The latest Consumer Price Index (CPI) data is out and this is my monthly update to the projected annual inflation. If you want more explanation of how I arrive at these numbers visit the May 2008 post. For information on why I am including the December 2007 numbers in these calculations see the June 2008 post. The inflation so far for 2008:
Southeast = [ ( 210.108 – 203.457 ) / 203.457 ] * 100 = 3.269%
National = [ ( 216.573 – 210.036 ) / 210.036 ] * 100 = 3.112%
Average month to month change in 2008:
| National CPI | Southeast CPI | National ? | Southeast ? | |
| 12/2007 | 210.036 | 203.457 | ||
| 01/2008 | 211.080 | 204.510 | 1.044 | 1.053 |
| 02/2008 | 211.693 | 205.060 | 0.613 | 0.550 |
| 03/2008 | 213.528 | 206.676 | 1.835 | 1.616 |
| 04/2008 | 214.823 | 208.085 | 1.295 | 1.409 |
| 05/2008 | 216.632 | 210.006 | 1.809 | 1.921 |
| 06/2008 | 218.815 | 212.324 | 2.183 | 2.318 |
| 07/2008 | 219.964 | 213.304 | 1.149 | 0.980 |
| 08/2008 | 219.086 | 212.387 | (0.878) | (0.917) |
| 09/2008 | 218.783 | 212.650 | (0.303) | 0.263 |
| 10/2008 | 216.573 | 210.108 | (2.210) | (2.542) |
| Average | 0.654 | 0.665 | ||
Estimated CPI when average change is applied to the rest of the year:
Est. Southeast CPI = 210.108 + ( 2 * 0.665 ) = 211.438
Est. National CPI = 216.573 + ( 2 * 0.654 ) = 217.880
Estimated inflation for 2008:
Southeast = [ ( 211.438 – 203.457 ) / 203.457 ] * 100 = 3.923%
National = [ ( 217.880 – 210.036 ) / 210.036 ] * 100 = 3.735%
Now that gas prices have started coming down we are seeing inflation fall back into a normal range…
