PITTSBURGH, Nov. 18, 2021 /PRNewswire/ -- Following a
bah-humbug year for the country's economy in 2020, PNC's
38th annual Christmas Price Index (PNC CPI) sees a
return of performers in the annual calculation and reflects an
increase of 5.7% from 2019 to purchase gifts from the classic
holiday song, "The 12 Days of Christmas."
A light-hearted take on the Bureau of Labor Statistics' (BLS)
Consumer Price Index, which measures the average change in prices
consumers pay for goods and services over time, the PNC version
applies its own analysis to procuring True Love's 12 perfect gifts
at Christmas.
"With most live, in-person performances cancelled in 2020, we
removed them from the Index last year, which resulted in an
unprecedented 59% drop in the PNC CPI from 2019," said Amanda Agati, chief investment officer for PNC
Asset Management Group. "Comparing 2019 data is a better gauge of
the impacts of inflation, before the pandemic's effects took hold
of the global economy. We are trying to normalize the comparison by
excluding a-once-in-a-century pandemic that had an outsized impact
on last year's data."
The cost of the 12 gifts is reported on PNC's interactive
website, which this year focuses on the fundamental lessons that
consumers can learn in a fun and interactive way.
Overall, the PNC CPI increase of 5.7% to $41,205.58 includes the following highlights:
- Welcoming back performers: It is encouraging that live
performances have mostly returned in 2021, albeit in a modified
form in most instances. But it doesn't come cheaply, as True Love
is on the hook for a number of "IOU's" this year and will have to
shell out a hefty sum: $24,939.94, a
7.2% aggregate increase over 2019 for the Ladies Dancing,
Lords-a-Leaping, Pipers Piping and Drummers Drumming.
- Fowl friends flying high: The largest price increases
this year come in the exotic pet categories, with large spikes seen
in Six Geese-a-Laying (57%), Two Turtles Doves (50%) and Three
French Hens (40%). Inflation is fueling higher costs for raising
the birds through higher food and labor prices.
- Gold rings showing luster: With the economic recovery
still quite uneven, and concerns about inflation continuing to ebb
and flow, investors dashed for store-of-value assets like gold
again this year. Gold rings are up 8.5% from 2019, reflecting the
trend in gold commodity prices.
"In 2021, the inflation story due to COVID-19 as told by the
BLS' Consumer Price Index has surprised to the upside, running at
6.2%, well above the Federal Reserve's 2% inflation target. While
we expect higher inflation trends to be transitory, it is
interesting that our specialty gift basket of goods and services is
relatively in line with these elevated price levels," Agati
said.
Technology also has taken the wheel in driving new consumer
behaviors and providing platforms for retailers to spread holiday
cheer from home. As consumers reallocate spending from goods back
to services this year, retailers are dashing to deliver satisfying
virtual shopping experiences.
Delivery companies are expected to continue to play an integral
role during this year's holiday shopping season, which is reflected
in the additional travel and shipping costs factored into the PNC
CPI internet prices. A tech-savvy True Love will spend an
additional $4,394 by fulfilling their
shopping list online, paying a total of $45,599 for the ease of e-commerce convenience.
Free shipping for livestock purchases is still not an option.
The annual PNC CPI tradition includes calculating the "True Cost
of Christmas," which is the total cost of items bestowed by a True
Love who repeats all the song's verses. Purchasing all 364 gifts
will cost $179,454, which means that
spreading cheer in 2021 costs 5.4% more than it did in 2019.
"Like the index, consumer behavior is the drumbeat for the U.S.
economy," Agati said. "With 70% of U.S. GDP tied to consumption,
consumer health is key to future market performance. Keep an eye on
guiding stars like retail sales, savings rates and consumer
sentiment as indicators of the success of this holiday season."
Started in 1984 by a PNC predecessor bank in Philadelphia, the PNC Christmas Price Index
was initially developed for inclusion in a holiday message to
clients. Now designed to share and educate all consumers, the PNC
CPI continues to highlight market changes over time.
The PNC Financial Services Group, Inc. (NYSE: PNC) is one of the
largest diversified financial services institutions in the United States, organized around its
customers and communities for strong relationships and local
delivery of retail and business banking including a full range of
lending products; specialized services for corporations and
government entities, including corporate banking, real estate
finance and asset-based lending; wealth management and asset
management. For information about PNC, visit www.pnc.com.
[2021 PNC CHRISTMAS PRICE INDEX TABLE
FOLLOWS]
2021 PNC Christmas
Price Index®
|
|
|
|
|
INTERNET
|
|
|
|
% Change
|
|
|
% Change
|
|
2019*
|
2021
|
2021/19*
|
2019*
|
2021
|
2021/19*
|
One Partridge in a
Pear Tree
|
$
210.17
|
$
222.68
|
6.0%
|
$
285.18
|
$
324.18
|
13.7%
|
Partridge
|
$
20.18
|
$
20.18
|
0.0%
|
$
110.18
|
$
110.18
|
0.0%
|
Pear Tree
|
$
189.99
|
$
202.50
|
6.6%
|
$
175.00
|
$
214.00
|
22.3%
|
Two Turtle
Doves
|
$
300.00
|
$
450.00
|
50.0%
|
$
375.00
|
$
540.00
|
44.0%
|
Three French
Hens
|
$
181.50
|
$
255.00
|
40.5%
|
$
291.50
|
$
415.00
|
42.4%
|
Four Calling
Birds
|
$
599.96
|
$
599.96
|
0.0%
|
$
418.00
|
$
454.00
|
8.6%
|
Five Gold
Rings
|
$
825.00
|
$
895.00
|
8.5%
|
$
969.75
|
$
969.75
|
0.0%
|
Six
Geese-a-Laying
|
$
420.00
|
$
660.00
|
57.1%
|
$
1,668.00
|
$
2,760.00
|
65.5%
|
Seven
Swans-a-Swimming
|
$
13,125.00
|
$
13,125.00
|
0.0%
|
$
15,165.00
|
$
15,125.00
|
-0.3%
|
Eight
Maids-a-Milking
|
$
58.00
|
$
58.00
|
0.0%
|
$
408.64
|
$
448.32
|
9.7%
|
Nine Ladies
Dancing
|
$
7,552.84
|
$
7,552.84
|
0.0%
|
$
7,552.84
|
$
7,552.84
|
0.0%
|
10
Lords-a-Leaping
|
$
10,000.00
|
$
11,260.00
|
12.6%
|
$
10,000.00
|
$
11,260.00
|
12.6%
|
11 Pipers
Piping
|
$
2,748.87
|
$
2,943.93
|
7.1%
|
$
2,475.00
|
$
2,750.00
|
11.1%
|
12 Drummers
Drumming
|
$
2,972.25
|
$
3,183.17
|
7.1%
|
$
2,650.00
|
$
3,000.00
|
13.2%
|
|
|
|
|
|
|
|
Total Christmas Price
Index
|
$
38,993.59
|
$
41,205.58
|
5.7%
|
$
42,258.91
|
$
45,599.09
|
7.9%
|
|
|
|
|
|
|
|
True cost of
Christmas
in song
|
$170,298.03
|
$179,454.19
|
5.4%
|
$194,502.72
|
$210,627.12
|
8.3%
|
|
|
|
|
|
|
|
"Core"
index,
excluding
swans
|
$
25,868.59
|
$
28,080.58
|
8.6%
|
$
27,093.91
|
$
30,474.09
|
12.5%
|
|
|
|
|
|
|
|
* Due to the 2020
COVID-19 shutdowns, using 2019 price comparison.
|
|
|
|
CONTACT:
Alan Aldinger
(412) 768-3711
alan.aldinger@pnc.com
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SOURCE The PNC Financial Services Group, Inc.