Although the U.S. inflation rate slowed to 8.3 percent for the year ending in April, food continues to cost more and more, said the Labor Department on Wednesday. Grocery prices shot up 10.8 percent in the past year, driven by higher prices for such foods as bacon, up 17.7 percent, chicken, up 16.4 percent, and eggs, up 22.6 percent.
It was the largest 12-month increase in grocery prices in nearly 42 years, said the Consumer Price Index report. For meat, poultry, and fish, the 12-month increase of 14.3 percent was the largest since May 1979. The Bureau of Labor Statistics said food prices have increased for 17 months in a row.
However, the U.S. inflation rate of 8.3 percent over the past year was a decline from the 12-month rate of 8.5 percent in March. The core inflation rate, which strips out food and energy prices, rose 6.3 percent in the past 12 months compared to 6.5 percent in the year ending in March.
“Inflation has peaked one way or another,” said Mark Zandi, chief economist at Moody’s Analytics, on social media. “Either inflation moderates as the pandemic fades and economic fallout from the Russian invasion of Ukraine abates, or the Federal Reserve pushes the economy into recession.”
While many economists believe price pressures will abate in coming months, said Axios, the April numbers “show that underlying inflation pressures remain very much alive.”
Food is the second-largest expense for Americans, at 13.4 cents of the consumer dollar, trailing only housing, which accounts for one-third of consumer spending.