Inflation and Prices
The Consumer Price Index (CPI) fell in July for the first time since April of last year. In fact, the 0.3% decline in the index (–3.3% at an annualized rate) was the sharpest in more than 15 years. Falling energy prices were primarily responsible for the decline, with the CPI’s energy index down 5.6% in July. The last time the CPI’s energy index fell more sharply, April 1986, was also the last time the CPI fell more sharply than it did in July.
Suggested citation: "Inflation and Prices," Federal Reserve Bank of Cleveland, Economic Trends, no. 01-09, pp. 02-03, 09.01.2001.