The United States appears to be closer to deflation than most people might realize.
In fact, if not for the Western quadrant, the nation would be experiencing outright price deflation. According to the Bureau of Labor Statistics, the West is the only one of the four Census regions which had a positive Consumer Price Index for August.
Read this excerpt from an October 13 CNBC article:
"All price growth in the U.S. in the past eight months came from the West," the St. Louis Federal Reserve said in a report on geographic inflation influences. Inflation in the West has been a full percentage point above the other three regions, all of which experienced deflation.
Excluding the West, the national rate of inflation as measured by the CPI would have been -0.19 percent in August, as compared to the already anemic national rate of 0.2 percent, according to the St. Louis Fed. …
Annualized inflation in the West was 1.3 percent in August. In the Northeast it was -0.1 percent, -0.2 percent in the South and -0.3 percent in the Midwest. Much of the deflationary pressure came through falling energy prices — down 9.5 percent annualized in the West, 14.5 percent in the Midwest, 18.3 percent in the East and 17.1 percent in the South.
You can read the entire article by following the link below: http://www.cnbc.com/2015/10/13/the-us-is-closer-to-deflation-than-you-think.html