Consumer Price Index For July 2008 Rises Again

Consumer Price Index at 3.4% for July 2008

All I can say is “Uh Oh”, with the CPI numbers for July 2008 being released by Stats Canada.

July saw the highest 12-month increase since March 2003. A climb in gasoline prices was the primary source of higher consumer prices in July. The 12-month variation in the Consumer Price Index (CPI) and the gasoline price index have been increasing at a faster pace over the past four months.

Inflation without gas prices included in it, is at 2.1%, which isn’t as bad, but it is still startling to see these numbers jumping up.

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This means other prices are going up but not as dramatically, but this is very worrying and I wonder what the Bank of Canada may do about this? Gas prices seem to have plateau'ed for now, but what is going to happen this fall?

More information after the BIG table 🙂

Consumer Price Index and major components
(2002=100)
	Relative importance1	July 2008	June 2008	July 2007	June to July 2008	July 2007 to July 2008
		Unadjusted
					% change
All-items	100.002	115.8	115.4	112.0	0.3	3.4
Food	17.04	116.5	115.8	112.3	0.6	3.7
Shelter	26.62	123.3	122.3	117.0	0.8	5.4
Household operations and furnishings	11.10	104.4	104.3	103.2	0.1	1.2
Clothing and footwear	5.36	93.3	92.5	94.6	0.9	-1.4
Transportation	19.88	125.7	125.8	118.5	-0.1	6.1
Health and personal care	4.73	108.5	108.7	107.5	-0.2	0.9
Recreation, education and reading	12.20	103.2	102.9	103.0	0.3	0.2
Alcoholic beverages and tobacco products	3.07	127.6	127.7	126.0	-0.1	1.3
All-items (1992=100)		137.8	137.3	133.3	0.4	3.4
Special aggregates
Goods	48.78	112.1	111.6	108.6	0.4	3.2
Services	51.22	119.4	119.1	115.3	0.3	3.6
All-items excluding food and energy	73.57	110.4	110.3	109.1	0.1	1.2
Energy	9.38	169.1	165.3	139.6	2.3	21.1
Core CPI	82.71	111.7	111.6	110.0	0.1	1.5
1. 2005 CPI basket weights at April 2007 prices, Canada : Effective May 2007. Detailed weights are available under the Documentation section of surve 2301 (www.statcan.gc.ca/english/sdds/index.htm). 2. Figures may not add to 100% due to rounding. 3. The measure of Core Consumer Price Index (CPI ) excludes from the all-items CPI the effect of changes in indirect taxes and eight of the most volatile components identified by the Bank of Canada: fruit, fruit preparations and nuts; vegetables and vegetable preparations; mortgage interest cost; natural gas; fuel oil and other fuel; gasoline; inter-city transportation; and tobacco products and smokers' supplies. For additional information on Core CPI, please consult the Bank of Canada website (www.bankofcanada.ca/en/inflation/index.htm).

Leading Indicators Remain Flat

The composite leading indicators remained unchanged for another month, for July. This is the second straight month this is happening, but the actual results are quite mixed. The Housing Index seems to be the biggest drop and is the heaviest anchor keeping the index from rising (which is a good thing, I think), and New Orders in manufacturing is up too (i.e. people or companies are buying more).

Humor: And You Can't Even Rely On Teenage Sex Either!

Yup Stats Canada put out a study that says that Teenage sex in Canada is on the Decline.

In 2005, 43% of teens aged 15 to 19 reported that they had had sexual intercourse at least once, down from 47% in 1996/1997.

The decline was due to young women, among whom the proportion who reported having had sexual intercourse fell from 51% to 43%. The proportion of young men who had had intercourse remained unchanged at 43%.

After doing the simple math in my house, I am going to go ground 2 of my three daughters!!!

Consumer Price Index 2008

• Inflation was lower in January 2008: some better news to start the New Year?
• February 2008 Inflation was at 1.8%
• March 2008 Inflation dropped to 1.4%
• April 2008 CPI jumped to 1.8%, uh oh
• May 2008 and Inflation is at 2.2%? Ouch!
• June 2008 Inflation Jumped to 3.2% thanks to Gasoline!
• July 2008 CPI at 3.4%? Holy Moly!
• Inflation at 3.5% for August 2008 : Learn about the Consumer Price Index (CPI) data for August 2008. Gain insights into inflation rates and economic indicators.
• September 2008 saw CPI at 3.4% down a very slight amount.
• CPI drops to 2.6% in October 2008: CPI for that month seems to be getting better.
• Consumer Price Index at 1.2% to end 2008. Analyzing the December 2008 Consumer Price Index: Dive into the major factors affecting the CPI, including plummeting gas prices and deflation.