Grocery prices heat back up
Grocery prices surged 0.5% in August and are 3.2% higher than a year ago.
Coffee prices are a notable pain point, jumping 3.6% from July. The cost of the morning staple is 20.9% higher than it was this time last year.
Meat prices, especially beef, remain elevated: Ground beef is 12.8% higher than in August 2024, and steaks are up 16.6%. According to the BLS, a pound of ground chuck now averages $6.34. Chicken, fish, and other seafood saw more modest increases — less than 3% year over year — while ham and pork chop prices decreased.
Eggs, whose price spirals have come to symbolize inflation anxiety, saw no monthly increase but are still a steep 10.9% higher year over year.
A dozen large Grade A eggs, on average, cost $3.59 in August, down a penny from $3.60 in July and $3.78 in June.
"Many of these food products were affected by tariffs as the U.S. is a net food importer," noted Gargi Chaudhuri, BlackRock's chief investment and portfolio strategist, Americas.
The cost of eating out increased 0.3% from July and was 3.9% higher than a year ago.
