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16-1239-SAN
Thursday, June 16, 2016

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Consumer Price Index, Los Angeles area — May 2016

Area prices were up 0.5 percent over the past month, up 1.5 percent from a year ago

Prices in the Los Angeles area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), advanced 0.5 percent in May, the U.S. Bureau of Labor Statistics reported today. (See table A.) Assistant Commissioner for Regional Operations Richard Holden noted that the May increase was influenced by higher prices for medical care and shelter. (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 1.5 percent.  (See chart 1 and table A.) Energy prices fell 18.4 percent, largely the result of a decrease in the price of gasoline. The index for all items less food and energy advanced 3.5 percent over the year. (See table 1.)

Food

Food prices declined 0.5 percent for the month of May. (See table 1.) Prices for food at home decreased 1.1 percent, but prices for food away from home moved up 0.2 percent for the same period.

Over the year, food prices rose 1.3 percent. Prices for food away from home advanced 3.8 percent since a year ago, but prices for food at home decreased 0.6 percent.

Energy

The energy index advanced 1.1 percent over the month. The increase was mainly due to higher prices for natural gas service (11.9 percent). Prices for gasoline edged up 0.1 percent, while prices for electricity were unchanged for the same period.

Energy prices fell 18.4 percent over the year, largely due to lower prices for gasoline (-27.5 percent). Prices paid for electricity decreased 2.7 percent, but prices for natural gas service increased 2.0 percent during the past year.

All items less food and energy

The index for all items less food and energy increased 0.7 percent in May. Higher prices for medical care (3.1 percent) and shelter (0.5 percent) were partially offset by lower prices for apparel (-0.3 percent) and education and communication (-0.3 percent).

Over the year, the index for all items less food and energy advanced 3.5 percent. Components contributing to the increase included medical care (9.8 percent) and shelter (4.3 percent). Partly offsetting the increases was a price decline in education and communication (-0.5 percent).

Table A. Los Angeles-Riverside-Orange County CPI-U monthly and annual percent changes (not seasonally adjusted)
Month 2011 2012 2013 2014 2015 2016
Monthly Annual Monthly Annual Monthly Annual Monthly Annual Monthly Annual Monthly Annual

January

0.9 1.8 0.8 2.1 0.8 2.0 0.5 0.8 -0.3 -0.1 0.7 3.1

February

0.5 2.3 0.5 2.1 0.7 2.2 0.5 0.5 0.7 0.1 0.0 2.4

March

1.1 3.0 1.0 2.0 0.1 1.3 0.6 1.0 1.0 0.5 0.3 1.7

April

0.5 3.3 0.0 1.5 -0.4 0.9 0.0 1.4 -0.1 0.5 0.2 2.0

May

0.0 3.1 0.1 1.6 0.1 1.0 0.4 1.7 1.0 1.1 0.5 1.5

June

-0.4 2.9 -0.4 1.6 -0.1 1.4 0.1 1.8 -0.3 0.8    

July

-0.4 2.4 -0.1 1.9 -0.1 1.3 0.1 2.0 0.7 1.4    

August

0.2 2.4 0.6 2.3 0.1 0.8 -0.1 1.8 -0.3 1.1    

September

0.5 3.1 0.4 2.2 0.2 0.6 0.0 1.7 -0.4 0.7    

October

0.0 2.8 0.8 3.0 0.1 -0.1 -0.1 1.4 0.2 1.0    

November

-0.1 3.0 -1.0 2.1 -0.5 0.4 -0.7 1.3 0.0 1.6    

December

-0.5 2.2 -0.7 1.9 0.0 1.1 -0.5 0.7 -0.1 2.0    

The June 2016 Consumer Price Index for the Los Angeles-Riverside-Orange County 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/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: (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-
Mar.
2016
Apr.
2016
May
2016
May
2015
Mar.
2016
Apr.
2016

Expenditure category

 
 

All items

247.873 248.368 249.671 1.5 0.7 0.5

All items (1967=100)

732.326 733.789 737.638 - - -

Food and beverages

251.983 251.897 250.510 1.2 -0.6 -0.6

Food

252.276 251.963 250.598 1.3 -0.7 -0.5

Food at home

257.293 256.657 253.763 -0.6 -1.4 -1.1

Food away from home

242.309 242.399 242.937 3.8 0.3 0.2

Alcoholic beverages

232.810 235.990 234.374 0.7 0.7 -0.7

Housing

274.461 274.434 276.055 3.6 0.6 0.6

Shelter

312.834 312.811 314.443 4.3 0.5 0.5

Rent of primary residence (1)

327.213 327.656 328.735 4.5 0.5 0.3

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

324.010 324.669 326.200 4.2 0.7 0.5

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

323.991 324.650 326.181 4.2 0.7 0.5

Fuels and utilities

294.079 295.939 300.793 0.7 2.3 1.6

Household energy

256.816 255.231 261.547 -1.9 1.8 2.5

Energy services (1)

255.612 253.993 260.877 -1.7 2.1 2.7

Electricity (1)

300.681 298.355 298.389 -2.7 -0.8 0.0

Utility (piped) gas service (1)

196.839 196.540 219.975 2.0 11.8 11.9

Household furnishings and operations

116.467 115.712 115.949 0.6 -0.4 0.2

Apparel

115.327 113.514 113.211 2.5 -1.8 -0.3

Transportation

190.285 193.329 195.090 -8.6 2.5 0.9

Private transportation

185.199 187.864 188.844 -8.8 2.0 0.5

Motor fuel

208.369 217.508 217.766 -27.5 4.5 0.1

Gasoline (all types)

204.098 213.056 213.204 -27.5 4.5 0.1

Gasoline, unleaded regular (3)

204.218 213.367 213.511 -27.8 4.6 0.1

Gasoline, unleaded midgrade (3) (4)

195.380 203.592 204.417 -26.3 4.6 0.4

Gasoline, unleaded premium (3)

196.381 204.154 204.179 -26.1 4.0 0.0

Medical care

449.147 448.437 462.437 9.8 3.0 3.1

Recreation (5)

106.944 107.340 107.517 4.1 0.5 0.2

Education and communication (5)

145.086 145.919 145.504 -0.5 0.3 -0.3

Other goods and services

389.418 389.765 391.155 2.7 0.4 0.4
 

Commodity and service group

 
 

All items

247.873 248.368 249.671 1.5 0.7 0.5

Commodities

174.717 175.171 174.696 -3.3 0.0 -0.3

Commodities less food & beverages

134.345 134.996 134.916 -6.7 0.4 -0.1

Nondurables less food & beverages

173.393 174.794 175.031 -9.0 0.9 0.1

Durables

96.090 96.000 95.607 -2.4 -0.5 -0.4

Services

312.952 313.483 316.380 4.2 1.1 0.9
 

Special aggregate indexes

 
 

All items less medical care

239.117 239.656 240.467 0.9 0.6 0.3

All items less shelter

219.558 220.292 221.452 -0.3 0.9 0.5

Commodities less food

138.610 139.335 139.214 -6.3 0.4 -0.1

Nondurables

213.437 214.185 213.679 -3.6 0.1 -0.2

Nondurables less food

178.984 180.497 180.641 -8.3 0.9 0.1

Services less rent of shelter (2)

321.891 323.431 328.240 4.0 2.0 1.5

Services less medical care services

301.292 301.870 303.974 3.7 0.9 0.7

Energy

227.738 232.795 235.379 -18.4 3.4 1.1

All items less energy

251.274 251.429 252.645 3.2 0.5 0.5

All items less food and energy

251.438 251.672 253.327 3.5 0.8 0.7

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, June 16, 2016