Thursday, November 20, 2014
The Consumer Price Index for All Urban Consumers (CPI-U) in the Northeast declined 0.2 percent in October, the U.S. Bureau of Labor Statistics reported today. A 3.6-percent decline in the energy index since September was moderated by increases in the all items less food and energy index and the food index, up 0.2 and 0.1 percent, respectively. (Data in this report are not seasonally adjusted. Accordingly, month-to-month changes may reflect the impact of seasonal influences.)
Over the last 12 months, the CPI-U increased 1.4 percent, due mainly to an advance in the all items less food and energy index, up 1.6 percent. (See chart 1 and table A.) The food index also rose since October 2013, up 2.8 percent, while the energy index declined 2.7 percent. (See table 1.)
Over the month, food prices inched up 0.1 percent, as both components of the index increased. Prices for the food away from home component edged up 0.2 percent and those for food at home rose 0.1 percent.
Over the year, the food index advanced 2.8 percent. Prices were higher for both the food at home and food away from home components, up 2.8 and 2.9 percent, respectively, since October 2013.
The energy index, which includes prices for household and transportation fuels, declined for the fifth consecutive month, down 8.9 percent since May and 3.6 percent since September. The one-month decrease was due mostly to a 5.1-percent decline in gasoline prices. Prices were also lower for electricity (-1.6 percent) and utility (piped) gas service (-2.7 percent) in October.
Energy prices declined over the year, down 2.7 percent, mainly reflecting a 4.3-percent decrease in gasoline prices. Utility (piped) gas service prices were also lower since October 2013, down 7.2 percent—the largest decrease in two years; electricity prices rose 3.0 percent over the year.
The index for all items less food and energy edged up 0.2 percent over the month, led by a 0.2-percent increase in shelter prices. Higher prices for apparel (0.7 percent), among others, also contributed to the advance. Price declines for used cars and trucks (-2.1 percent) and education and communication (-0.4 percent) moderated the rise in the all items less food and energy index since September.
The all items less food and energy index rose 1.6 percent over the year. The advance primarily reflected a 2.6-percent increase in prices for shelter. Additionally, increases in the medical care index (2.0 percent) and several others were moderated by decreases in the indexes for household furnishings and operations (-0.7 percent) and recreation (-0.4 percent).
The November 2014 Consumer Price Index for the Northeast region is scheduled to be released on December 17, 2014, at 8:30 a.m. (ET).
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 Northeast region is comprised of Connecticut, Maine, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, and Vermont.
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.
|Expenditure category||Indexes||Percent change from|
All items (December 1977 = 100)
Food and beverages
Food at home
Food away from home
Rent of primary residence (1)
Fuels and utilities
Energy services (1)
Utility (piped) gas service (1)
Household furnishings and operations
New and used motor vehicles (3)
New cars (4)
Used cars and trucks
Gasoline (all types)
Gasoline, unleaded regular (4)
Gasoline, unleaded premium (4)
Medical care commodities
Medical care services
Education and communication (3)
Other goods and services
Commodity and service group
Commodities less food and beverages
Nondurables less food and beverages
Special aggregate indexes
All items less shelter
All items less medical care
Commodities less food
Nondurables less food
Services less rent of shelter (2)
Services less medical care services
All items less energy
All items less food and energy
Note: Index applies to a month as a whole, not to any specific date.
Last Modified Date: Thursday, November 20, 2014