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18-22-CHI
Friday, January 12, 2018

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Consumer Price Index, Minneapolis-St. Paul — Second Half 2017

Local prices up 2.0 percent over the year

The Consumer Price Index for All Urban Consumers (CPI-U) in the Minneapolis-St. Paul area increased 2.0 percent from the second half of 2016 to the second half of 2017, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Charlene Peiffer noted that the all items less food and energy index was 1.8 percent higher compared to its second half 2016 level as price increases were noted for the shelter category. Energy prices rose 7.4 percent over the year, and food prices were up 1.0 percent. (See chart 1.)

Food

The 1.0-percent increase in food prices over the year was attributed to a 2.0-percent increase in costs for food eaten away from home (restaurant, cafeteria, and vending purchases). On the other hand, food at home (grocery) prices were unchanged. In the previous annual period (second half 2015 to second half 2016), food prices in the Minneapolis-St. Paul area rose 0.2 percent.

Energy

Energy prices were up 7.4 percent compared to their second half 2016 levels. Gasoline prices were up 12.7 percent. Indexes also increased for electricity (2.2 percent) and utility (piped) gas service (1.9 percent). Energy costs declined 1.5 percent in the prior annual period.

All items less food and energy

The 1.8-percent over-the-year increase in the all items less food and energy index was primarily due to a 4.1- percent gain in shelter costs. Recreation prices (4.6 percent) also contributed to the rise in the all items less food and energy index.

The January 2018 Consumer Price Index for Minneapolis is scheduled to be released on Wednesday, February 14, 2018.

Consumer Price Index Geographic Revision for 2018

In January 2018, BLS will introduce a new geographic area sample for the Consumer Price Index (CPI). This index will change to a bimonthly publication schedule beginning in January, 2018. The first indexes using the new structure will be published in February 2018.  Additional information on the geographic revision is available at: https://www.bls.gov/cpi/additional-resources/geographic-revision-2018.htm.


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/pdf/homch17.pdf.

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 Minneapolis-St. Paul, Minn.-Wis. metropolitan area covered in this release is comprised of Anoka, Carver, Chisago, Dakota, Hennepin, Isanti, Ramsey, Scott, Sherburne, Washington, and Wright Counties and Pierce and St. Croix Counties in Wisconsin.

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 for semiannual averages and percent changes for selected periods
Minneapolis-St. Paul, MN-WI (1982-84=100 unless otherwise noted)
Item and Group


 
Semiannual average
indexes
Percent change to
2nd half 2017 from-
2nd half
2016
1st half
2017
2nd half
2017
2nd half
2016
1st half
2017

Expenditure category

 
 

All items

235.514 238.152 240.325 2.0 0.9

All items (1967=100)

740.108 748.400 755.229 - -

Food and beverages

273.212 274.350 275.611 0.9 0.5

Food

262.052 263.322 264.580 1.0 0.5

Food at home

244.783 246.110 244.816 0.0 -0.5

Food away from home

287.067 288.271 292.937 2.0 1.6

Alcoholic beverages

374.311 373.006 373.950 -0.1 0.3

Housing

216.294 219.546 223.518 3.3 1.8

Shelter

251.421 256.408 261.786 4.1 2.1

Rent of primary residence(1)

254.497 260.189 265.713 4.4 2.1

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

262.803 267.836 273.831 4.2 2.2

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

262.803 267.836 273.831 4.2 2.2

Fuels and utilities

210.385 210.389 215.877 2.6 2.6

Household energy

190.354 189.309 195.398 2.6 3.2

Energy services(1)

194.405 192.553 198.498 2.1 3.1

Electricity(1)

263.062 256.476 268.812 2.2 4.8

Utility (piped) gas service(1)

134.733 137.493 137.360 1.9 -0.1

Household furnishings and operations

118.250 117.870 116.945 -1.1 -0.8

Apparel

131.122 127.803 126.740 -3.3 -0.8

Transportation

193.446 196.479 196.249 1.4 -0.1

Private transportation

177.603 179.965 180.691 1.7 0.4

Motor fuel

176.042 189.560 198.343 12.7 4.6

Gasoline (all types)

176.537 190.149 198.918 12.7 4.6

Gasoline, unleaded regular(3)

176.841 190.617 199.427 12.8 4.6

Gasoline, unleaded midgrade(3)(4)

182.633 196.377 204.060 11.7 3.9

Gasoline, unleaded premium(3)

216.419 231.172 242.821 12.2 5.0

Medical care

525.091 525.841 527.468 0.5 0.3

Recreation(5)

125.663 128.660 131.412 4.6 2.1

Education and communication(5)

137.794 138.109 137.712 -0.1 -0.3

Other goods and services

370.664 376.898 375.475 1.3 -0.4
 

Commodity and service group

 
 

All Items

235.514 238.152 240.325 2.0 0.9

Commodities

181.617 182.945 183.231 0.9 0.2

Commodities less food & beverages

140.967 142.260 142.228 0.9 0.0

Nondurables less food & beverages

180.112 183.957 186.250 3.4 1.2

Durables

105.408 105.216 103.961 -1.4 -1.2

Services

283.298 287.141 291.070 2.7 1.4
 

Special aggregate indexes

 
 

All items less medical care

222.521 225.229 227.417 2.2 1.0

All items less shelter

229.728 231.384 232.210 1.1 0.4

Commodities less food

149.118 150.398 150.384 0.8 0.0

Nondurables

223.808 226.452 228.293 2.0 0.8

Nondurables less food

192.895 196.569 198.842 3.1 1.2

Services less rent of shelter(2)

334.480 336.773 338.630 1.2 0.6

Services less medical care services

261.871 265.967 270.050 3.1 1.5

Energy

185.921 192.150 199.675 7.4 3.9

All items less energy

244.138 246.511 248.257 1.7 0.7

All items less food and energy

241.592 244.129 245.947 1.8 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: Data not seasonally adjusted.
 

 

Last Modified Date: Friday, January 12, 2018