Phoenix area consumer prices are 12% higher than last year

Prices for things like food, gas, and electricity have continued to rise around the Phoenix...
Prices for things like food, gas, and electricity have continued to rise around the Phoenix metro.(Arizona's Family)
Published: Jul. 13, 2022 at 1:49 PM MST|Updated: Jul. 14, 2022 at 10:28 AM MST
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PHOENIX (3TV/CBS 5) - A new report from the U.S. Bureau of Labor Statistics shows that prices around the Phoenix metro have significantly risen from where they were a year ago as the nation grapples with inflation.

According to the BLS, Phoenix area prices, which are measured by the Consumer Price Index for All Urban Consumers, rose 3.1% over the last two months, ending in June. Over the last 12 months, prices have jumped 12.3%. The CPI measures the average change in prices over time in a fixed market basket of goods and services. Regional Commissioner Chris Rosenlund attributes the June increase to higher prices for shelter, meaning things like rent/housing, water, heat, gas, and electricity. Energy prices reportedly jumped 43.3%, mostly due to the increase in the price of gasoline, according to the report.

Over the year, the report states that food prices increased 9.3%, while prices for food at home have jumped 12.1% since a year ago. Within the food at home category, meats, poultry, fish, and eggs recorded the largest increase in prices. For energy, the index grew about 16.8% for the two months ending in June. Breaking down individual energy categories; gasoline rose 19.8%, electricity increased 13.8%, and natural gas service was up 5.4%.

Nancy Tengler, CEO and chief investment officer of Laffer Tengler Investments, spoke with Arizona’s Family anchor Scott Pasmore to let him know what this means for Valley residents. Tengler said she doesn’t believe we’re in a recession, although we will likely see one in the coming months.

“For many of us, it already feels like one,” she said. “I think at this point, you hunker down. We’ve already started to see many of the inflation inputs roll over, things like copper are down materially. Oil has now come way back into the 90s.”

Tengler said she doesn’t feel as though the federal government acted fast enough to prevent this inflation. “They used rhetoric to make the bond market and the stock market do their heavy lifting,” she said. “The feds went nose-to-nose for nine months too long. They should have front-end loaded this.”

With regard to gas prices, Tengler said that we won’t see any changes in gas prices in the near future. “We saw a 150-year gap broken last year when the money supply shot up,” she said. “They’re talking about spending more money again right now. That will be disastrous for the economy.”