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
- Y.'s Hall, U.'s Dale earn MWC honors 11:28 a.m.
- Notre Dame not an option for Meyer 11:28 a.m.
- Marijuana grow found in Ogden apt. 11:23 a.m.
- Inmate dead following prison fight 11:22 a.m.
- BSU RB Martin top WAC player 11:17 a.m.
- Benefits lost over Facebook photo 11:14 a.m.
- Obama to honor young inventors 11:11 a.m.
- Home sales data, dollar carry stocks 11:08 a.m.
- Embarrassed Wigan offers refunds 11:06 a.m.
- RSL championship rally Tuesday 10:34 a.m.
- Buttars wants to limit gay rights laws
210 - Glenn Beck to enter politics?
202 - Palin plans tour stop in Utah
178 - RSL wins MLS Cup on penalty kicks
172 - BYU records with win
130 - Palin's book shows she's unqualified
129 - Officer cleared in Cardall Taser case
103 - BYU cuts Women's Research Inst.
102 - Jazz finally win in San Antonio
99 - Utes knock off rival Aggies
93
There's a lot of reason to leave your plastic home as you shop:
I don't pretend to be an expert on global warming. I've met with...
"Do you honestly expect people here to be stupid enough to think that beating...
All of the presidents since Reagan have been bad ones. We need another Reagan...
"Lemmings ready to go it alone on health care" That wold be ok if I were...
Here's the thing: when gays and lesbians emphasize "Here's all the great...
The Cougars will win IF: They show up with the same passion and energy they...
And who do you think has the votes to raise taxes the Mayor. The City Council...
I'm not a huge soccer fan but that game last night was amazing! I think I...
@Central Banks: the laughable thing about your comment is that we "force our...
You have obviously never been the military. The only weapons I ever saw...
To "Nonconlib | 10:16 a.m." you asked "When was the last time anybody had a...



You can be the first to comment on this story.