Inflation Rose 7.9% in February, Highest in More Than 40 Years

The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.8 percent 
in February on a seasonally adjusted basis after rising 0.6 percent in January, 
the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, 
the all items index increased 7.9 percent before seasonal adjustment.

Increases in the indexes for gasoline, shelter, and food were the largest 
contributors to the seasonally adjusted all items increase. The gasoline index 
rose 6.6 percent in February and accounted for almost a third of the all items 
monthly increase; other energy component indexes were mixed. The food index rose 
1.0 percent as the food at home index rose 1.4 percent; both were the largest 
monthly increases since April 2020.  

The index for all items less food and energy rose 0.5 percent in February 
following a 0.6-percent increase the prior month. The shelter index was by far 
the biggest factor in the increase, with a broad set of indexes also 
contributing, including those for recreation, household furnishings and 
operations, motor vehicle insurance, personal care, and airline fares.   

The all items index rose 7.9 percent for the 12 months ending February. The 
12-month increase has been steadily rising and is now the largest since the 
period ending January 1982. The all items less food and energy index rose 6.4 
percent, the largest 12-month change since the period ending August 1982. The 
energy index rose 25.6 percent over the last year, and the food index increased 
7.9 percent, the largest 12-month increase since the period ending July 1981. 

Food

The food index increased 1.0 percent in February as the food at home index increased 
1.4 percent over the month. All six major grocery store food group indexes increased 
in February. The index for fruits and vegetables had the largest increase, rising 2.3 
percent, its largest monthly increase since March 2010. The index for fresh fruits 
increased 3.7 percent over the month, and the index for fresh vegetables rose 1.3 
percent. The index for dairy and related products rose 1.9 percent, its largest 
monthly increase since April 2011. The index for nonalcoholic beverages increased 
1.6 percent in February. 

The index for meats, poultry, fish, and eggs increased 1.2 percent in February as all 
of its major component indexes increased. The index for cereals and bakery products 
rose 1.1 percent and the index for other food at home increased 0.8 percent over the 
month. 

The food away from home index rose 0.4 percent in February after increasing 0.7 
percent in January. The index for full service meals rose 0.6 percent and the index 
for limited service meals increased 0.3 percent. 

The food at home index rose 8.6 percent over the last 12 months, the largest 12-month 
increase since the period ending April 1981. The index for meats, poultry, fish, and 
eggs increased 13.0 percent over the last year as the index for beef rose 16.2 percent. 
The other major grocery store food group indexes also rose over the past year, with 
increases ranging from 5.2 percent (dairy and related products) to 8.2 percent (other 
food at home). 

The index for food away from home rose 6.8 percent over the last year, the largest 
12-month increase since December 1981. The index for limited service meals rose 8.0 
percent over the last 12 months, and the index for full service meals rose 7.5 percent. 
The index for food at employee sites and schools, in contrast, declined 40.7 percent 
over the past 12 months, reflecting widespread free lunch programs.

Energy

The energy index rose 3.5 percent in February following a 0.9-percent increase in 
January. The gasoline index rose sharply in February, increasing 6.6 percent after 
falling 0.8 percent in January. (Before seasonal adjustment, gasoline prices rose 5.4 
percent in February.) The index for natural gas increased in February, rising 1.5 
percent after declining 0.5 percent in January. In contrast, the electricity index, 
which rose sharply in January, declined 1.1 percent in February. 

The energy index rose 25.6 percent over the past 12 months with all major energy 
component indexes increasing. The index for gasoline rose 38.0 percent over the last 
year and the index for natural gas rose 23.8 percent. The index for electricity rose 
9.0 percent for the 12 months ending February.

All items less food and energy

The index for all items less food and energy rose 0.5 percent in February. The shelter 
index increased 0.5 percent in February and accounted for over 40 percent of the 
monthly increase in the all items less food and energy index. The rent index increased 
0.6 percent in February and the owners’ equivalent rent index rose 0.4 percent. The 
index for lodging away from home rose 2.2 percent over the month after declining in 
January.

The recreation index increased 0.7 percent in February following a 0.9-percent increase 
in January. The index for household furnishings and operations also continued to rise, 
increasing 0.6 percent in February following larger increases in recent months. The 
index for motor vehicle insurance rose 1.2 percent over the month after a 0.9-percent 
advance in January. The personal care index increased 1.2 percent in February, its 
largest ever monthly increase. The index for airline fares rose 5.2 percent in February, 
and the index for apparel increased 0.7 percent.  

The medical care index rose 0.2 percent in February. The index for prescription drugs 
rose 0.3 percent, but the indexes for hospital services and for physicians’ services 
both declined 0.1 percent.

The index for new vehicles increased 0.3 percent in February after being unchanged the 
prior month. The index for used cars and trucks, which rose sharply in recent months, 
declined in February, falling 0.2 percent, one of the very few indexes to show a 
decline in February. 

The index for all items less food and energy rose 6.4 percent over the past 12 months, 
with virtually all of its major component indexes rising over the span. The shelter 
index rose 4.7 percent over the last 12 months, its largest 12-month increase since May 
1991. Several transportation indexes showed large increases over the past year, 
including used cars and trucks (+41.2 percent), new vehicles (+12.4 percent), and 
airline fares (+12.7 percent).  

Not seasonally adjusted CPI measures

The Consumer Price Index for All Urban Consumers (CPI-U) increased 7.9 percent over the 
last 12 months to an index level of 283.716 (1982-84=100). For the month, the index 
increased 0.9 percent prior to seasonal adjustment.  

The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased 
8.6 percent over the last 12 months to an index level of 278.943 (1982-84=100). For the 
month, the index rose 1.0 percent prior to seasonal adjustment.  

The Chained Consumer Price Index for All Urban Consumers (C-CPI-U) increased 7.5 percent 
over the last 12 months. For the month, the index increased 0.9 percent on a not 
seasonally adjusted basis. Please note that the indexes for the past 10 to 12 months are subject to revision.