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14-2133-SAN
November 20, 2014

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Consumer Price Index, Los Angeles area – October 2014

Area prices were down 0.1 percent over the past month, up 1.4 percent from a year ago

Prices in the Los Angeles area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), inched down 0.1 percent in October, the U.S. Bureau of Labor Statistics reported today. (See table A.) Regional Commissioner Richard J. Holden noted that the October decrease was influenced by lower prices for gasoline and apparel. (Data in this report are not seasonally adjusted. Accordingly, month-to-month changes may reflect seasonal influences.)

Over the last 12 months, the CPI-U advanced 1.4 percent. (See chart 1.) Energy prices declined 2.0 percent, largely the result of a decrease in the price of gasoline. The index for all items less food and energy rose 1.5 percent since October 2013.

 Chart 1. Over-the-yeaer percent change in CPI-U, Los Angeles, October 2011-October 2014

Food

Food prices advanced 0.3 percent for the month of October. (See table 1.) Prices for food at home advanced 0.4 percent, while prices for food away from home were unchanged for the same period.

Over the year, food prices advanced 3.0 percent. Prices for food at home rose 3.1 percent since a year ago, and prices for food away from home rose 2.8 percent.

Energy

The energy index decreased 3.4 percent over the month. The decrease was mainly due to lower prices for gasoline (-6.3 percent). Prices for electricity advanced 3.0 percent, but prices for natural gas service decreased 1.1 percent in October.

Energy prices declined 2.0 percent over the year, largely due to lower prices for gasoline (-6.1 percent). Prices paid for natural gas service jumped 10.8 percent, and prices for electricity rose 3.5 percent during the past year.

All items less food and energy

The index for all items less food and energy inched up 0.1 percent in October. Higher prices for household furnishings and operations (1.8 percent) and shelter (0.2 percent) were partially offset by lower prices for apparel (-1.3 percent) and recreation (-0.4 percent).

Over the year, the index for all items less food and energy rose 1.5 percent. Components contributing to the increase included shelter (2.5 percent) and other goods and services (2.3 percent). Partly offsetting the increases was a price decline in the household furnishings and operations index (-1.3 percent).

Table A. Los Angeles-Riverside-Orange County CPI-U monthly and annual percent changes (not seasonally adjusted)
Month 2009 2010 2011 2012 2013 2014
Monthly Annual Monthly Annual Monthly Annual Monthly Annual Monthly Annual Monthly Annual

January

0.5 -0.1 0.4 1.8 0.9 1.8 0.8 2.1 0.8 2.0 0.5 0.8

February

0.3 0.0 0.0 1.4 0.5 2.3 0.5 2.1 0.7 2.2 0.5 0.5

March

0.0 -1.0 0.4 1.9 1.1 3.0 1.0 2.0 0.1 1.3 0.6 1.0

April

0.1 -1.3 0.2 1.9 0.5 3.3 0.0 1.5 -0.4 0.9 0.0 1.4

May

0.4 -1.8 0.2 1.8 0.0 3.1 0.1 1.6 0.1 1.0 0.4 1.7

June

0.6 -2.2 -0.2 0.9 -0.4 2.9 -0.4 1.6 -0.1 1.4 0.1 1.8

July

0.0 -2.6 0.1 0.9 -0.4 2.4 -0.1 1.9 -0.1 1.3 0.1 2.0

August

0.2 -1.7 0.2 0.8 0.2 2.4 0.6 2.3 0.1 0.8 -0.1 1.8

September

0.3 -1.0 -0.1 0.4 0.5 3.1 0.4 2.2 0.2 0.6 0.0 1.7

October

0.0 -0.4 0.3 0.7 0.0 2.8 0.8 3.0 0.1 -0.1 -0.1 1.4

November

-0.4 0.9 -0.4 0.7 -0.1 3.0 -1.0 2.1 -0.5 0.4    

December

-0.3 1.8 0.3 1.3 -0.5 2.2 -0.7 1.9 0.0 1.1    

CPI-W

In October, the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) was 235.921, down 0.2 percent from September. The CPI-W increased 1.4 percent over the year.

The November 2014 Consumer Price Index for the Los Angeles-Riverside-Orange County is scheduled to be released on December 17, 2014, at 10:00 a.m. (PST).


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 Los Angeles-Riverside-Orange County, CA. metropolitan area covered in this release is comprised of Los Angeles, Orange, Riverside, San Bernardino, and Ventura Counties in the State of California.

Information in this release will be made available to sensory impaired individuals upon request. Voice phone: 202-691-5200; Federal Relay Service: 1-800-877-8339.

Table 1. Consumer Price Index for All Urban Consumers (CPI-U): Indexes and percent changes for selected periods

Los Angeles-Riverside-Orange County, CA (1982-84=100 unless otherwise noted)
Item and Group

 
Indexes
 
Percent change from-
Aug.
2014
Sep.
2014
Oct.
2014
Oct.
2013
Aug.
2014
Sep.
2014

Expenditure category

 
 

All items

243.556 243.623 243.341 1.4 -0.1 -0.1

All items (1967=100)

719.571 719.770 718.938 - - -

Food and beverages

246.073 246.471 247.050 2.8 0.4 0.2

Food

246.262 246.723 247.370 3.0 0.4 0.3

Food at home

256.413 257.152 258.233 3.1 0.7 0.4

Food away from home

229.902 230.004 230.089 2.8 0.1 0.0

Alcoholic beverages

228.998 228.601 228.320 1.1 -0.3 -0.1

Housing

261.111 261.662 262.764 2.4 0.6 0.4

Shelter

293.381 294.404 295.041 2.5 0.6 0.2

Rent of primary residence (1)

306.431 306.995 308.258 2.9 0.6 0.4

Owners' equiv. rent of residences (1) (2)

305.754 306.389 307.264 2.5 0.5 0.3

Owners' equiv. rent of primary residence (1) (2)

305.757 306.388 307.260 2.5 0.5 0.3

Fuels and utilities

301.695 302.470 304.815 5.2 1.0 0.8

Household energy

271.463 272.266 277.081 5.4 2.1 1.8

Energy services (1)

270.059 270.797 275.668 5.4 2.1 1.8

Electricity (1)

303.839 305.582 314.871 3.5 3.6 3.0

Utility (piped) gas service (1)

234.814 233.799 231.113 10.8 -1.6 -1.1

Household furnishings and operations

116.493 115.350 117.421 -1.3 0.8 1.8

Apparel

115.164 116.373 114.802 0.6 -0.3 -1.3

Transportation

210.909 208.643 205.057 -1.9 -2.8 -1.7

Private transportation

206.186 203.411 199.106 -1.9 -3.4 -2.1

Motor fuel

300.708 291.985 273.641 -6.0 -9.0 -6.3

Gasoline (all types)

294.172 285.611 267.645 -6.1 -9.0 -6.3

Gasoline, unleaded regular (3)

295.870 287.152 268.856 -6.1 -9.1 -6.4

Gasoline, unleaded midgrade (3) (4)

278.796 270.754 254.537 -5.3 -8.7 -6.0

Gasoline, unleaded premium (3)

276.223 268.646 252.391 -6.0 -8.6 -6.1

Medical care

416.627 417.119 415.879 0.6 -0.2 -0.3

Recreation (5)

104.389 105.393 104.948 1.2 0.5 -0.4

Education and communication (5)

145.913 145.524 145.833 0.7 -0.1 0.2

Other goods and services

381.447 381.001 379.760 2.3 -0.4 -0.3
 

Commodity and service group

 
 

All items

243.556 243.623 243.341 1.4 -0.1 -0.1

Commodities

181.307 180.500 179.051 -0.2 -1.2 -0.8

Commodities less food & beverages

146.000 144.711 142.457 -2.3 -2.4 -1.6

Nondurables less food & beverages

194.308 192.781 187.823 -2.4 -3.3 -2.6

Durables

98.942 97.891 98.197 -2.0 -0.8 0.3

Services

298.069 298.993 299.864 2.4 0.6 0.3
 

Special aggregate indexes

 
 

All items less medical care

235.781 235.833 235.586 1.5 -0.1 -0.1

All items less shelter

221.841 221.494 220.815 0.8 -0.5 -0.3

Commodities less food

149.846 148.575 146.365 -2.2 -2.3 -1.5

Nondurables

221.937 221.300 218.894 0.3 -1.4 -1.1

Nondurables less food

198.489 197.019 192.310 -2.1 -3.1 -2.4

Services less rent of shelter (2)

313.351 314.160 315.395 2.2 0.7 0.4

Services less medical care services

287.415 288.377 289.266 2.4 0.6 0.3

Energy

290.758 285.637 276.063 -2.0 -5.1 -3.4

All items less energy

242.010 242.454 242.845 1.7 0.3 0.2

All items less food and energy

241.574 242.016 242.360 1.5 0.3 0.1

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.
 

- Data not available
NOTE: Index applies to a month as a whole, not to any specific date.
 

 

Last Modified Date: Thursday, November 20, 2014