Americans plagued by rising prices the past three years got another promising sign on Wednesday as inflation hit a three-year low.
The Consumer Price Index (CPI), a broad measure of the price of everyday goods, including groceries, gasoline, and rent, rose 0.2% in August over the previous month, in line with economists’ expectations. Prices rose 2.5% compared to a year ago — the lowest annual reading since early 2021.
Here’s what the Bureau of Labor Statistics’ latest inflation numbers mean for your household:
Restaurant meals surge, along with some groceries
The cost of eating out isn’t easing up. The “food away from home” index rose 4% annually as overall food inflation inched up just 2.1%. Even food from a vending machine was 4% higher than a year ago.
Overall grocery prices are easing up. The grocery index ticked up just 0.9% annually and was flat compared to July.
Some items posting the largest cooldowns were coffee, ham, potatoes, rice, and apples.
But a few foods remain stubbornly high. Eggs, which saw huge pandemic price surges, were up 4.8% compared to July and 28.1% from a year ago.
Frozen juices and drinks jumped more than 18% year over year, and beef products keep getting pricier. Ground beef rose 4.9% from a year ago, steaks were up 1.6%, and roasts surged 6.7%. According to data from the Federal Reserve Bank of St. Louis, that translated to an average of $7.63 per pound for uncooked beef roasts.
Inflation cools on cell phones, TVs, used cars, and more
The sting of…
