By Nick Dobbins
August 2020
The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.4 % in August on a seasonally adjusted basis after rising 0.6 % in July the U.S. Bureau of Labor Statistics reported today. The increase was broad-based; a sharp rise in the used cars and trucks index was the largest factor, but the indices for gasoline, shelter, recreation, and household furnishings and operations also contributed. The energy index rose 0.9 % as the gasoline index rose 2.0 %. The food index rose 0.1 % after falling in July; an increase in the food away from home index more than offset a slight decline in the food at home index. The index for all items less food and energy rose 0.4 % after increasing 0.6 % in July. The sharp rise in the index for used cars and trucks accounted for over 40 % of the increase; the indices for shelter, recreation, household furnishings and operations, apparel, motor vehicle insurance, and airline fares also rose. The indices for education and personal care were among the few to decline.
The all items index increased 1.3 % for the 12 months ending August. This figure has been rising since the period ending May 2020, when the 12-month increase was 0.1 %. The index for all items less food and energy increased 1.7 % over the last 12 months. The food index increased 4.1 %, with the index for food at home rising 4.6 percent. Despite recent monthly increases, the energy index fell 9.0 % over the last 12 months.
