The cost of getting around again had the biggest impact on the overall cost of living in Northern Utah in June. The Zions Bank Wasatch Front Consumer Price Index (CPI) ticked upward last month, rising 0.6 percent from May. Transportation prices had the largest impact on the index, while other sectors experienced either modest increases or slight drops. The national Consumer Price Index increased 0.1 percent from May to June and 1.6 percent from this time last year.
Transportation prices drove the increase in the overall CPI from May to June as vehicle prices increased. Beginning every June, current-year models (2017) are used in the calculation of the Consumer Price Index instead of the previous year’s models (2016), thus explaining the large increase in vehicle prices. National gasoline prices are down to $2.26 from $2.32 in May, and Utah gasoline prices have decreased to $2.48 from $2.54 in the same period.
Prices for other goods and services increased 1.6 percent as prices for haircuts and women’s haircare increased slightly.
“Prices have remained relatively stable since (June),” said Scott Anderson, Zions Bank president and CEO. “Statewide price stability will allow consumers and business owners to make well-informed purchase and pricing decisions as we head into mid-summer.”
The rise in Utah’s overall CPI was also driven by higher prices in the following categories:
• Food-at-home prices increased 1.1 percent as prices for meat, beef and condiments increased heading into the summer holidays.
• Education and communication prices increased 0.9 percent as cell phone companies increased prices for unlimited talk, text and data plans.
Utah’s price increases were slightly offset by lower prices in the following sectors:
• Housing prices fell 0.6 percent as rental rates for apartments decreased slightly.
• Utilities prices fell 0.1 percent due to slight decreases in propane prices.
Prices for medical care fell 0.1 percent as dental cleaning and general pharmaceutical prices decreased from May.
“Statewide gas prices have decreased in the past month” said Randy Shumway, chairman and partner at Cicero Group, a market research firm based in Salt Lake City that does analysis and data collection for the Zions Bank CPI. “As consumers save more money at the pump, they will look to inject that savings elsewhere, further strengthening other sectors of the Utah economy.”