Area inflation hits a 13-year high
Inflation hit a 13-year high in Los Angeles and Orange counties in August thanks to surging gas prices, according to the Consumer Price Index.
Local inflation ran at an annual pace of 4% — the highest O.C.-L.A. rate for an August since 2008. Yet the local cost-of-living jump is slower than the nation’s 5.3% pace for August.
L.A.-O.C. had the fifth-lowest inflation rate, when you look at the latest inflation reports for the 23 metropolitan areas tracked by the Bureau of Labor Statistics.
Inland Empire: Inflation was up 6.5% two months ago, the latest bi-monthly reading of overall
inflation for Riverside and San Bernardino counties.
Other metros in the West:
Bay Area inflation rose at a 3.7% rate in August while Seattle was up 5.2% and Phoenix up 5.1%.
Extremes: Highest? Atlanta, St. Louis, and Tampa at 6.6%. Lowest? Denver at 3.5%.
Details
Inside the L.A.-O.C. report for August, we see in the CPI math for the last 12 months …
Fuel: Gasoline cost 35.7% more. Household energy costs were 12.3% less.
Food: Groceries rose 3.9%, and dining out was 4.2% pricier.
Housing: Overall, this expense rose 1.8%; rent was 1% pricier.
Medical: Hospital and doctor bills were 0.6% costlier.
All local services: 2.2% pricier.
Apparel: Clothing was 2.7% costlier.
Big-ticket items: The cost of “durable goods” (such as appliances and furniture) was 9.3% higher.
Vehicles: New? 8% pricier. Used? 31% pricier.
Bottom line
Imagine the local inflation rate when the housing slice of this inflation index catches up with what’s been a summer for big rent hikes. And what will happen to interest rates if inflation continues to jump?