Prices in Colorado fell by 0.17% between July and September, down from a 1.72% increase over the two months prior. Because of this, Colorado’s 12-month inflation rate dropped from 8.2% to 7.7% over the last two months.
Inflation in the Denver metropolitan area continues to run hot, particularly for housing. Overall price levels increased 2% between January and March and 9.1% over the last 12 months. The BLS reports housing inflation of 7.9%, but home prices (not a component of CPI) have increased 20.8% YoY through January 2021.
In 2021, inflation in the Denver metropolitan area was the highest it’s ever been since the Bureau of Labor Statistics began tracking it in 1986. The largest two-month period of inflation occurred in late spring and a resurgence at the end of the year through January added an additional 2.6%.