Inflation vanishes... for a month, anyway - Hawaii News Now - KGMB and KHNL

Inflation vanishes... for a month, anyway

By Howard Dicus - bio | email

HONOLULU (HawaiiNewsNow) - There was deflation across the nation in April, with higher prices in Seattle and San Francisco than in Hawaii.

The Bureau of Labor Statistics said Wednesday the consumer price index fell one tenth of one percent, the first time the index fell in more than a year.

Core inflation, after dialing out food and fuel, was zero. For the past 12 months, inflation was 2.2%. That was the smallest 12-month increase in decades.

The government also tracks a marketbasket of goods and services in specific cities. Using the number 100 to represent prices in a given city in 1967, this is where prices stand in some U.S. West cities:

  • Honolulu 639.
  • Portland 636.
  • Los Angeles 646.
  • Seattle 659.
  • San Francisco 682.

This means prices today are six times what they were in the 1960s. The government does not update all cities on the same schedule, and the Honolulu number is current only to the end of 2009. Based on recent trajectory, it could be closer to Los Angeles prices but likely still trails Seattle and San Francisco.

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