Thread by @ceprdc

New Analysis: Here are @DeanBaker13’s quick-takes of the US #CPI. #BLSdata
1/ Overall picture: zero basis for any concerns about #inflation in this story. The economy is being hit hard by pandemic (see hotels), likely could use support.

2/ US #CPI overall and core CPI both flat in Oct, up 1.2 percent and 1.6 percent YOY, respectively.
Sharp drop in energy prices lowers overall US #CPI. Core held down by drop in medical care prices by 0.4 percent drop.

3/ Rental inflation remains low; rent proper and owners' equivalent rent both up 0.2 percent in Oct, up 2.7 percent and 2.5 percent, respectively, over the last year.

4/ Rents in NYC metro area fall slightly in Oct, up just 0.6 percent since March; likely lower rise (or fall) in city itself.

5/ Hotel prices fall sharply: 3.7 percent monthly drop; likely indicates a fall in business due to spread of pandemic, now down 15.9 percent YOY.

6/ Restaurant and store bought food prices continue to converge, former up 0.3 percent, while latter up 0.1 percent, over last year 3.9 percent and 4.0 percent, respectively.

7/ Used vehicle prices fall 0.1 percent after rapid increases, still up 11.5 percent YOY.
New vehicle prices up 0.4 percent, unusually large price rise, up 1.5 percent YOY. Likely an anomaly, but worrying if not.

8/ Car insurance down 2.3 percent in Oct after 3.5 percent Sept drop, down 7.1 percent YOU, reflects much less driving and fewer accidents.
Airfares jump 6.3 percent in Oct, still down 20.0 percent YOY.

9/ Prescription prices down 0.4% in Oct and YOY; important to remember, this does not factor in the cost of new drugs.
Health insurance (administrative costs and profits, not premiums) drop 1.2% in Oct, after 1.5% drop in Sept, still up 10.5% YOY.

10/ College tuition continues to fall, down 0.1 percent, up just 0.6 percent YOY. US #CPI.