Thursday, February 26, 2015
Prices in the New York-Northern New Jersey-Long Island area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), ticked up 0.1 percent in January, the first increase since July, the U.S. Bureau of Labor Statistics reported today. Chief Regional Economist Martin Kohli explained that higher prices for apparel and shelter, among other items, were largely offset by falling energy prices. (Data in this report are not seasonally adjusted. Accordingly, month-to-month changes may reflect the impact of seasonal influences.)
Over the year, the CPI-U decreased 0.5 percent. (See chart 1 and table A.) The January change was the first over-the-year decline since September 2009. The all items less food and energy index rose 1.3 percent. (See table 1.)
After a 0.5-percent December rise, the food index inched up 0.1 percent in January, due to a modest increase in prices for a variety of groceries including uncooked beef steaks. Prices for food away from home were unchanged.
For the year ending in January, the food index advanced 3.3 percent, reflecting increases of 3.5 percent for at-home food and 3.0 percent for away-from-home food.
The energy index fell 5.2 percent, marking the seventh consecutive one-month decline, the longest stretch of declines in the history of the series which began in 1978. Gasoline prices dropped 16.7 percent in January, the largest decline recorded in over six years. Prices for household energy, on the other hand, increased—a rise in electricity prices (7.3 percent) outweighed declines in prices for natural gas (-0.2 percent) and fuel oil.
From January 2014 to January 2015, the energy index dropped 23.2 percent, the largest 12-month decline since July 2009. Prices for gasoline fell 34.0 percent, and prices for household energy were down 15.3 percent, with declines in natural gas (-18.8 percent) and in electricity (-10.7 percent).
The index for all items less food and energy increased 0.6 percent, after declining in both November and December. Apparel prices jumped 4.5 percent. Shelter prices rose 0.4 percent, reflecting increases in owners’ equivalent rent (0.4 percent), residential rent (0.1 percent), and out-of-town lodging. Medical care prices advanced 0.7 percent, with higher charges for hospital services. Increases were also reported for recreation, household furnishings and operations, education and communication, and other goods and services.
Over the year, the index for all items less food and energy increased 1.3 percent, primarily due to higher prices for shelter (1.9 percent). Within shelter, residential rent rose 2.7 percent, and owners’ equivalent rent increased 1.7 percent. Medical care prices advanced 4.0 percent, and apparel prices rose 2.1 percent. These increases were tempered by declines in household furnishings and operations (-3.1 percent) and in recreation (-1.2 percent).
In January, the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) was 253.159, virtually unchanged over the month. The CPI-W decreased 0.9 percent over the year.
The February 2015 Consumer Price Index for New York-Northern New Jersey-Long Island is scheduled to be released Tuesday, March 24, 2015, 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 New York-Northern New Jersey-Long Island, N.Y.-N.J.-Conn.-Pa. consolidated area covered in this release is comprised of Bronx, Dutchess, Kings, Nassau, New York, Orange, Putnam, Queens, Richmond, Rockland, Suffolk, and Westchester Counties in New York State; Bergen, Essex, Hudson, Hunterdon, Mercer, Middlesex, Monmouth, Morris, Ocean, Passaic, Somerset, Sussex, Union, and Warren Counties in New Jersey; Fairfield County and parts of Litchfield, Middlesex, and New Haven Counties in Connecticut; and Pike County in Pennsylvania.
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.
|Item and Group||Indexes||Percent change from-|
All items (1967=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
Gasoline (all types)
Gasoline, unleaded regular (3)
Gasoline, unleaded premium (3)
Education and communication (5)
Other goods and services
Commodity and service group
Commodities less food and beverages
Nondurables less food and beverages
Special aggregate indexes
All items less medical care
All items less shelter
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, February 26, 2015