Wednesday, December 15, 2021
September consumer prices rose 3.7% from a year ago, led by a 20.4% jump in energy and a 34.2% rise in gasoline, the Bureau of Labor Statistics reported.
Consumer prices rose 3.7% over the past year, according to the September Consumer Price Index the Bureau of Labor Statistics released on Wednesday, October 14. That is up from 3.4% in August. Prices rose 0.6% in September alone. Energy did most of the lifting. The energy index is up 20.4% from a year ago. Gasoline is up 34.2%, including a 9.1% jump from August to September.
Fuel oil shows the sharpest climb of all. It rose 15.3% in a single month and now sits 74.2% above last year. Electricity is up 4.4% and shelter is up 3.2%. Food rose a milder 2.5%, with groceries up 1.8%. Core inflation, which leaves out food and energy, ticked up to 2.6% from 2.4%. Analysts quoted by CBS News tie the climb to energy prices driven by the war with Iran and Russia's war in Ukraine. One analyst warned that high energy costs are starting to seep into the broader economy.
The figures are national, but they do not land evenly. Households that heat with oil, drive long commutes or live far from town feel energy prices first. Heating oil is common across the Northeast, so this winter's bill is the one to plan for now. Fuel costs keep moving because shipping through the Strait of Hormuz remains under attack, and a large share of the world's oil passes through that one channel.
Inflation driven by energy is a slow squeeze rather than a sudden shock. That gives a prepared household time to act. Start with the costs you can lock in. Fill a heating oil or propane tank before winter demand peaks, so one price spike does not force a full purchase at the worst moment. A working food stockpile does the same job at the grocery store. Buying the shelf-stable staples you already eat while food prices are rising slowly lets you draw from your reserve when prices jump. A cash buffer covers what a pantry cannot. Setting aside even a few weeks of expenses is one of the simplest steps in preparing for economic concerns. It keeps a bad month from turning into debt.
Where it stands now: these figures are as of the September report and are expected to keep shifting as long as fuel markets stay tight. The next CPI report is due November 10. This week, check your heating fuel level, note what your household spends on fuel each month, and top up the staples you use most. Be Prepared Not Scared!
