Consumer Prices Fell 0.3% in March

Washington, DC, April 17, 2017—The Consumer Price Index for All Urban Consumers (CPI-U) decreased 0.3% in March on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported.

Over the last 12 months, the all items index rose 2.4% before seasonal adjustment.

The March decline was the first one-month decrease in the seasonally adjusted all items index since February 2016. A decline in the gasoline index was the largest factor, with a decrease in the index for wireless telephone services also contributing.

The energy index declined 3.2%, with the gasoline index falling 6.2%, and other major energy component indexes decreasing as well. The food index rose 0.3%, with the index for food at home increasing 0.5%, its largest increase since May 2014.

The index for all items less food and energy fell 0.1% in March, its first decline since January 2010. The shelter index rose 0.1%, and the indexes for motor vehicle insurance, medical care, tobacco, airline fares, and alcoholic beverages also increased in March. These increases were more than offset by declines in several indexes, including those for wireless telephone services, used cars and trucks, new vehicles, and apparel.

The all items index rose 2.4% for the 12 months ending March, a smaller increase than the 2.7% rise for the period ending February. The index for all items less food and energy rose 2.0% over the last 12 months, the smallest 12-month increase since November 2015. The energy index rose 10.9% over the last year, while the food index increased 0.5%.