Consumer Price Index Shows Strong Increase

Mar 17, 2011, 14:11

The consumer price index, or "CPI" crept higher in February, pushed by an increase of nearly 5 percent for the price of gasoline, the U.S. Bureau of Labor Statistics said.

Prices for all consumer items rose 0.5 percent over January, the Bureau of Labor Statistics reported Thursday. In the past 12 months, the consumer price index rose 2.1 percent for all items.

Gasoline prices rose 4.8 percent in the month and 19.2 percent over the past 12 months, the bureau said.

The annual rate of inflation remains less than the U.S. Federal Reserve's target rate of 2 percent.

Core prices in February, which exclude the volatile categories of food and energy, rose 0.2 percent from January and rose at an annual rate of 1.1 percent.

For all energy costs, prices rose 3.4 percent in the month, a solid increase from the 2.1 percent gain a month ago.

Food price inflation was at 0.6 percent for the month, 2.3 percent over the past 12 months.

Source: UPI