Prices in the West Region, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), edged down 0.2 percent in December, the U.S. Bureau of Labor Statistics reported today. (See table A.) The December decrease was influenced by lower prices for gasoline and apparel. (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 3.1 percent. (See chart 1 and table A.) Energy prices rose 6.9 percent, largely the result of an increase in the price of gasoline. The index for all items less food and energy rose 2.9 percent over the year. (See table 1.)

Food

Food prices advanced 0.4 percent for the month of December. (See table 1.) Prices for food at home advanced 0.4 percent, and prices for food away from home increased 0.3 percent for the same period.

Over the year, food prices rose 2.2 percent. Prices for food away from home advanced 3.5 percent since a year ago, and prices for food at home advanced 1.1 percent

Energy

The energy index decreased 3.8 percent over the month. The decrease was mainly due to lower prices for gasoline (-6.8 percent). Prices for natural gas service increased 5.3 percent, while prices for electricity were unchanged for the same period.

Energy prices rose 6.9 percent over the year, largely due to higher prices for gasoline (10.4 percent). Prices paid for electricity increased 2.3 percent, while prices for natural gas service were virtually unchanged during the past year.

All items less food and energy

The index for all items less food and energy edged up 0.1 percent in December. Higher prices for recreation (1.0 percent), medical care (0.5 percent), and shelter (0.3 percent) were partially offset by lower prices for apparel (-3.3 percent).

Over the year, the index for all items less food and energy rose 2.9 percent. Components contributing to the increase included shelter (4.0 percent) and medical care (3.3 percent). Partly offsetting the increases was a price decline in apparel (-0.6 percent).

Table A. West Region CPI-U monthly and annual percent changes (not seasonally adjusted)

Month	2013		2014		2015		2016		2017		2018
	Monthly	Annual	Monthly	Annual	Monthly	Annual	Monthly	Annual	Monthly	Annual	Monthly	Annual
January	0.3	1.7	0.3	1.7	-0.3	0.7	0.5	2.6	0.5	2.5	0.5	3.1
February	0.8	2.0	0.4	1.3	0.6	0.9	0.1	2.1	0.6	3.0	0.5	3.1
March	0.4	1.5	0.6	1.5	0.8	1.1	0.2	1.5	0.3	3.1	0.4	3.2
April	0.0	1.3	0.3	1.8	0.3	1.0	0.5	1.8	0.3	2.9	0.4	3.2
May	0.2	1.3	0.6	2.3	0.8	1.2	0.5	1.5	0.2	2.6	0.5	3.5
June	0.1	1.5	0.1	2.3	0.0	1.1	0.2	1.6	0.0	2.5	0.2	3.6
July	0.0	1.9	0.1	2.3	0.3	1.3	0.1	1.4	0.1	2.5	0.1	3.6
August	0.1	1.5	-0.1	2.1	-0.1	1.3	0.0	1.5	0.2	2.7	0.2	3.6
September	0.2	1.3	0.1	2.0	-0.2	1.0	0.3	2.0	0.5	2.9	0.3	3.4
October	-0.1	0.9	-0.1	2.0	0.0	1.1	0.3	2.3	0.3	2.9	0.4	3.5
November	-0.4	1.3	-0.6	1.7	-0.2	1.5	-0.2	2.3	0.0	3.1	-0.2	3.3
December	0.0	1.8	-0.5	1.3	-0.1	1.8	0.0	2.5	0.1	3.1	-0.2	3.1

The January 2019 Consumer Price Index for the West Region is scheduled to be released on February 13, 2019.

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 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/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 West Region covered in this release is comprised of the following thirteen states: Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming.

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 and percent changes for selected periods

West (1982-84=100 unless otherwise noted)

Item and Group	Indexes			Percent change from-
	Oct. 2018	Nov. 2018	Dec. 2018	Dec. 2017	Oct. 2018	Nov. 2018
Expenditure category
All Items	266.195	265.658	265.209	3.1	-0.4	-0.2
All items (December 1977=100)	430.289	429.421	428.696
Food and beverages	260.903	261.227	262.181	2.3	0.5	0.4
Food	260.593	260.931	261.855	2.2	0.5	0.4
Food at home	247.233	247.176	248.218	1.1	0.4	0.4
Cereals and bakery products	257.879	260.910	261.853	2.7	1.5	0.4
Meats, poultry, fish, and eggs	255.331	256.148	257.246	1.1	0.8	0.4
Dairy and related products	228.597	226.764	226.828	-0.7	-0.8	0.0
Fruits and vegetables	328.262	326.857	331.647	1.7	1.0	1.5
Nonalcoholic beverages and beverage materials	173.788	172.861	172.432	2.6	-0.8	-0.2
Other food at home	211.686	211.539	211.872	0.2	0.1	0.2
Food away from home	277.981	278.829	279.600	3.5	0.6	0.3
Alcoholic beverages	261.592	261.725	263.056	2.8	0.6	0.5
Housing	290.099	290.141	291.204	3.7	0.4	0.4
Shelter	334.494	335.387	336.308	4.0	0.5	0.3
Rent of primary residence(1)	354.472	356.448	357.850	4.6	1.0	0.4
Owners' equiv. rent of residences(1)(2)	351.644	353.001	354.193	4.1	0.7	0.3
Owners' equiv. rent of primary residence(1)(2)	351.657	353.009	354.199	4.1	0.7	0.3
Fuels and utilities	301.160	296.737	298.971	2.9	-0.7	0.8
Household energy	256.716	249.918	252.425	1.7	-1.7	1.0
Energy services(1)	258.541	251.610	254.277	1.8	-1.6	1.1
Electricity(1)	291.133	285.186	285.289	2.3	-2.0	0.0
Utility (piped) gas service(1)	196.435	186.173	195.999	0.1	-0.2	5.3
Household furnishings and operations	130.992	129.971	131.016	1.7	0.0	0.8
Apparel	121.809	117.200	113.373	-0.6	-6.9	-3.3
Transportation	222.181	221.074	215.713	4.1	-2.9	-2.4
Private transportation	217.647	216.667	211.645	4.6	-2.8	-2.3
New and used motor vehicles(3)	100.223	100.804	100.103	0.7	-0.1	-0.7
New vehicles	146.648	147.272	147.735	0.7	0.7	0.3
New cars and trucks(3)(4)	101.848	102.278	102.607	0.7	0.7	0.3
New cars(4)	144.055	145.021	145.307	1.4	0.9	0.2
Used cars and trucks	131.485	132.754	132.951	1.3	1.1	0.1
Motor fuel	281.378	273.456	255.210	10.4	-9.3	-6.7
Gasoline (all types)	280.212	272.121	253.747	10.4	-9.4	-6.8
Gasoline, unleaded regular(4)	277.448	269.291	250.792	10.5	-9.6	-6.9
Gasoline, unleaded midgrade(4)(5)	265.885	260.202	244.108	10.7	-8.2	-6.2
Gasoline, unleaded premium(4)	272.982	265.512	249.022	9.9	-8.8	-6.2
Motor vehicle insurance(6)	852.160	854.876	852.986	6.2	0.1	-0.2
Medical Care	496.643	498.112	500.699	3.3	0.8	0.5
Medical care commodities	384.194	385.779	385.342	2.6	0.3	-0.1
Medical care services	531.989	533.409	537.012	3.4	0.9	0.7
Professional services	355.136	355.201	355.554	0.4	0.1	0.1
Recreation(3)	114.160	114.244	115.330	1.6	1.0	1.0
Education and communication(3)	138.038	136.678	137.114	0.6	-0.7	0.3
Tuition, other school fees, and child care(6)	1,458.510	1,460.115	1,458.000	5.2	0.0	-0.1
Other goods and services	438.842	440.655	439.672	3.2	0.2	-0.2
Commodity and Service Group
All Items	266.195	265.658	265.209	3.1	-0.4	-0.2
Commodities	187.076	185.928	184.375	2.1	-1.4	-0.8
Commodities less food & beverages	149.986	148.347	145.936	2.0	-2.7	-1.6
Nondurables less food & beverages	200.593	196.810	190.829	3.6	-4.9	-3.0
Nondurables less food, beverages, and apparel	255.761	252.612	245.129	5.1	-4.2	-3.0
Durables	105.083	105.143	105.547	-0.2	0.4	0.4
Services	339.488	339.594	340.293	3.6	0.2	0.2
Rent of shelter(2)	356.135	357.100	358.088	4.1	0.5	0.3
Transportation services	322.968	323.655	317.832	3.0	-1.6	-1.8
Other services	355.272	353.623	355.347	2.6	0.0	0.5
Special aggregate indexes:
All items less medical care	255.646	255.025	254.447	3.0	-0.5	-0.2
All items less food	267.246	266.572	265.909	3.2	-0.5	-0.2
All items less shelter	239.469	238.357	237.358	2.5	-0.9	-0.4
Commodities less food	154.166	152.561	150.229	2.0	-2.6	-1.5
Nondurables	231.381	229.451	226.607	2.9	-2.1	-1.2
Nondurables less food	205.317	201.737	196.144	3.5	-4.5	-2.8
Nondurables less food and apparel	256.007	253.173	246.533	4.9	-3.7	-2.6
Services less rent of shelter(2)	356.282	355.316	355.727	3.0	-0.2	0.1
Services less medical care services	326.014	326.034	326.541	3.6	0.2	0.2
Energy	275.834	268.239	257.960	6.9	-6.5	-3.8
All items less energy	267.708	267.680	267.943	2.8	0.1	0.1
All items less food and energy	269.737	269.647	269.797	2.9	0.0	0.1
Commodities less food and energy commodities	140.104	139.238	138.775	0.3	-0.9	-0.3
Energy commodities	286.234	278.235	259.887	10.2	-9.2	-6.6
Services less energy services	345.495	345.988	346.582	3.7	0.3	0.2
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) Indexes on a December 1982=100 base. (3) Indexes on a December 1997=100 base. (4) Special index based on a substantially smaller sample. (5) Indexes on a December 1993=100 base. (6) Indexes on a December 1977=100 base.
- Data not available Regions defined as the four Census regions. West includes Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming. NOTE: Index applies to a month as a whole, not to any specific date. Data not seasonally adjusted.