May 2025 CPI Report Hides Rising Costs for Black and Minority-Owned Businesses

WASHINGTON - June 11, 2025 - PRLog -- Creative Investment Research has released a new economic analysis of the May 2025 Consumer Price Index (CPI), showing that despite a small 0.1% increase in overall prices, Black and minority-owned businesses continue to face disproportionate financial pressure.

The official CPI data from the Bureau of Labor Statistics indicates a 12-month inflation rate of 2.4%, slightly up from April. However, inflation in essential business sectors such as food, utilities, insurance, and healthcare remains elevated—categories where many minority entrepreneurs operate or depend heavily on inputs.

"The so-called cooling of inflation is not reflective of the lived experiences of small Black and Brown business owners," said William Michael Cunningham, economist and founder of Creative Investment Research. "The reality is rising prices in core operating areas, and stagnant revenue opportunities."

Key Findings:

• Food prices rose 0.3%, affecting minority-owned restaurants and grocery suppliers.
• Electricity and natural gas increased by 0.9% and 1.0%, respectively—driving up operating costs.
• Healthcare and insurance services rose 0.3% and 0.7%, impacting minority professional services.
• Shelter costs were up again (+0.3%), affecting commercial rents and property-holding firms.

Meanwhile, energy-related relief (gasoline down 2.6%) is temporary and not sufficient to offset deeper cost pressures across other vital sectors.

Data Reliability Concerns Raised

This release comes amid serious concerns about the credibility of government inflation data. The Bureau of Labor Statistics recently announced reduced data collection in states like Illinois and Nebraska and cut its PPI item coverage by over 350 categories, citing staffing shortages.

"Given the history of unethical behavior by the current administration, we would not be surprised if these inflation numbers were massaged to present a more favorable picture," said Cunningham. "This is especially troubling as Black and minority-owned businesses are navigating worsening conditions with no clear federal support." See: https://www.impactinvesting.online/2025/06/may-2025-cpi-overview-impact-on-black.html

Black Women Hit Hard in Labor Market

The CPI report follows damning evidence from April's employment data showing over 106,000 Black women lost jobs. This trend—largely driven by DEI rollbacks and policy reversals—was documented in:

• Shine My Crown (https://shinemycrown.com/the-threat-is-real-baby-black-wo...)
• BIN News (https://www.binnews.com/content/2025-05-14-black-women-lo...)
• Windy City Word (https://windycityword.com/black-women-decimated-by-job-loss-in-trump-economy/)
• Black Enterprise (https://www.blackenterprise.com/black-women-loss-extra-106000-jobs-april-unemployment/)

These job losses further compound economic hardship across Black communities already struggling with inflation and capital access disparities.

Call to Action - Creative Investment Research calls on:

• Congress to audit federal inflation and labor data
• Federal agencies to restore and enforce DEI policies
• Public-private partnerships to support Black- and minority-owned businesses with targeted capital programs

About Creative Investment Research
Founded in 1989, Creative Investment Research provides independent economic analysis, impact forecasting, and investment strategy development focused on racial equity and underserved communities.