From Deseret News archives:
Utah inflation not bad
Increase in national figures has some economists concerned
Wells Fargo Bank reported in its monthly Wasatch Front Cost of Living Index that inflation crept up 0.1 percent on a non-seasonally adjusted basis in March, led by a 0.3 percent bump in transportation costs and 0.2 percent increases in the costs of clothing and groceries.
Meanwhile, the U.S. Labor Department released more alarming data in the form of its Consumer Price Index, which rose 0.4 percent (on a seasonally-adjusted basis) in March the biggest amount the nation has seen in a year, and eclipsing February's modest 0.1 percent gain.
The federal inflation meter, like the local one, was pulled higher by gasoline prices, which the Labor Department said jumped 3.5 percent.
Core inflation, which excludes the more volatile food and energy categories, posted a 0.3 percent rise in March.
Analysts' reactions to the report were mixed.
However, Kelly K. Matthews, executive vice president and economist for Wells Fargo, said that while the jump in core inflation was "the highest monthly number in literally five years in terms of the change in the monthly core basis," a broader analysis lent some perspective to the situation.
"Even though it was 0.3 (percent higher) for the month," Matthews said, "on a year-to-year basis it remained 2.1 percent core inflation, which was pretty much consistent with where the core rate of inflation on a year-to-year basis has continued. So there wasn't really any big jump on a year-to-year basis, and the 2.1 percent is still pretty much on the upper end of what's called the 'acceptable range,' from the Fed's point of view."
Others worried that the core inflation data could be a worrisome signal that higher energy prices are starting to spill over into more widespread inflation pressures.
"Today's report provides a signal, albeit noisy, that the long-awaited pass-through of higher costs to a wide range of consumer prices has arrived," said Kenneth Beauchemin, an economist at Global Insight, a forecasting firm.
Comments
- Phoenix vote on temple Wednesday 11:02 a.m.
- Iran whistleblower poisoned 10:58 a.m.
- Stocks waver after jobs report 10:57 a.m.
- Robotic hand controlled by thoughts 10:51 a.m.
- Tribune Co. names new CEO 10:49 a.m.
- West High evacuated by bomb threat 10:43 a.m.
- FBI: Mitchell's answers calculated 10:42 a.m.
- Woods says he let family down 10:12 a.m.
- Recount in Atlanta mayoral race 9:54 a.m.
- Jurors defend verdict in Texas 9:52 a.m.
- 2 citations issued at Y.-U. game
- Witness: Mitchell wanted attention
- Unbeaten BYU takes trip to Logan
- Why is Y. ignoring spew of hatred?
- BYU says Hall incident resolved
- Max Hall: a fixture in rivalry lore
- Find joy in life, Bishop Burton says
- Utahns growing tired of Bennett
- BCS just keeps dirty laundry on spin
- Orem pair getting a rep for crime
- Hall mouths off about hate of Utah
908 - Cougars beat Utes in overtime
483 - Hall reprimanded by MWC
404 - Max Hall issues apology
388 - Hall's pain reflects self-betrayal
351 - Utes won't respond to Hall
276 - BYU says Hall incident resolved
240 - 2 citations issued at Y.-U. game
165 - BYU is champion of the state
143 - Religion in politics is tiresome
142
I agree that the war in Afghanistan is unwinnable. It doesn't even have a...
Yeah, forget those Primaries when no one shows up to vote anyway. Let's have...
Palin is young and hot; Eagar is old and not.
when you say he hasn't done anything for Mike R, isn't that a good thing?
Extreme and inappropriate fan behavior happens all around the world. You...
"According to the government there is currently $700 billion wasted in...
This is a superb plan. Give the generals the troops and the resources and 18...
This will be a good measuring stick for both teams. The game will come down...
Re:7:48 am... I was raised in east Texas as a Methodist. I lived in 5...
Of course this war is winnable. History proves that all wars have been won...




You can be the first to comment on this story.