Consumer Price Index - January

The Consumer Price Index showed that inflation was higher than expected in January, particularly for food and fuel. From the CPI summary:

On a seasonally adjusted basis, the CPI-U increased 0.4 percent in January. The indexes for food and for energy each advanced 0.7 percent, following increases in December of 0.1 and 1.7 percent, respectively. The index for all items less food and energy rose 0.3 percent, following increases of 0.2 percent in each of the preceding nine months. The January advance reflects larger increases than in December in the indexes for apparel, for medical care, for recreation, for education and communication, and for other goods and services. The food and beverages index rose 0.7 percent in January, up from 0.1 in December and the largest monthly increase since last February. The index for food at home advanced 0.9 percent, following virtually no change in ecember. The index for fruits and vegetables increased 2.2 percent in January, following a decline of 0.3 percent in December. The indexes for fresh vegetables, for fresh fruits, and for processed fruits and vegetables increased 3.3, 1.8, and 0.7 percent, respectively. The index for meats, poultry, fish, and eggs advanced 0.8 percent in January, following a decrease of 0.1 percent in December. Prices for poultry, for fish and seafood, for pork, and for other meats each increased, while beef prices were virtually unchanged. The index for dairy products rose 0.2 percent after a 0.2 percent decrease in December as a 2.1 percent increase in cheese prices more than offset a small decline in milk prices. The index for nonalcoholic beverages rose 1.6 percent in January, reflecting increases in prices for carbonated drinks and for coffee. The indexes for cereal and bakery products and for other food at home rose 0.6 and 0.4 percent, respectively. The other two components of the food and beverages index--food away from home and alcoholic beverages--each increased 0.4 percent.