The U.S. Bureau of Labor Statistics released fresh inflation figures Tuesday, showing inflation peaked in January.
The BLS Consumer Price Index rose 0.5% last month, part of a 6.4% increase over the last year. January’s rate is not as high as the peak inflation spikes in recent years, but it is still well above the increases considered advantageous by most economists.
“The index for shelter was by far the largest contributor to the monthly all items increase, accounting for nearly half of the monthly all items increase, with the indexes for food, gasoline, and natural gas also contributing,” BLS said. “The food index increased 0.5 percent over the month, with the food at home index rising 0.4 percent. The energy index increased 2.0 percent over the month as all major energy component indexes rose.”
Initially, BLS reported a decrease of 0.1% in consumer prices for December, but they later revised their numbers to show a 0.1% increase that month.
Food and energy costs have outpaced the overall trends, with food rising 10.1% in the last year and energy costs rising 8.7%.
Price changes in January varied by category.
“Categories which increased in January include the shelter, motor vehicle insurance, recreation, apparel, and household furnishings and operations indexes,” BLS said. “The indexes for used cars and trucks, medical care, and airline fares were among those that decreased over the month.”