FOR FURTHER INFORMATION:                             TRANSMISSION OF MATERIAL IN
Cheryl Abbot                                         THIS RELEASE IS EMBARGOED
Regional Economist                                   UNTIL: 7:30 A.M. (CT),
(214) 767-6970                                       Wednesday, April 16, 2008
http://www.bls.gov/ro6/home.htm


                       MARCH 2008 CONSUMER PRICE INDEXES
                     FOR ENERGY, FOOD AT HOME, AND SHELTER
                       HOUSTON-GALVESTON-BRAZORIA, TEXAS

     Energy prices rose 4.7 percent in the Houston-Galveston-Brazoria 
metropolitan area during March, the Bureau of Labor Statistics of the U.S. 
Department of Labor reported today.  Regional Commissioner Stanley W. Suchman 
noted that this was the largest monthly gain since April 2007 when the energy 
index increased 6.5 percent.  In contrast, prices for food at home and shelter 
fell during the month, down 0.4 percent and 0.5 percent, respectively.  These 
data are based on the Consumer Price Index for All Urban Consumers (CPI-U).  

     The 4.7-percent increase in the energy index was almost entirely the 
result of higher gasoline prices.  After edging up 0.1 percent in February, the 
gasoline index rose 7.3 percent in March.  The average price for a gallon of 
gasoline in the Houston metropolitan area stood at $3.206.  During the last 12 
months, gasoline prices were up 30.3 percent.  The index for household energy 
was little changed during the month as electricity prices rose 0.2 percent and 
the cost of natural gas service was unchanged.  On an annual basis, electricity 
prices fell 10.4 percent while natural gas costs climbed 21.8 percent.  The 
combined annual movements for motor fuel and household fuels placed the total 
cost of energy 11.9 percent above March 2007.  

     Prices for food at home fell 0.4 percent in March following a 1.2-percent 
decline in February.  During the latest month, lower prices were noted for a 
host of fresh vegetables, fish and seafood, pork, and milk.  These declines 
were partially offset by price increases for beef and veal, chicken, and 
apples.  The overall cost of grocery items rose 5.1 percent during the last 12 
months.  The Consumer Price Index (CPI-U) for food at home stood at 194.040 on 
the 1982-84=100 reference base, meaning that a typical basket of grocery items 
priced at $100.00 in 1982-84 would have cost Houston area consumers $194.04 
last month.  

     The shelter index fell 0.5 percent in March following a 0.7-percent 
increase in February.  The cause of the March decline was a decrease in hotel 
and motel rates, as rent of a primary residence (renters’ costs) advanced 0.3 
percent and owners’ equivalent rent (homeowners’ costs) remained unchanged.  
During the previous 12 months, homeowners’ costs increased 2.3 percent and 
renters’ costs advanced 2.1 percent.  However, the index for lodging away from 
home (hotel and motel rates) rose more sharply and pushed the total shelter 
index 2.6 percent higher than a year ago.  

     The Houston-Galveston-Brazoria Consolidated Metropolitan Statistical Area 
(CMSA) includes Brazoria, Chambers, Fort Bend, Galveston, Harris, Liberty, 
Montgomery, and Waller Counties.  Local area CPI indexes are by-products of the 
national CPI program.  Because each local area index is a small subset of the 
national index, the sample size is smaller and therefore 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.  



Next Release Date: The Houston-Galveston-Brazoria April CPI for All Items 
will be released on May 14, 2008.

Last Modified Date: April 16, 2008