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In July 2022, the Consumer Price Index for all Urban Consumers (CPI-U) was unchanged on a seasonally adjusted basis, after a 1.3% rise June. However, the all items index has risen by 8.5% during the past 12 months. In June, the year over year (YOY) increase was 9.1%.

The gasoline index fell by 7.7% percent in July. This offset increases in the food and shelter indexes, which were up by 1.1% and 0.5%, respectively, for the month.

Key Takeaways

  • In July 2022, consumer prices, as measured by the CPI-U, were unchanged from June.
  • A decline in the price of gasoline offset increases in the cost of food and shelter.
  • However, the CPI-U ended July up by 8.5% over the past 12 months.
  • In June, the YOY increase was 9.1%.

All Items Less Food and Energy

The index for all items less food and energy was up by 0.3% in July, less than the increases for April, May, and June. The figures for those months were, respectively, 0.6%, 0.6%, and 0.7%. Food and energy tend to be among the volatile elements of the CPI-U, so stripping them out is frequently used as a more reliable measure of core inflation.

The 0.3% advance in the index for all items less food and energy matches the low for 2022, recorded in March. This figure was up by 0.6% and 0.5%, respectively, in January and February.

Energy Prices

Overall, the energy index fell by 4.6% in July, its biggest monthly decline so far in 2022. As noted above, gasoline was down by 7.7%. Fuel oil dropped by 11.0%, energy commodities by 7.6%, and piped utility natural gas service by 3.6%. However, electricity rose by 1.6% for the month, its sixth monthly increase in the first seven months of 2022.

Compared to July 2022, overall energy prices are up by 32.9%. The 12-month increases in its key components are: gasoline, 44.0%; energy commodities, 44.9%; fuel oil, 75.6%; electricity, 15.2%; and piped utility gas service, 18.8%.

Food Prices

The overall increase of 1.1% in food prices in July was the result of a 1.3% rise in food at home and an 0.7% rise in food away from home. Both food categories have increased in each month of 2022 and are up YOY by 10.9% and 13.1%, respectively.

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