Energy and Food Cost Driving Consumer Price Index High
Energy and Food

November is the fourth consecutive month which has seen Energy prices rise up, which in turn is pushing higher the government's index of consumer prices, data released has confirmed.

Many economists had their eyes on Consumer Price Index which rose 0.4 percent in November.

Gasoline, the winner, accounted for more than three-quarters of the gain in the energy price index, which rose 4.1 percent. Since August, the increase in total energy costs recorded was the largest, with a jump of 7.4 percent.

Steady increase in the index of the cost of food at restaurants, which was up 0.2 percent for the month, is responsible for rising index of food prices, which also rose by 0.1 percent.

After a high for 10 consecutive months, consumer prices nearly remained unchanged in November, keeping aside the volatile categories of food and energy.

William Cheney, chief economist at John Hancock Financial Services said, "We are not likely to have an inflation problem for some time".

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