The average cost of a market basket of goods and services in the United States remained flat in December, according to the U.S. Bureau of Labor Statistics' Consumer Price Index (CPI). The December CPI level was 226.747 which is an increase of 3.0 percent over the past year.
On a seasonally adjusted basis, the Consumer Price Index for all Urban Consumers (CPI-U) remained flat for a second straight month. Core CPI, which excludes food and energy, gained 0.1 percent in December. Core CPI has grown 2.2 percent over the past 12 months. The energy index declined for a third straight month by 1.3 percent in December. The fuel oil index declined by 1.0 percent, returning it to declines after one month of growth. The food index grew by 0.2 percent in December, helped by 0.3 percent growth in food at home and 0.2 percent growth in food away from home.
The apparel index declined 0.1 percent arresting two months of growth. New vehicle prices declined 0.2 percent in December. Used cars and trucks declined by 0.9 percent marking four months of decline. The transportation services index gained 0.1 percent and medical care services increased 0.4 percent. The shelter index increased 0.2 percent and the overall services index gained 0.3 percent.
The CPI is based on prices of food, clothing, shelter, fuels, transportation fares, doctors' and dentists' services, prescription drugs, and other goods and services that people buy for day-to-day activities. Prices are collected in 87 urban areas across the country (including Kansas City and St. Louis) from about 50,000 housing units and approximately 23,000 stores, hospitals and other types of service establishments.
The actual index is expressed as a number derived by comparing the current cost of goods and services to the cost of the same items between 1982 and 1984. The reference year is assigned a value of 100. Subsequent indices are expressed as a percentage of the base year.
