Here Comes Gas? CPI for August

The Consumer Price Index (CPI) was released today and increased 0.4%, seasonally adjusted, but still down 1.5% from a year ago (not seasonally adjusted).

What's interesting are the gas details:

The 0.4 percent seasonally adjusted increase in the CPI-U was driven by a 9.1 percent rise in the gasoline index. This increase accounted for almost the entire advance in the energy index and over 80 percent of the overall increase. Despite the August increase, the gasoline index has fallen 30.0 percent over the last 12 months.

CPI August 2009

Src: Cleveland Fed

I surveyed the MSM on core inflation and deflation and hit a oh yeah moment with this linked AP isn't interesting that we have pretty much deflation on everything, including your car, yet education and health care costs are through the roof? Oh yeah. That's in line with actual costs.

Forum Categories: