cpi

How 'Chained CPI' Will Hit Your Pocketbook

Obama's new budget proposal includes changing some key inflation calculations to "chained CPI" -- a controversial shift because of the effect it may have on personal finances.

U.S. Consumer Prices Flat in January for 2nd Month

U.S. consumer prices were flat last month, the latest sign inflation is in check. That could give the Federal Reserve leeway to continue its efforts to stimulate growth. Excluding the volatile food and energy categories, core prices rose 0.3 percent in January, pushed up by higher costs for apparel, air fares and rents.

U.S. Consumer Price Index Unchanged in December

Lower gas costs offset more expensive food and higher rents to keep a measure of U.S. consumer prices flat last month. The Labor Department said Wednesday that food prices increased 0.2 percent in December from November. Rents and airline fares also rose. Gasoline prices fell a seasonally adjusted 2.3 percent.

CPI Up 0.1% as Rent and Food Costs Rise, Gas Prices Fall

Rising food costs and higher rents offset a drop in gas prices last month, leaving consumer inflation all but flat in October. The consumer price index rose a seasonally adjusted 0.1 percent, after sharp 0.6 percent gains in the previous two months driven by a spike in gas prices that has since receded.

Falling Gas Keeps U.S. Consumer Prices Flat in June

U.S. consumer prices were flat in June as the cost of gasoline dropped, offering some relief for cash-strapped Americans and scope for the Federal Reserve to ease monetary policy further to help the faltering recovery.

Labor's Fall -- Not Oil's Rise -- Is Key to Inflation

Despite all the worry over the impact of rising oil prices, recall that the U.S. is now a largely services-based economy, and observe that the rising wages that have led to real overall cost rises in decades past are nowhere to be found today. Exhibit A is in Wisconsin.

Why a Little Inflation Is a Good Thing for Americans

Inflation has inched higher in the past six months, but that's not a danger sign, but rather a harbinger of improving economic conditions and a strengthening recovery. And that, in turn, should lead to higher wages and more hiring in the year ahead.

Is Inflation Really 1.6%, or Is the BLS Getting Scammed?

Government measures show that inflation, at 1.6% in January, is still below the Fed's target of 2%. But commodity prices are soaring, and anyone who pays their household bills knows that food and energy prices are rising because of it. Is the Consumer Price Index getting it wrong?

Inflation Could Be a Lot Higher Than We Think

The Fed's next consumer price report out Thursday is likely to show a scant 0.3% rate in January. So why does it feel like prices everywhere are climbing noticeably? A different way of measuring inflation from MIT's Billion Prices Project provides an answer.

Can the U.S. Sidestep Growing Global Inflation?

Rising food and energy prices will likely hit America the same way they've hit other countries. Other inflationary forces are more variable from nation to nation. Still, the U.S. can't fully escape rising prices, especially when it comes those common consumer necessities.

Treasury TIPS: A Looming Disaster for Small Investors

Hoping to add some safety against inflation to their portfolios, many folks have been investing in Treasury inflation-protected securities -- TIPS. So now that inflation is on the horizon, they should be sitting pretty, right? Unfortunately not. Here's why.

Week in Preview: First Earnings Reports and Economic Readings

Alcoa, Intel and JPMorgan Chase will kick off a new earnings season this week when they report their results for the fourth quarter of 2010. Here's a quick look at what analysts surveyed by Thomson Reuters expect to see, followed by a glance at what's coming up on the economic calendar.

Annual Core Inflation Falls to Record Low

The nation's struggle to prevent deflation is apparently only just beginning. The 12-month core rate (excluding food and energy prices) fell to a record low 0.6% from 0.8% in September. The Fed clearly has more work to do in its battle against deflation.

Squeezing Seniors: Social Security Stays Flat as Prices Rise

Besides the unemployed, nobody is getting hurt worse in this economy than seniors. Prices on many commodities are skyrocketing, but the Consumer Price Index, which is the yardstick used to adjust Social Security for inflation, is virtually unchanged.