Although food inflation slowed for the sixth month in a row, it still was far above the annualized U.S. inflation rate of 6 percent, said the Labor Department on Tuesday. The food inflation rate of 9.5 percent was the lowest since last April, the last time the rate was below 10 percent.
The Labor Department said prices for meats, poultry, fish and eggs fell by 0.1 percent during February, “the first decrease in that index since December 2021.” But the five other food categories, including dairy, fruits and vegetables, and cereals and bakery products, registered increases.
Housing accounted for the largest share of the monthly increase in prices “with the indexes for food, recreation, and household furnishings and operations also contributing,” said the monthly Consumer Price Index report.
Beef and veal prices were down by 1.4 percent and bacon and related products down by 5.9 percent over the past year. Citrus prices were down by 1.2 percent. Prices for most foods were higher.
“Inflation is painfully high but steadily receding,” said Mark Zandi, chief economist for Moody’s Analytics, on social media. “It is on track to be 3 percent by year’s end and the Fed’s inflation target by next summer.”