While overall US inflation remains some distance from policymakers’ target, consumers can take solace that prices of goods sold online are continuing a steady decline.
(Bloomberg) — While overall US inflation remains some distance from policymakers’ target, consumers can take solace that prices of goods sold online are continuing a steady decline.
A gauge of online inflation compiled by software company Adobe Inc. showed a 3.2% decline in prices in August compared with a year before. That marks the 12th straight drop, and the biggest slide since April 2020, according to the data released Tuesday.
More than half of the 18 main categories tracked by Adobe showed prices falling on an annual basis. Computers were down 14.2%, electronics fell 11.6%, appliances retreated 7.3% and home/garden items were down 6.8%, among the largest drops by category.
Later this week, the US Bureau of Labor Statistics will release the official consumer price index for August, a much broader gauge that includes not only goods sold at retail outlets but also services. Economists see the CPI rising 3.6% year-on-year, thanks in part to higher energy prices.
Adobe’s data showed that online grocery prices are one area yet to show major relief. That sub-index was up 5% over the 12 months to August, though it did slip 0.2% from July, marking the first monthly decrease since May 2021.
Since the pandemic, online shopping has become more prevalent in the US. The Adobe Digital Price Index is created by analyzing one trillion visits to retail sites and over 100 million SKUs across 18 product categories.
More stories like this are available on bloomberg.com
©2023 Bloomberg L.P.