Midwest CPI impacted by 14% drop in motor fuel prices

The Midwest Consumer Price Index dropped 0.7 percent November to December, largely due to a 14 percent decrease in motor fuel prices.

The index for the region, which includes Missouri, moved down to 222.82 last month, compared to 224.40 in November, according a U.S. Bureau of Labor Statistics news release.

The CPI – which shows price changes for energy, food and all other items – is measured in comparison to a base period of 1982-84. A typical market basket of goods and services that cost $100 in 1982-84 cost $222.82 last month. The index is not seasonally adjusted, and items are weighted based on their spending significance in certain areas, according to the BLS.

Marking its sixth consecutive monthly decrease, the energy index fell 6.5 percent in December compared to the prior month. Partially offsetting the motor fuel price drop were increases in electricity prices, at 1.5 percent, and costs for piped utility gas service, up 3.2 percent, according to the release.

The food index increased by 0.3 percent in December, with costs for food at and away from home both rising by 0.3 percent.

In the all other items category, a 0.2 percent drop was led by a 3.6 percent decrease in apparel costs and 1.7 percent dip in used cars and trucks. In contrast, medical care and recreation prices rose by 0.2 percent apiece, according to release.

Compared to the same month in 2013, the December Midwest CPI was up 0.7 percent, the BLS reports.[[In-content Ad]]