Showing posts with label atlanta consumer prices. Show all posts
Showing posts with label atlanta consumer prices. Show all posts

Wednesday, November 10, 2021

Atlanta area consumer prices rise 7.9% over the year; gasoline prices soar 55.7%

 CPI-U-Atlanta

The Consumer Price Index for All Urban Consumers in the Atlanta-Sandy Springs-Roswell, GA, metropolitan area (CPI-U-Atlanta) increased 1.5% for the two months ending in October before seasonal adjustment according to the U.S. Bureau of Labor Statistics. For the 12 months ending in October, the CPI-U Atlanta index rose 7.9%. 

Over the two-month period, food prices in the Atlanta area increased 1.3%, while energy prices rose 3.3%. The index for all items excluding food and energy moved up by 1.3%. Over the 12 months ending in October, food prices increased 2.4% and energy prices rose 28.2%. The index for all items excluding food and energy moved up by 7.0%. 

The 7.9% increase in the all-items cost-of-living index for the Atlanta area was the largest 12-month increase for any October since October 1981 and was the largest increase recorded for any 12-month period since June 1982, when prices for the Atlanta area rose by 8.1%. 

Index components 

Cost-of-living indexes for food and beverages, housing, and transportation in the Atlanta area all rose significantly in the two months ending in October. 

Food and beverages costs increased 1.3% over the two months ending in October. Costs for food at home rose by 1.5%, while costs for food away from home were up by 1.1%. For the 12 months ending in October the food and beverages index moved up by 2.4% as costs for food at home increased 2.3% and costs for food away from home rose by 2.4%. 

Housing costs increased 1.7% over the two-month period. Costs for shelter rose 1.6%, while fuels and utilities costs rose 1.5%. Within the utilities index, electricity costs were unchanged over the previous two months. Since October 2020, housing costs in the Atlanta area have risen 6.0%, as the costs of shelter rose 6.7%, and fuels and utilities costs rose 5.1%. Electricity costs in the Atlanta area have risen 1.4% since last October. 

Apparel costs increased 0.4% over two months, while the price index rose 11.0% for the twelve months ending in October. 

Transportation costs rose by 3.0% over the past two months. Prices for used cars and trucks declined by 0.8%, while gasoline costs increased 4.7%. Over the past year, transportation costs have increased 21.3% in the Atlanta area with costs for used cars and trucks rising by 26.2%, while gasoline costs increased 55.7%. 

Medical care costs rose by 0.5% in the two months ending in October. For the past 12 months, the medical care index has increased 2.4%. 

Recreation costs declined 0.9% in the two months ending in October. Over the past year, recreation costs have risen 8.0%. 

Education and communication costs dropped 0.6 percent over the past two months. Over the past year, education and communication costs rose 4.0%.

Other goods and services costs rose 2.1% in the two months ending in October. Over the past year, they have increased by 6.8%. 

Comparison with the nation 

The Consumer Price Index for Atlanta rose by 1.5% for the two months ending in October compared to a 1.1% increase for the nation. Food costs in the Atlanta area increased by 1.3% compared to 1.8% nationally, while energy costs rose by 3.3% compared to 3.5% for the nation. The index for all items excluding food and energy rose by 7.0% in the Atlanta area compared to 0.8% for the nation. 

Over the 12 months ending in October, the all-items index for the Atlanta area increased 7.9%, while nationally, prices rose 6.2%. Food costs in the Atlanta area increased by 2.4%, while they rose 5.3% nationally. For Atlanta, energy prices moved up 28.2% compared to 30.0% for the nation. The index for all items excluding food and energy rose by 7.0% for Atlanta and 4.6% nationally. 

Because the Atlanta area has a smaller sample than the nation as a whole, the indexes are subject to greater variance than at the national level. As BLS points out, variance is a measure of the uncertainty caused by the use of a sample of retail prices, instead of the complete universe of retail prices. Users should exercise caution when using CPI estimates to make inferences about index changes for relatively short time periods, for individual goods and services, or for local areas. The standard errors of those estimates may be on the same order of magnitude as the estimates themselves; and, thus, few inferences about them are reliable. 

Wednesday, September 15, 2021

Atlanta area inflation: Consumer prices continue to rise, but at a slower rate in August

 

Consumer prices in the Atlanta metro area advanced 1.1 percent in the two months ending in August 2021, according to new information released by the U.S. Bureau of Labor Statistics for the Consumer Price Index for All Urban Consumers (CPI-U) for the Atlanta-Sandy Springs-Roswell, Ga., metropolitan area.

The two-month rise in prices was less than the two-month increases recorded earlier in the year for the February, April, and June periods. The CPI-U for the Atlanta area is published bi-monthly.

Food prices rose 0.6 percent over the two-month period ending in August, while energy prices increased 1.5 percent. Excluding food and energy, the index for all other items rose by 1.1 percent.

For the 12 months ending in August 2021, consumer prices in the Atlanta-Sandy Springs-Roswell, Ga., area rose by 6.6 percent, slightly less than the 12-month increase recorded in June.

Food prices increased 1.3 percent over the year and energy prices moved up by 26 percent. Excluding food and energy, the index for all other items rose by 5.8 percent for the 12 months ending in August, the same as the 12- month percentage increase recorded in June.

12-month inflation rates for selected items

Gasoline costs rose 51.7 percent in the 12 months ending in August 2021, compared to a 22.6 percent drop recorded in the previous 12-month period. The higher gasoline costs along with a 30.9 percent increase in the cost of used cars and trucks contributed to a 19.9 percent rise in the transportation index.

Costs for shelter, which includes both rent of primary residence as well as the owners’ equivalent rent of residences, increased 5.8 percent over the year.

Atlanta compared to United States

For the two months ending in August, consumer prices in the Atlanta area rose faster than the nation, with the U.S. index increasing by 0.7 percent compared to the 1.1 percent reported for the Atlanta metro area.

Food prices nationwide rose 1.1 percent over two months, while energy prices increased 2.5 percent. Excluding food and energy, the index for all other items moved up by 0.5 percent.

Over the past 12 months, the index for all items for the United States increased 5.3 percent, while consumer prices in the Atlanta area moved up by 6.6 percent.

Looking at the CPI over 24 months 

Disruption to consumers and businesses due to Covid-19 restrictions and shutdowns in 2020 resulted in consumers cutting back on some purchases while shifting expenditures for other purchases. 

Nationally, average annual expenditures for all consumer units in 2020 were $61,334, a 2.7-percent decrease from 2019, and the U. S Bureau of Labor Statistics reported that nine of the 14 major components of household spending decreased during 2020. 

As a result, there is some value in looking at consumer prices over a 24-month period in addition to the normal over-the-year report. 

Over the 24-month period from August 2019 to August 2021, consumer prices in the Atlanta metro area averaged 3.7 percent over each of the past two years, while nationally consumer prices averaged 3.3 per cent per year. 

Using the 3.7 percent average over each of the past two Augusts, consumer prices in the Atlanta area are at their highest 12-month level for an August period since August 2011, when the 12-month increase was 3.8 percent.

Tuesday, July 13, 2021

Inflation in Atlanta advances: Consumer prices rise 1.8 percent over 2 months, 6.7 percent over the year

 

Consumer prices in the Atlanta metro area advanced 1.8 percent in the two months ending in June 2021, according to new information released by the U.S. Bureau of Labor Statistics. The change was the largest two-month increase in the Consumer Price Index for All Urban Consumers for Atlanta-Sandy Springs-Roswell since June 2015. 

Food prices in the Atlanta area rose 1.4 percent, and energy prices increased 4.2 percent between April and June. The index for all items less food and energy increased 1.6 percent over the two-month period. 

Over the past 12 months, the rate of inflation in the Atlanta area was 6.7 percent, the largest 12-month increase since BLS began reporting bi-monthly data for the Atlanta CPI-U in 1999. Food prices rose 1.4 percent over the year, while energy prices increased 27.5 percent. The index for all items less food and energy advanced 5.8 percent. 

12-month inflation rates for selected major indexes 

Costs for food and beverages increased 1.7 percent, as prices for food at home rose 0.1 percent over the 12 months, while costs for food away from home increased 2.8 percent. 

Housing costs rose 4.1 percent with residential rents rising by 4.4 percent, and owners’ equivalent of rent costs increasing 3.9 percent. Costs for fuels and utilities were up 3.2 percent over the year, although electricity costs rose at a slower rate of 1.8 percent. 

Transportation costs increased 23.9 percent, as gasoline costs rose 59.3 percent over the year. Costs for new and used motor vehicles increased 23 percent. Excluding new vehicles, the cost for used cars and trucks was up 44.1 percent. 

Prices for medical care rose 0.3 percent for the 12 months ending in June, the lowest percentage increase of any of the major indexes. 

Looking at inflation over 24 months 

Disruption to consumers and businesses due to Covid-19 restrictions and shutdowns in 2020 appeared to have resulted in a significant decline in inflation rates as consumers cut back on their purchases. For example, the rate of inflation for the 12 months ending in June 2020 was 0.9 percent, a drop from the 1.1 percent increase recorded for the 12 months ending in June 2019. As a result, some of the inflation appearing currently is a catch-up of prices as business activity increases in 2021. 

One way of approaching this decline and then advance of prices is to take the measurement over two years, rather than a single year. For the two years ending in June 2021, the CPI-U for all items advanced 7.6 percent, or 3.8 percent each year over the past two years, a rate which is higher but still closer to the 12-month inflation rates appearing in 2017 for the Atlanta area. 

Using the same formula, the increase in inflation for all items less food and energy rose 8 percent over the past 24 months, or 4 percent each year. 

With the largest slowdowns of inflation occurring in the first half of 2020, the test of whether higher inflation rates are becoming embedded in the economy will come in future months as consumer prices reflect the gradual reopening of the economy that began in the fall of 2020. 

If the two-month increases remain at or above the 1.6 percent rates recorded for the Atlanta area in February and April 2021, then there will be more justification to be concerned over lingering inflation and its related problems. 

About the CPI for Atlanta 

The Consumer Price Index for All Urban Consumers (CPI-U) for Atlanta-Sandy Springs-Roswell measures a fixed market basket of goods and services for all urban consumers in the Atlanta statistical area. 

The Atlanta-Sandy Springs-Roswell, GA, Core Based Statistical Area is comprised of Barrow, Bartow, Butts, Carroll, Cherokee, Clayton, Cobb, Coweta, Dawson, DeKalb, Douglas, Fayette, Forsyth, Fulton, Gwinnett, Haralson, Heard, Henry, Jasper, Lamar, Meriwether, Morgan, Newton, Paulding, Pickens, Pike, Rockdale, Spalding, and Walton counties in Georgia.

For additional information, contact the U.S. Bureau of Labor Statistics Southeast Information Office.