116.900	115.842	-0.9	-0.9
Services	309.416	310.299	318.437	2.9	2.6
Special aggregate indexes
All items less medical care	254.122	252.166	255.456	0.5	1.3
All items less shelter	245.532	241.690	245.976	0.2	1.8
Commodities less food	168.744	160.348	157.267	-6.8	-1.9
Nondurables	235.752	229.670	230.541	-2.2	0.4
Nondurables less food	212.030	196.349	191.521	-9.7	-2.5
Services less rent of shelter (1)	332.392	329.223	341.162	2.6	3.6
Services less medical care services	304.281	304.147	309.935	1.9	1.9
Energy	320.356	253.948	236.872	-26.1	-6.7
All items less energy	256.956	259.668	265.692	3.4	2.3
All items less food and energy	257.958	260.332	266.178	3.2	2.2
Footnotes (1) Index is on a December 1982=100 base. (2) Special index based on a substantially smaller sample. (3) Indexes on a December 1993=100 base. (4) Indexes on a December 1997=100 base.
- Data not available.