Thursday, July 12, 2018
The Consumer Price Index for All Urban Consumers (CPI-U) in Houston-The Woodlands-Sugar Land rose 1.0 percent in May and June, the U.S. Bureau of Labor Statistics reported today. Assistant Commissioner for Regional Operations Stanley W. Suchman noted that advances in the indexes for all items less food and energy, up 0.8 percent, as well as energy, up 5.4 percent, contributed to the increase. In contrast, food prices fell 0.7 percent in May and June, partially offsetting the other increases. (Data in this report are not seasonally adjusted. Accordingly, short-term changes may reflect the impact of seasonal influences.)
During the year ended in June 2018, the all items CPI-U advanced 3.0 percent, its fastest annual rate of gain since October 2014. The index for all items less food and energy rose at a slower 1.9-percent pace. (See chart 1 and table 1.)
Local food prices fell 0.7 in May and June, after edging up 0.1 percent in March and April. Between the two components of the index, prices for food at home (grocery stores) decreased 2.0 percent, while prices for food away from home increased 0.6 percent.
From June 2017 to June 2018, the food index advanced 1.2 percent. The annual increase in food prices was entirely the result of higher prices for food away from home, which rose 3.6 percent. Tempering this advance, prices for food at home declined 1.3 percent over the year.
The energy index increased 5.4 percent in May and June, after falling 2.4 percent in March and April. The current increase was primarily the result of an 8.8-percent advance in motor fuel costs, though a 2.1-percent rise in electricity costs also contributed. In contrast, natural gas costs were down 2.6 percent in May and June.
During the year ended in June 2018, the energy index climbed 17.8 percent, with all sub-components contributing. Motor fuel costs were up 27.2 percent over the year, electricity prices rose 8.7 percent, and natural gas costs edged up 0.7 percent.
The index for all items less food and energy increased 0.8 percent in May and June, after rising 0.5 percent in March and April. A 0.9-percent increase in shelter costs had the greatest impact, but a 3.1-percent increase in household furnishings and operations also played a major role in the bimonthly rise. Higher medical care prices, up 1.4 percent, were another important factor in the advance. During the period, increases were also noted in the cost of other goods and services, new vehicles, education and communication, and recreation.
From June 2017 to June 2018, the index for all items less food and energy rose 1.9 percent. The biggest factor in the annual increase was a 2.6-percent rise in shelter costs, though higher prices for medical care (1.9 percent) also contributed. The only major category to register an annual decline was recreation, where prices slipped 0.5 percent over the year.
The August 2018 Consumer Price Index for Houston-The Woodlands-Sugar Land is scheduled to be released Thursday, September 13, 2018.
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 population and (2) a CPI for Urban Wage Earners and Clerical Workers (CPI-W) which covers 29 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 75 urban areas across the country from about 5,000 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 (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 Houston-The Woodlands-Sugar Land, Texas, Core Based Statistical Area includes Austin, Brazoria, Chambers, Fort Bend, Galveston, Harris, Liberty, Montgomery, and Waller Counties.
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
Cereals and bakery products
Meats, poultry, fish, and eggs
Dairy and related products
Fruits and vegetables
Nonalcoholic beverages and beverage materials(1)
Other food at home
Food away from home
Rent of primary residence(2)
Fuels and utilities
Utility (piped) gas service(2)
Household furnishings and operations
New and used motor vehicles(4)
Used cars and trucks(1)
Gasoline (all types)
Gasoline, unleaded regular(5)
Gasoline, unleaded premium(5)
Motor vehicle insurance(1)
Education and communication(4)
Tuition, other school fees, and childcare(1)
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(3)
Services less medical care services
All items less energy
All items less food and energy
- Data not available. Note: Index applies to a month as a whole, not to any specific date.
Last Modified Date: Thursday, July 12, 2018