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16-1710-SAN
Tuesday, August 16, 2016

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Consumer Price Index, Los Angeles area — July 2016

Area prices were unchanged over the past month, up 1.2 percent from a year ago

Prices in the Los Angeles area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), were unchanged in July, the U.S. Bureau of Labor Statistics reported today. (See table A.) Assistant Commissioner for Regional Operations Richard Holden noted that the expenditure categories with the largest opposing effects were higher shelter prices, offset by lower education and communication and gasoline prices. (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 rose 1.2 percent. (See chart 1 and table A.) Energy prices fell 18.1 percent, largely the result of a decrease in the price of gasoline. The index for all items less food and energy rose 3.2 percent over the year. (See table 1.)

Food

Food prices inched up 0.1 percent for the month of July. (See table 1.) Prices for food away from home advanced 0.3 percent, but prices for food at from home edged down 0.1 percent for the same period.

Over the year, food prices advanced 0.7 percent. Prices for food away from home increased 4.1 percent since a year ago, but prices for food at home decreased 1.7 percent.

Energy

The energy index was unchanged over the month. Higher prices for natural gas service (7.2 percent) were largely offset by lower gasoline prices (-1.3 percent). Prices for electricity rose 0.2 percent for the same period.

Energy prices fell 18.1 percent over the year, largely due to lower prices for gasoline (-28.8 percent). Prices paid for natural gas service rose 5.9 percent, and prices for electricity advanced 2.2 percent during the past year.

All items less food and energy

The index for all items less food and energy was unchanged in July. Higher prices for other goods and services (0.9 percent) and shelter (0.5 percent) were offset by lower prices for apparel (-1.3 percent) and education and communication (-1.2 percent).

Over the year, the index for all items less food and energy rose 3.2 percent. Components contributing to the increase included medical care (10.3 percent) and shelter (4.5 percent). Partly offsetting the increases were price declines in education and communication (-2.0 percent) and household furnishings and operations (-0.4 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 0.1 1.8

July

-0.4 2.4 -0.1 1.9 -0.1 1.3 0.1 2.0 0.7 1.4 0.0 1.2

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 August 2016 Consumer Price Index for the Los Angeles-Riverside-Orange County is scheduled to be released on September 16, 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-
May
2016
Jun.
2016
Jul.
2016
Jul.
2015
May
2016
Jun.
2016

Expenditure category

 
 

All items

249.671 249.947 249.936 1.2 0.1 0.0

All items (1967=100)

737.638 738.454 738.422 - - -

Food and beverages

250.510 251.004 251.194 0.8 0.3 0.1

Food

250.598 251.154 251.326 0.7 0.3 0.1

Food at home

253.763 254.595 254.255 -1.7 0.2 -0.1

Food away from home

242.937 243.144 243.944 4.1 0.4 0.3

Alcoholic beverages

234.374 233.951 234.378 1.4 0.0 0.2

Housing

276.055 276.626 277.721 3.8 0.6 0.4

Shelter

314.443 315.521 317.028 4.5 0.8 0.5

Rent of primary residence (1)

328.735 329.915 331.727 4.7 0.9 0.5

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

326.200 327.546 329.343 4.5 1.0 0.5

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

326.181 327.527 329.324 4.5 1.0 0.5

Fuels and utilities

300.793 300.817 301.456 2.2 0.2 0.2

Household energy

261.547 261.739 266.117 2.6 1.7 1.7

Energy services (1)

260.877 260.003 264.979 2.7 1.6 1.9

Electricity (1)

298.389 296.613 297.137 2.2 -0.4 0.2

Utility (piped) gas service (1)

219.975 220.986 236.801 5.9 7.6 7.2

Household furnishings and operations

115.949 114.955 114.741 -0.4 -1.0 -0.2

Apparel

113.211 109.947 108.518 1.9 -4.1 -1.3

Transportation

195.090 195.993 194.234 -9.5 -0.4 -0.9

Private transportation

188.844 190.370 189.800 -9.5 0.5 -0.3

Motor fuel

217.766 223.300 220.516 -28.8 1.3 -1.2

Gasoline (all types)

213.204 218.530 215.797 -28.8 1.2 -1.3

Gasoline, unleaded regular (3)

213.511 218.907 216.123 -29.2 1.2 -1.3

Gasoline, unleaded midgrade (3) (4)

204.417 209.352 207.820 -27.1 1.7 -0.7

Gasoline, unleaded premium (3)

204.179 208.968 206.368 -27.5 1.1 -1.2

Medical care

462.437 468.661 468.604 10.3 1.3 0.0

Recreation (5)

107.517 106.631 106.964 2.6 -0.5 0.3

Education and communication (5)

145.504 145.366 143.580 -2.0 -1.3 -1.2

Other goods and services

391.155 386.699 390.008 1.4 -0.3 0.9
 

Commodity and service group

 
 

All items

249.671 249.947 249.936 1.2 0.1 0.0

Commodities

174.696 174.677 174.221 -3.9 -0.3 -0.3

Commodities less food & beverages

134.916 134.689 133.993 -7.4 -0.7 -0.5

Nondurables less food & beverages

175.031 175.862 174.586 -9.6 -0.3 -0.7

Durables

95.607 94.331 94.207 -3.3 -1.5 -0.1

Services

316.380 316.920 317.310 4.1 0.3 0.1
 

Special aggregate indexes

 
 

All items less medical care

240.467 240.514 240.505 0.6 0.0 0.0

All items less shelter

221.452 221.364 220.661 -0.8 -0.4 -0.3

Commodities less food

139.214 138.979 138.304 -6.9 -0.7 -0.5

Nondurables

213.679 214.374 213.744 -4.1 0.0 -0.3

Nondurables less food

180.641 181.421 180.214 -8.8 -0.2 -0.7

Services less rent of shelter (2)

328.240 327.996 326.745 3.5 -0.5 -0.4

Services less medical care services

303.974 304.460 304.893 3.6 0.3 0.1

Energy

235.379 238.883 238.837 -18.1 1.5 0.0

All items less energy

252.645 252.679 252.671 2.8 0.0 0.0

All items less food and energy

253.327 253.273 253.235 3.2 0.0 0.0

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: Tuesday, August 16, 2016