CPI Climbs; Apparel Costs Jump Most in 30 Years

The price inflation advance continues.

The consumer price index rose 0.5 percent from the previous month reports the Labor Department  Excluding volatile food and energy costs, the so-called core gauge increased 0.3 percent.

The 1.7 percent monthly gain in apparel prices, which account for about 3 percent of the CPI, was the biggest since 1990. Women’s apparel costs jumped a record 3.4 percent, the report showed.

Other items contributing to the gain in CPI included rents and owners’ equivalent rent, which both rose 0.3 percent from December; medical care, up 0.4 percent; and motor vehicle insurance, which advanced 1.3 percent, the most since 2001.

The increase in the core CPI brought the three-month annualized gain to 2.9 percent, the fastest since 2011, according to data compiled by Bloomberg.

-RW