The good news: Overall inflation is easing, with consumer prices up 7.1% in November on an annual basis, compared with 7.7% a month before.
The bad news: Food costs are still outpacing the overall inflation rate.
Grocery bills were 12% higher last month. Restaurant prices rose by 8.5%.
Sky-high food costs remain a particular headache for families, many of which are now getting by paycheck to paycheck.
There are a number of factors at work. For example, eggs were 49% more expensive in November compared with a year earlier because of bird flu impacting the poultry industry.
Butter and margarine were up by 34%. Milk was about 15% more expensive
Along with disease, food prices were impacted by extreme weather in some parts of the world, the war in Ukraine and ongoing supply bottlenecks. A little price gouging also may be occurring (although that’s hard to prove).
The cost of flour rose by 25% last month. Bread went up by about 16%. Chicken was 12% pricier, and fruits and vegetables jumped by almost 10%.
Coffee — coffee! — was nearly 15% more expensive.
Got pets? Their food cost about 16% more in November.
These stats illustrate how challenging inflation is to tame. Some economic sectors respond fairly quickly to higher interest rates — the cost of electronic gear, for example, is down significantly.
Others resolve themselves as supply and production issues are addressed — fuel costs, for instance.
But the pain continues at the supermarket.
And it could be months before consumers feel meaningful relief.
