August 2017 Consumer Price Index

Historical release narrative reproduced from the official public-domain source. Statistical tables, standard technical appendices, administrative material and attendance rosters are omitted; formatting is adapted for reading. Figures retain the release's historical context and may have been revised. Consult the linked source for the complete document.

The Consumer Price Index for All Urban Consumers (CPI-U) rose 0.4 percent in August on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index rose 1.9 percent.

Increases in the indexes for gasoline and shelter accounted for nearly all of the seasonally adjusted increase in the all items index. The energy index rose 2.8 percent in August as the gasoline index increased 6.3 percent. The shelter index rose 0.5 percent in August with the rent index up 0.4 percent. The food index rose slightly in August, with the index for food away from home increasing and the food at home index declining.

The index for all items less food and energy rose 0.2 percent in August. Along with the shelter index, the indexes for motor vehicle insurance, medical care, and recreation all increased in August. The indexes for airline fares and for used cars and trucks were among those that declined in August.

The all items index rose 1.9 percent for the 12 months ending August, a larger increase than the 1.7 percent increase for the 12 months ending July. The 12-month change in the index for all items less food and energy remained at 1.7 percent for the fourth month in a row. It has remained in the range of 1.6 percent to 2.3 percent since June 2011. The energy index rose 6.4 percent over the past 12 months, and the food index increased 1.1 percent.

HURRICANE HARVEY

Hurricane Harvey had a very small effect on survey response rates in August. Price collection late in the month was disrupted in 2 of the 87 collection areas.

Seasonally adjusted changes from preceding month Un- adjusted 12-mos. Feb. Mar. Apr. May June July Aug. ended 2017 2017 2017 2017 2017 2017 2017 Aug. 2017

Food

The food index rose 0.1 percent in August following a 0.2-percent increase in July. The index for food at home declined 0.2 percent after rising 0.2 percent the prior month. Five of the six major grocery store food group indexes fell, with the indexes for dairy and related products and for nonalcoholic beverages both declining 0.4 percent. The index for meats, poultry, fish, and eggs fell 0.2 percent, as did the fruits and vegetables index; both indexes increased in July. The index for other food at home fell 0.1 percent in August.

The only major grocery store food group index to rise in August was the index for cereal and bakery products, which rose 0.3 percent after declining in July. The index for food away for home also increased, rising 0.3 percent.

Over the last 12 months, the index for food at home rose 0.3 percent. Four of the six major grocery store food group indexes increased, but none more than 1.0 percent. The indexes for cereals and bakery products and for nonalcoholic beverages fell slightly over the span. The index for food away from home rose 2.2 percent over the last year.

Energy

The energy index rose 2.8 percent in August, its largest monthly increase since January. The gasoline index increased 6.3 percent after being unchanged in July. (Before seasonal adjustment, gasoline prices increased 3.9 percent in August.) However, the index for natural gas continued to decline, falling 0.5 percent in August after a 2.3-percent decrease in July. The electricity index was unchanged in August following an increase in July.

The major energy component indexes all continued to show increases over the past 12 months. The gasoline index increased 10.4 percent, the index for natural gas rose 5.4 percent, and the index for electricity advanced 2.3 percent.

All items less food and energy

The index for all items less food and energy increased 0.2 percent in August. The shelter index was the main contributor to the rise, increasing 0.5 percent, its largest increase since October 2005. The rent index increased 0.4 percent, and the index for owners' equivalent rent rose 0.3 percent. The index for lodging away from home rose sharply, increasing 4.4 percent after decreasing 4.2 percent in July.

The motor vehicle insurance index continued to rise, increasing 1.0 percent in August. The recreation index also increased in August, rising 0.2 percent. The medical care index rose 0.1 percent in August. The index for physicians' services advanced 0.4 percent, and the hospital services index increased 0.2 percent. The apparel index rose 0.1 percent in August, as did the indexes for alcoholic beverages and for household furnishings and operations. The index for new vehicles was unchanged in August after declining in July.

The index for airline fares, which rose 0.7 percent in July, fell 1.0 percent in August. The index for used cars and trucks continued to decline, falling 0.2 percent. The indexes for tobacco, for education, for wireless telephone services, and for personal care all declined 0.1 percent over the month.

The index for all items less food and energy rose 1.7 percent over the past 12 months. The index for motor vehicle insurance rose 8.1 percent over the last year. The shelter index rose 3.3 percent, with the rent index increasing 3.9 percent, the index for owners' equivalent rent rising 3.3 percent, and the lodging away from home index advancing 0.2 percent. The medical care index rose 1.8 percent. Several indexes declined over the past 12 months, including those for wireless telephone services (-13.2 percent), used cars and trucks (-3.8 percent), airline fares (-3.2 percent), new vehicles (-0.7 percent), and apparel (-0.6 percent).

Not seasonally adjusted CPI measures

The Consumer Price Index for All Urban Consumers (CPI-U) increased 1.9 percent over the last 12 months to an index level of 245.519 (1982-84=100). For the month, the index increased 0.3 percent prior to seasonal adjustment.

The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased 1.9 percent over the last 12 months to an index level of 239.448 (1982-84=100). For the month, the index increased 0.3 percent prior to seasonal adjustment.

The Chained Consumer Price Index for All Urban Consumers (C-CPI-U) increased 1.8 percent over the last 12 months. For the month, the index increased 0.3 percent on a not seasonally adjusted basis. Please note that the indexes for the past 10 to 12 months are subject to revision.

Consumer Price Index Geographic Revision for 2018

In January 2018, BLS will introduce a new geographic area sample for the Consumer Price Index (CPI). The 2018 revision utilizes the 2010 Decennial Census and incorporates an updated area sample design, changes the frequency of publication for several local area indexes, and establishes some new local area and aggregate indexes. The first indexes using the new structure will be published in February 2018. Additional information on the geographic revision is available at: www.bls.gov/cpi/georevision2018.htm. ----------------------------------------------------------------------------------