The Chained Consumer Price Index for All Urban Consumers (C-CPI-U) decreased 0.1 percent in September on a not seasonally adjusted basis. The September level of 125.774 (December 1999=100) was 4.3 percent higher than in September 2007. Please note that the indexes for the post-2006 period are subject to revision.
CPI for All Urban Consumers (CPI-U)
On a seasonally adjusted basis, the CPI-U was virtually unchanged in September following a 0.1 percent decrease in August. The index for energy fell 1.9 percent in September following a 3.1 percent decline in August. The motor fuel index declined 0.8 percent in September but was 31.8 percent higher than a year ago. The index for household energy fell 3.4 percent in September after a 1.6 percent decrease in August. The food index advanced 0.6 percent in September, the same increase as in August. The index for food at home rose 0.6 percent in September after a 0.8 percent rise in August and is up 7.6 percent over the past year. The index for all items less food and energy increased 0.1 percent in September, decelerating for the second straight month. Contributing to the deceleration were downturns in the indexes for apparel and for airline fares, a smaller increase in the index for recreation, and a steeper decline in the index for new and used motor vehicles. These more than offset an upturn in the index for lodging away from home and larger increases in the indexes for medical care and owners' equivalent rent.
Consumer prices increased at a seasonally adjusted annualized rate (SAAR) of 2.6 percent in the third quarter of 2008 following increases in the first and second quarters at annual rates of 3.1 and 7.9 percent, respectively. This brings the year-to-date annual rate to 4.5 percent and compares with an increase of 4.1 percent for all of 2007. The index for energy fell at a 4.9 percent annual rate in the third quarter of 2008, following increases at rates of 8.6 percent and 53.6 percent in the first two quarters, respectively. So far this year, the energy index has risen at a 16.6 percent rate after increasing 17.4 percent in all of 2007.
Within energy, petroleum-based energy costs (energy commodities) advanced at a 19.1 percent rate and energy services (gas and electricity) rose at a 12.4 percent rate in the first nine months of 2008. The food index rose at a 7.5 percent SAAR in the first nine months of 2008, compared to a 4.9 percent increase in all of 2007. The larger increase reflects acceleration in all of the major grocery store food groups except dairy and related products. The cereals and bakery products index and the fruits and vegetables index rose the fastest, rising at a 14.2 percent and 12.1 percent SAAR, respectively.
The CPI-U excluding food and energy rose at a 2.7 percent SAAR in the third quarter following increases at rates of 2.0 and 2.5 percent in the first and second quarter, respectively. The index increased over the first nine months of 2008 at a 2.4 percent SAAR, which matches the 2.4 percent increase during all of 2007. Deceleration in the shelter and medical care indexes, as well as the index for new and used motor vehicles, were offset by a larger increase in the recreation index and upturns in the indexes for apparel and for household furnishings and operations.
The food and beverages index rose 0.6 percent in September, the second straight such increase. The index for food at home, which rose 0.8 percent in August, increased 0.6 percent in September. The index for cereals and bakery products turned up in September, rising 1.1 percent after a 0.1 percent decline in August. The indexes for nonalcoholic beverages and other food at home accelerated in September, increasing 0.7 percent and 1.1 percent respectively after increases of 0.4 percent and 0.7 percent in August. The index for meats, poultry, fish and eggs rose 1.0 percent in September, the third straight such increase. Within this group, the index for eggs increased 2.6 percent in September after a 5.7 percent decrease in August, while the index for beef and veal decelerated, rising 0.2 percent in September after a 2.4 percent increase in August.
Turning down in September were the indexes for dairy and related products, down 0.6 percent after rising 0.4 percent in August, and for fruits and vegetables, down 0.5 percent after advancing 2.1 percent in August. The indexes for food away from home and for alcoholic beverages both increased 0.5 percent in September.
The index for housing declined 0.1 percent in September, the same decline as in August. The shelter index increased 0.3 percent in September after a 0.1 percent increase in August. The index for rent increased 0.3 percent for the third month in a row while the index for owners' equivalent rent rose 0.2 percent after a 0.1 percent increase in August. The index for lodging away from home turned up in September, increasing 0.9 percent after a 1.1 percent decrease in August. The index for household energy declined 3.4 percent in September, but was still 13.1 percent above its September 2007 level. Within household energy, the indexes for fuel oil and for natural gas fell sharply, declining 7.8 percent and 8.3 percent respectively, while the index for electricity fell 0.9 percent. The index for household furnishings and operations, which rose 0.2 percent in August, increased 0.5 percent in September.
The transportation index declined in September, falling 0.6 percent after a 1.5 percent decrease in August. The index for gasoline decreased 0.6 percent following a 4.2 percent decrease in August. (Prior to seasonal adjustment, gasoline prices fell 2.5 percent in September but were 31.7 percent above their September 2007 level.) The index for new vehicles declined for the second straight month, falling 0.7 percent after a 0.6 percent decrease in August. The index for used cars and trucks fell sharply in September, declining 1.8 percent after a 0.3 percent fall in August. The index for public transportation decreased1.0 percent in September after a 1.1 percent increase in August, as the index for airline fare turned down, declining 1.7 percent in September after rising 1.6 percent in August. (Prior to seasonal adjustment, the index for airline fare decreased 3.6 percent in September but was 17.5 percent higher than in September 2007.)
The index for apparel declined 0.1 percent in September after increasing 0.5 percent in August. (Prior to seasonal adjustment, apparel prices rose 4.1 percent in September and were 1.4 percent higher than in September 2007.)
The medical care index rose 0.3 percent in September after rising 0.2 percent in August, and was 3.2 percent higher than a year ago. The index for medical care commodities--prescription drugs, nonprescription drugs, and medical supplies-increased 0.2 percent in September after a 0.1 percent increase in August. The index for medical care services increased 0.4 percent in September. The indexes for professional services and for hospital and related services increased 0.2 percent and 0.6 percent, respectively.
The index for recreation increased 0.2 percent in September, following a 0.5 percent increase in August. The index for video and audio rose 0.1 percent in September after a 0.5 percent increase in August. The indexes for pets, pet products and services rose 1.0 percent in September and the index for photography rose 0.8 percent. The index for recreation services decreased 0.1 percent in September.
The index for education and communication increased 0.1 percent in September after a 0.2 percent increase in August. The index for education rose 0.4 percent in September. The index for college textbooks rose 1.0 percent after a 3.4 percent increase in August. The index for college tuition and fees rose 0.3 percent in September. (Prior to seasonal adjustment, charges for college tuition and fees rose 1.8 percent in September and are up 6.7 percent since September 2007.) The communication index declined in September, falling 0.2 percent for the second consecutive month. Within communication, the index for telephone services was virtually unchanged while the index for information technology, hardware and services declined 1.1 percent.
The index for other goods and services increased 0.2 percent in September, the same increase as in August. The index for tobacco and smoking products was virtually unchanged and the index for personal care rose 0.3 percent.
