Skip to comments.US Consumer Prices Up Because of Higher Gas Costs
Posted on 03/17/2012 5:26:32 PM PDT by NoLibZone
A sharp jump in gas prices drove a measure of U.S. consumer costs up in February. But outside higher pump prices, inflation stayed mild.
The Labor Department said Friday that the consumer price index rose 0.4 percent in February, the largest increase in 10 months. Gas prices rose 6 percent to account for most of the gain.
Food prices were unchanged for the first time in 19 months. And excluding food and energy, so-called "core" prices rose just 0.1 percent.
Mild inflation allows the Fed to maintain its low interest-rate policy.
"Not much to stew about on the inflation front," Robert Kavcic, an economist at BMO Capital Markets, wrote in a note to clients.
Most economists expect inflation to remain in check this year. The prices of agricultural commodities such as corn and cotton have come down. And while more Americans are working, few are getting big pay raises. That has limited retailers' ability to charge more.
In the past 12 months, consumer prices have risen 2.9 percent, the same year-over-year change as last month. Core prices have increased 2.2 percent over the same period. That's lower than January's year-over-year figure.
Still, gas prices keep rising. The jump at the pump could slow growth if consumers are forced to cut back on other purchases. The average price for a gallon of gas on Friday was $3.83, according to AAA. That's 32 cents higher than a month ago.
The Fed noted the increase Tuesday after its one-day policy meeting. Fed policymakers said they expect rising energy prices to temporarily boost inflation but longer-term inflation should remain stable. The Fed also reiterated its plan to keep its short-term interest rates near zero until at least 2014.
(Excerpt) Read more at breitbart.com ...
Perhaps one of our candidates may explain this point to people?
Obama wants $8-gallon gas. His energy secretary does. That not only means you pay double for gas what it is now, every other thing you buy - groceries, clothing, office supplies, toys, computers, mostly anything we purchase - it is all going to cost a lot more because the cost to transport these goods to stores are going to skyrocket with $8 per gallon gas.
One word explanation:
Two word explanation:
This could slow down the economy
US Consumer Prices Up Because of Higher Gas Costs
Wrong. Consumer AND gas prices are higher because of the ignorant socialist a$$ clown in the White House.
Gas in California is $4.39/gallon!! (because we have the highest gas tax in the nation @ 65 cents/gallon). The lefties have ruined this state.
I remember Rush saying years ago: Keep your eye on the price of gas, when it goes up EVERYTHING goes up.
Also, be sure to keep your cars behind locked gates or in a locked garage at night (this is what we do) or buy a locking gas cap — gas theft is becoming a problem in SoCalifornia.
And just who are you going to believe ... Bureau of Lying Statistics or your lying eyes?
The locking gas cap may not work in urban areas. The latest trick is to slide a pan under the tank, punch a hole in the gas tank and drain the tank. Creative creatures those urban cowboys.
Countdown until Jackwagon leaves Office: 309 days as of March 17, 2012.
“Also, be sure to keep your cars behind locked gates or in a locked garage at night (this is what we do) or buy a locking gas cap gas theft is becoming a problem in SoCalifornia.”
And you have to stay home to make sure that someone doesn’t stop by and “lift” all your copper plumbing and electrical while you are away. But hey, with gas here where I live topping $4.50 a gallon, who can afford to go anywhere anyway. Now is that Obama guy smart.
LoL— the copper wiring was stripped out of ALL of the air conditioning units at the school where I teach one night — ALL of the units had to be replaced!!
Oh, yes I’ve heard!! They drill holes right in the side of the car to get to the tank — bastards!! Hope a few of them blow themselves up!!
Gas today: $4.39/gallon.
Had a lot of problems with air conditioner theft last year in Memphis, but I have not had any problem myself. Got a pack of 4 yellow labs patrolling my back yard seems to keep the thieves at bay.
brace yourself for the Misery Index tsunami Barry...
“Fed policymakers said they expect rising energy prices to temporarily boost inflation but longer-term inflation should remain stable.”
Fed policymakers OF ALL PEOPLE should know that rising prices DO NOT BOOST INFLATION!! Inflation CAUSES rising prices inflation DOES NOT result FROM rising prices. They don’t know cause from effect. Heavy rain causes flooding but at least the weatherman has the brains to know that the flooding doesn’t cause the rain.