January 2024 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) increased 0.3 percent in January on a seasonally adjusted basis, after rising 0.2 percent in December, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index increased 3.1 percent before seasonal adjustment.

The index for shelter continued to rise in January, increasing 0.6 percent and contributing over two thirds of the monthly all items increase. The food index increased 0.4 percent in January, as the food at home index increased 0.4 percent and the food away from home index rose 0.5 percent over the month. In contrast, the energy index fell 0.9 percent over the month due in large part to the decline in the gasoline index.

The index for all items less food and energy rose 0.4 percent in January. Indexes which increased in January include shelter, motor vehicle insurance, and medical care. The index for used cars and trucks and the index for apparel were among those that decreased over the month.

The all items index rose 3.1 percent for the 12 months ending January, a smaller increase than the 3.4-percent increase for the 12 months ending December. The all items less food and energy index rose 3.9 percent over the last 12 months, the same increase as for the 12 months ending December. The energy index decreased 4.6 percent for the 12 months ending January, while the food index increased 2.6 percent over the last year.

Food

The food index rose 0.4 percent in January, and the food at home index also increased 0.4 percent over the month. Four of the six major grocery store food group indexes increased over the month. The index for other food at home, which contains the index for sugar and sweets, the index for fats and oils, and the index for other foods, rose 0.6 percent in January. The nonalcoholic beverages index rose 1.2 percent over the month, and the fruits and vegetables index increased 0.4 percent. The index for dairy and related products increased 0.2 percent in January. In contrast to these increases, the cereals and bakery products index declined 0.2 percent in January. The index for meats, poultry, fish, and eggs was unchanged over the month.

The food away from home index rose 0.5 percent in January. The index for full service meals rose 0.4 percent and the index for limited service meals increased 0.6 percent over the month.

The food at home index rose 1.2 percent over the last 12 months. The index for other food at home rose 2.6 percent over the 12 months ending in January. The index for nonalcoholic beverages rose 3.4 percent over the last 12 months and the index for cereals and bakery products increased 1.5 percent over that period. The fruits and vegetables index rose 1.1 percent over the 12 months ending in January. In comparison, the meats, poultry, fish, and eggs index decreased 0.9 percent over the year, and the dairy and related products index fell 1.1 percent.

The index for food away from home rose 5.1 percent over the last year. The index for limited service meals rose 5.8 percent over the last 12 months, and the index for full service meals rose 4.3 percent over the same period.

Energy

The energy index fell 0.9 percent in January, as its component indexes were mixed. The gasoline index decreased 3.3 percent in January. (Before seasonal adjustment, gasoline prices fell 1.5 percent in January.) The fuel oil index decreased 4.5 percent in January. In contrast, the electricity index rose 1.2 percent in January and the natural gas index increased 2.0 percent over the month.

The energy index fell 4.6 percent over the past 12 months. The gasoline index decreased 6.4 percent, the natural gas index declined 17.8 percent, and the fuel oil index fell 14.2 percent over this 12-month span. In comparison, the index for electricity rose 3.8 percent over the last year.

All items less food and energy

The index for all items less food and energy rose 0.4 percent in January. The shelter index increased 0.6 percent in January, and was the largest factor in the monthly increase in the index for all items less food and energy. The index for owners' equivalent rent rose 0.6 percent over the month, while the index for rent increased 0.4 percent. The lodging away from home index increased 1.8 percent in January.

The motor vehicle insurance index increased 1.4 percent in January, and the recreation index rose 0.5 percent in January. Among other indexes that rose in January were communication, personal care, airline fares, and education.

The medical care index rose 0.5 percent in January. The index for hospital services increased 1.6 percent over the month and the index for physicians' services increased 0.6 percent. The prescription drugs index fell 0.8 percent in January.

The index for used cars and trucks fell 3.4 percent in January. The apparel index also decreased, falling 0.7 percent over the month. The index for new vehicles was unchanged in January.

The index for all items less food and energy rose 3.9 percent over the past 12 months. The shelter index increased 6.0 percent over the last year, accounting for over two thirds of the total 12-month increase in the all items less food and energy index. Other indexes with notable increases over the last year include motor vehicle insurance (+20.6 percent), recreation (+2.8 percent), personal care (+5.3 percent), and medical care (+1.1 percent).

Not seasonally adjusted CPI measures

The Consumer Price Index for All Urban Consumers (CPI-U) increased 3.1 percent over the last 12 months to an index level of 308.417 (1982-84=100). For the month, the index increased 0.5 percent prior to seasonal adjustment.

The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased 2.9 percent over the last 12 months to an index level of 302.201 (1982-84=100). For the month, the index increased 0.5 percent prior to seasonal adjustment.

The Chained Consumer Price Index for All Urban Consumers (C-CPI-U) increased 2.8 percent over the last 12 months. For the month, the index increased 0.5 percent on a not seasonally adjusted basis. Please note that the indexes for the past 10 to 12 months are subject to revision.

Changes to Used Cars and Trucks Methodology

With the release of January 2024 data, the CPI program updated the mileage adjustment applied to each sampled used vehicle in the used cars and trucks index. Historically, a single, stable mileage amount estimated for a given make and model was applied to each sampled vehicle and was unchanged throughout the year. The assigned mileage amount is now replaced with a monthly average mileage amount based on the age of the sampled used vehicle, and not the make and model. Each estimated price for a sampled used vehicle is still adjusted for depreciation.

In addition, seasonally adjusted indexes as well as calculated seasonal adjustment factors take the new methodology into account beginning in 2024. Revised seasonal factors are available at www.bls.gov/cpi/seasonal-adjustment/home.htm.

Details on the new method are available on the Measuring Price Change in the CPI: Used cars and trucks factsheet (www.bls.gov/cpi/factsheets/used-cars-and-trucks.htm).