High commodity prices have not bled through to general inflation, according to Bob Bach, national director, market analysis, Grubb & Ellis Co. The Core Consumer Price Index excluding the volatile food and energy sectors rose a tame 2.0 percent in June from a year earlier, down from a recent year-over-year peak of 2.4 percent in February. The Bureau of Labor Statistics does not include soaring house prices in its calculations, preferring to use rents, which have crept up only slowly, as a measure of shelter costs. With the unemployment rate at a low 5.0 percent, rising labor costs may finally succeed in pushing up inflation where commodity prices have failed.
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