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- Japan: Monetary Survey (Jun)
- China Regional: China: Beijing Household Expenditure and Income (Q2)
- New Zealand: Food Price Index, PMI, Main Benefits (Jul)
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Economy in Brief
U.S. Unemployment Claims Continue on an Uptrend
Initial claims for unemployment insurance filed in the week ended August 6 rose 14,000 to 262,000...
RICS Survey Points to More U.K. Housing Sector Weakness
The survey of housing market conditions in the U.K. continues to show strength in prices versus weakness...
U.S. CPI Unchanged in July with Drop in Energy Prices
Consumer prices were unchanged in July after an outsized 1.3% m/m jump in June...
U.S. Federal Government Budget Deficit Shrinks in July
The U.S. Treasury Department reported a federal budget deficit of $211.1 billion in July...
U.S. Mortgage Applications Rose Slightly in the Latest Week
Mortgage applications increased 0.2% (-62.9% y/y) from one week earlier...
Viewpoints
Commentaries are the opinions of the author and do not reflect the views of Haver Analytics.
by Tom Moeller June 15, 2005
The CPI-U fell 0.1% in May, the first m/m decline since last July and compared to Consensus expectations for a 0.1% rise. During the first five months of 2005 the CPI is up 4.7% at an annual rate.
Pricing power less food & energy continued modest. A 0.1% increase followed no change in April and during the first five months of this year the core CPI is up 2.4% at an annual rate. Consensus expectations had been for a 0.2% May increase.
The 0.2% increase in core goods prices recovered some of April's decline led by a 0.5% m/m gain in used car & truck prices and a 0.5% gain in medical care commodities. Apparel prices were unchanged (-0.8% y/y) following April's 0.6% decline and home furnishings & operation prices rose 0.6% (1.1% y/y) due to strength in the "other" category. New motor vehicle prices rose 0.1% (0.9% y/y).
Services price inflation eased from the low reading in April. Shelter prices were unchanged for the second consecutive month (2.4% y/y) and medical care services prices rose the same 0.3% as during April (5.0% y/y). Public transportation prices were strong for the third consecutive month though the 0.7% gain (3.5% y/y) was down from 1.7% and 1.3% during the prior two months. School tuition costs firmed 0.7% (6.7% y/y).
Energy prices fell 2.0% led by a 4.4% drop in gasoline prices which have fallen another 1.8% so far in June to an average $2.12 per gallon.
Food price inflation eased to 0.1% following the 0.7% jump in April.
The chained CPI which adjusts for shifts in the mix of consumer purchases was unchanged and less food & energy chain prices fell 0.1%.
Consumer Price Index | May | April | Y/Y | 2004 | 2003 | 2002 |
---|---|---|---|---|---|---|
Total | -0.1% | 0.5% | 2.8% | 2.7% | 2.3% | 1.6% |
Total less Food & Energy | 0.1% | 0.0% | 2.2% | 1.8% | 1.5% | 2.3% |
Goods less Food & Energy | 0.2% | -0.1% | 0.6% | -0.9% | -2.0% | -1.1% |
Services less Energy | 0.1% | 0.2% | 2.7% | 2.8% | 2.9% | 3.8% |
Energy | -2.0% | 4.5% | 9.8% | 10.9% | 12.2% | -5.9% |
Food | 0.1% | 0.7% | 2.4% | 3.4% | 2.1% | 1.8% |
Chained CPI: Total (NSA) | 0.0% | 0.5% | 2.5% | 2.3% | 2.0% | 1.3% |
Total less Food & Energy | -0.1% | 0.2% | 1.8% | 1.5% | 1.1% | 1.9% |