Wednesday, July 12, 2023
Prices in the Midwest Region, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), advanced 0.4 percent in June, the U.S. Bureau of Labor Statistics reported today. (See table A.) The June increase was mainly driven by higher costs for owners’ equivalent rent of residences and electricity. (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 2.4 percent. (See chart 1.) The index for all items less food and energy increased 4.8 percent over the year, while food prices advanced 5.9 percent. Energy prices decreased 20.3 percent, largely the result of a decline in the price of gasoline. (See table 1.)Food
Food prices were unchanged for the month of June. The index for food at home declined 0.3 percent, while prices for food away from home rose 0.4 percent over the same period. Within the food at home index, prices for fruits and vegetables and nonalcoholic beverages and beverage materials showed the largest decreases, down 0.7 percent, and 0.8 percent, respectively.
Over the year, food prices advanced 5.9 percent. The indexes for food at home and food away from home both advanced over this period, 4.8 percent and 7.9 percent, respectively. All six major components within the index for food at home (grocery store prices) increased, with the largest advances seen in the other food at home (+7.0 percent) and cereals and bakery products (+9.3 percent) categories.Energy
The energy index rose 2.3 percent in June, mainly due to higher prices for electricity (+6.0 percent), but rising gasoline prices also contributed (+1.0 percent). Prices for natural gas service fell 0.9 percent over the month.
From June 2022 to June 2023, energy prices decreased 20.3 percent, largely due to lower prices for gasoline (-28.1 percent) and natural gas service (-31.2 percent). Prices paid for electricity advanced 6.2 percent over the past year.All items less food and energy
The index for all items less food and energy rose 0.3 percent in June, almost entirely driven by higher prices for shelter (+0.7 percent) and used cars and trucks (+1.1 percent). Lower prices for public transportation, education and communication (-0.5 percent) and apparel (-1.0 percent) slightly offset these increases.
Over the year, the index for all items less food and energy increased 4.8 percent. Rising prices in the three shelter components – owners’ equivalent rent of residences (+6.9 percent), rent of primary residence (+7.3 percent), and lodging away from home – drove the advance. Other notable increases occurred within the recreation and household furnishings and operations categories, which rose 6.1 percent and 4.3 percent, respectively. Partly offsetting these advances was a price decline in used cars and trucks, which fell 4.5 percent over the year.
The July 2023 Consumer Price Index for the Midwest Region is scheduled to be released on Thursday, August 10, 2023.
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 93 percent of the total U.S. population and (2) a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers approximately 29 percent of the total U.S. 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 75 urban areas across the country from about 6,000 housing units and approximately 22,000 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; for most of the CPI-U the reference base is 1982-84 equals 100. An increase of 7 percent from the reference base, for example, is shown as 107.000. Alternatively, that relationship can also be expressed as the price of a base period market basket of goods and services rising from $100 to $107. For further details see the CPI home page on the internet at www.bls.gov/cpi and the CPI section of the BLS Handbook of Methods available on the internet at www.bls.gov/opub/hom/cpi/.
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 Midwest region is comprised of Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin.
Information in this release will be made available to individuals with sensory impairments upon request. Voice phone: (202) 691-5200; Telecommunications Relay Service: 7-1-1.
|Expenditure category||Indexes||Percent change from|
All items (December 1977 = 100)
Food and beverages
Food at home
Cereals and bakery products
Meats, poultry, fish, and eggs
Dairy and related products
Fruits and vegetables
Nonalcoholic beverages and beverage materials
Other food at home
Food away from home
Rent of primary residence(1)
Fuels and utilities
Utility (piped) gas service(1)
Household furnishings and operations
New and used motor vehicles(3)
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)
Tuition, other school fees, and child care(6)
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
(1) This index series was calculated using a Laspeyres estimator. All other item stratum index series were calculated using a geometric means estimator.
Note: Index applies to a month as a whole, not to any specific date.
Last Modified Date: Wednesday, July 12, 2023