Inflation in January Rose Scant 0.1%, As Clothing Prices Continued to Drop
WASHINGTON -- Consumer prices increased a scant 0.1% last month, as prices for certain consumer goods -- notably clothing -- continued to fall.</br></br>January's meager inflation rate was the same as December's, and over the past year consumer prices have climbed just 1.7%, the Labor Department said Friday. Excluding food and energy prices, considered to be volatile sectors, consumer prices rose a similar 0.1% in January, following a 0.3% increase in December.</br></br>To better understand just how well-behaved inflation is, it helps to look at particular sectors. For example, while prices overall crept up, apparel prices plunged in January by 1.1%, after a 0.6% drop in December. Over the past year, clothing prices fell 1.4% compared to a 0.4% increase the previous year.</br></br>Women's apparel fell 1.9% last month compared to a 0.6% drop in December, while footwear dropped 0.9% following a 0.6% decline. Energy prices, which fell 0.2% in January, helped to keep the overall transportation figure down, despite a 0.1% rise in gasoline prices.</br></br>Tobacco prices jumped 6.6% after a 18.5% spike in December, and air fares rose 1.8%, following recent announcements by major airlines of across-the-board fare increases.