Inflation & Prices
Health Insurance Is About to Boost US Inflation After Months of Relief
- October CPI data will reflect new calculations in the category
- BLS changes are aimed at smoothing volatility, reducing lags
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A change in how the government estimates health insurance costs is expected to give a slight boost to a popular US inflation measure, reversing a trend that had been providing some relief in recent months.
Beginning with Tuesday’s release of the October consumer price index, the Bureau of Labor Statistics will roll out a few changes to how it tabulates the category. In addition to a routine change in source data, the new methodology will aim to smooth some of the volatility and reduce time lags in the index.