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14-1681-CHI

Wednesday, September 17, 2014

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Consumer Price Index, Chicago-Gary-Kenosha – August 2014


The Consumer Price Index for All Urban Consumers (CPI-U) in the Chicago-Gary-Kenosha area edged up 0.1 percent in August, the U.S. Bureau of Labor Statistics reported today. Regional Commissioner Charlene Peiffer noted that energy prices fell 3.0 percent while food prices were 0.4 percent higher in August. The all items less food and energy category increased 0.4 percent over the month. Among the indexes within the all items less food and energy category, prices were higher for apparel, shelter, and education and communication. (Data in this report are not seasonally adjusted. Accordingly, month-to-month changes may reflect the impact of seasonal influences.)

Over the last 12 months, the Chicago area all items CPI-U increased 1.9 percent. The energy index rose 7.0 percent since last August primarily due to increases in costs for electricity and utility (piped) gas service. The all items less food and energy index was 1.1 percent higher over the year.

Chart 1. Over-the-year percent change in CPI-U, Chicago-Gary-Kenosha

Food

Food prices increased 0.4 percent in August following no change in July. Of the two components within the food index, prices for food at home (groceries) rose 0.7 percent and prices for food away from home (restaurant, cafeteria, and vending purchases) were unchanged over the month. Within the food at home group, prices were higher for uncooked beef steak, uncooked ground beef, and milk. Prices were lower for candy and chewing gum and ham.

From August 2013 to August 2014, the food index increased 3.2 percent. Grocery food prices rose 3.2 percent over the year while prices for food eaten away from home increased 3.3 percent compared to last August.

Energy

The energy index was 3.0 percent lower in August following a 3.2-percent decrease in July. Within the energy category, prices fell for gasoline (-3.7 percent) and utility (piped) gas service prices (-5.4 percent). In contrast, electricity costs rose 1.1 percent over the month.

Overall energy prices were up 7.0 percent from August 2013 to August 2014. Over the year, the indexes for electricity and utility (piped) gas service rose 29.2 percent and 20.2 percent, respectively, while gasoline prices fell 5.2 percent.

All items less food and energy

The index for all items less food and energy increased 0.4 percent in August. Among the index’s components, prices were 4.3 percent higher for apparel, 0.3 percent higher for shelter, and up 0.5 percent for education and communication. In contrast, prices for household furnishings and operations were 1.0 percent lower over the month.

Over the year, the index for all items less food and energy increased 1.1 percent. A 1.9 percent annual increase in shelter costs was the major contributing factor. The indexes for education and communication (2.0 percent) and medical care (1.9 percent) also rose over-the year, but with less impact.

____________

The September 2014 Consumer Price Index for Chicago is scheduled to be released on October 22, 2014, at 7:30 a.m. (CT).


Table A. Percent Changes in the CPI-U, Chicago-Gary-Kenosha (not seasonally adjusted)
Expenditure Category Percent changes from preceding month 12 mo. ended Aug. '14
2014
Feb. Mar. Apr. May Jun. Jul. Aug.

All items

0.5 1.1 0.5 -0.1 0.4 -0.4 0.1 1.9

Food & beverages

1.1 0.3 0.2 0.5 -0.1 -0.1 0.5 3.1

Food

1.1 0.3 0.3 0.7 -0.1 0.0 0.4 3.2

Housing

0.2 1.4 0.7 -0.5 0.7 0.4 -0.1 3.5

Apparel

4.4 1.7 -1.4 0.2 -2.6 -3.7 4.3 -0.1

Transportation

0.5 3.1 1.4 -0.2 1.2 -2.9 -1.5 -1.8

Medical care

0.2 0.2 0.1 0.0 -0.2 0.6 0.3 1.9

Recreation

0.2 -0.2 -0.7 1.0 0.2 0.2 0.0 -0.3

Education & communication

0.6 0.0 0.4 0.1 0.2 -0.1 0.5 2.0

Other goods & services

-0.3 0.3 -0.2 -0.3 0.4 0.1 0.0 0.9

Special Indexes

Energy

2.0 11.7 4.2 -4.0 3.8(R) -3.2 -3.0 7.0

All items less food & energy

0.3 0.1 0.1 0.2 0.1 -0.2 0.4 1.1

Footnotes:
(R) Revised.

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 88 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 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 Chicago-Gary-Kenosha, Ill.-Ind.-Wis. consolidated area covered in this release is comprised of Cook, DeKalb, DuPage, Grundy, Kane, Kankakee, Kendall, Lake, McHenry, and Will Counties in Illinois; Lake and Porter Counties in Indiana; and Kenosha County in Wisconsin.

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

Chicago-Gary-Kenosha, IL-IN-WI (1982-84=100 unless otherwise noted)
Item and Group

Indexes
Percent change from-
Jun.
2014
Jul.
2014
Aug.
2014
Aug.
2013
Jun.
2014
Jul.
2014

Expenditure category

All items

230.477 229.633 229.753 1.9 -0.3 0.1

All items (1967=100)

688.569 686.047 686.408 - - -

Food and beverages

236.563 236.348 237.423 3.1 0.4 0.5

Food

235.841 235.736 236.640 3.2 0.3 0.4

Food at home

235.069 234.849 236.376 3.2 0.6 0.7

Food away from home

231.582 231.642 231.642 3.3 0.0 0.0

Alcoholic beverages

245.568 243.723 247.330 2.4 0.7 1.5

Housing

230.820 231.734 231.602 3.5 0.3 -0.1

Shelter

280.905 281.554 282.484 1.9 0.6 0.3

Rent of primary residence (1)

294.042 294.758 296.159 2.3 0.7 0.5

Owners' equiv. rent of residences (1) (2)

285.702 285.784 286.603 1.7 0.3 0.3

Owners' equiv. rent of primary residence (1) (2)

285.702 285.784 286.603 1.7 0.3 0.3

Fuels and utilities

220.019 221.793 217.919 20.6 -1.0 -1.7

Household energy

190.445 192.326 188.215 24.4 -1.2 -2.1

Energy services (1)

194.329 196.218 191.953 24.6 -1.2 -2.2

Electricity (1)

163.341 162.736 164.449 29.2 0.7 1.1

Utility (piped) gas service (1)

218.906 224.066 211.934 20.2 -3.2 -5.4

Household furnishings and operations

98.881 98.144 97.203 -3.1 -1.7 -1.0

Apparel

95.062 91.556 95.480 -0.1 0.4 4.3

Transportation

209.175 203.189 200.133 -1.8 -4.3 -1.5

Private transportation

205.855 200.217 197.286 -1.9 -4.2 -1.5

Motor fuel

355.036 331.359 318.996 -5.0 -10.2 -3.7

Gasoline (all types)

351.358 327.852 315.586 -5.2 -10.2 -3.7

Gasoline, unleaded regular (3)

345.272 321.346 309.435 -5.5 -10.4 -3.7

Gasoline, unleaded midgrade (3) (4)

368.054 346.506 332.780 -3.9 -9.6 -4.0

Gasoline, unleaded premium (3)

339.232 320.862 308.619 -4.3 -9.0 -3.8

Medical care

447.858 450.545 451.769 1.9 0.9 0.3

Recreation (5)

109.770 109.969 110.018 -0.3 0.2 0.0

Education and communication (5)

141.525 141.401 142.154 2.0 0.4 0.5

Other goods and services

383.966 384.356 384.271 0.9 0.1 0.0

Commodity and service group

All items

230.477 229.633 229.753 1.9 -0.3 0.1

Commodities

176.652 174.316 174.380 0.0 -1.3 0.0

Commodities less food & beverages

144.820 141.636 141.257 -2.0 -2.5 -0.3

Nondurables less food & beverages

198.381 192.269 191.869 -1.7 -3.3 -0.2

Durables

93.641 93.230 92.873 -3.0 -0.8 -0.4

Services

281.489 282.051 282.225 3.0 0.3 0.1

Special aggregate indexes

All items less medical care

221.197 220.195 220.267 1.9 -0.4 0.0

All items less shelter

213.749 212.372 212.208 1.8 -0.7 -0.1

Commodities less food

148.761 145.587 145.313 -1.8 -2.3 -0.2

Nondurables

219.253 215.885 216.186 0.7 -1.4 0.1

Nondurables less food

202.104 196.186 196.000 -1.5 -3.0 -0.1

Services less rent of shelter (2)

296.849 297.348 296.722 4.2 0.0 -0.2

Services less medical care services

268.718 269.227 269.303 3.2 0.2 0.0

Energy

254.057 245.995 238.682 7.0 -6.1 -3.0

All items less energy

230.222 229.879 230.710 1.4 0.2 0.4

All items less food and energy

230.023 229.635 230.456 1.1 0.2 0.4

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) Index is on a December 1982=100 base.
(3) Special index based on a substantially smaller sample.
(4) Indexes on a December 1993=100 base.
(5) Indexes on a December 1997=100 base.

- Data not available
NOTE: Index applies to a month as a whole, not to any specific date.