Are prices lower in stores compared to a year ago?

Are prices actually cheaper than last year? I'll check the latest inflation data to see what's happening.

No — on average, prices in stores are higher than a year ago, not lower.

•The overall price level is still rising year-over-year:

•Headline prices rose 3.7% from a year ago in September 2026

•The Consumer Price Index rose 0.6% for the month and 3.7% from a year earlier

•The annual inflation rate was 3.7% for the 12 months ending September

•The current US inflation rate is 3.7% — the year-over-year change for September 2026

A 3.7% inflation rate means prices are 3.7% higher than September 2025, not lower. Inflation slowing would mean prices rising more slowly, not falling.

For groceries specifically:

•On a seasonally adjusted basis, grocery prices declined 0.1% last month and remained 1.8% above where they stood twelve months prior

•Overall, grocery prices dropped 0.1% last month, leaving them 1.8% higher than a year earlier

•In the BLS category table for September 2026, Food at home was +1.8% year-over-year while All items was +3.7%

So stores saw a small month-to-month dip in September (-0.1%), but still higher than a year ago.

Some individual categories are cheaper than a year ago, which hides inside the average:

•Used cars and trucks were 2.3% cheaper, furniture and bedding 0.8% cheaper, televisions 1.0% cheaper and smartphones 12.2% cheaper in August data — September BLS shows Used cars and trucks -1.5%

•Dairy and related products -0.7%

•Medical care commodities -3.3%

•Motor vehicle insurance -5.0%

•Egg prices tumbled over 20% in the year through September

•Butter prices dropped 10.3% vs a year prior, while ice cream, milk and cheese each saw declines exceeding 2%

And some retailers have cut prices on select items — e.g., Nearly one-third of products on ALDI shelves every day are now priced lower than they were last year — but that is not representative of the overall market, where Food overall was +2.5% and Energy +20.4% in September.

Citations (3)

1indexbox.ioData and tools
Grocery Prices Fall 0.1% in September: Meat, Eggs, Dairy Cheaper - News and Statistics - IndexBox
Backs: “A 3.7% inflation rate means prices are 3.7% higher than September 2025, not lower. Inflation slowing would mean prices rising more slowly, not falling. For groceries specifically: On a seasonally adjusted basis, grocery prices declined 0.1% last month and remained 1.8% above where they stood twelve months prior”
2bls.govGovernment
12-month percentage change, Consumer Price Index, selected categories
Backs: “On a seasonally adjusted basis, grocery prices declined 0.1% last month and remained 1.8% above where they stood twelve months prior. Overall, grocery prices dropped 0.1% last month, leaving them 1.8% higher than a year earlier”
3dealsdmv.comLow provenance
Prices in 2026: What's Cheaper Than a Year Ago, and What Isn't
Backs: “So stores saw a small month-to-month dip in September (-0.1%), but still higher than a year ago. Some individual categories are cheaper than a year ago, which hides inside the average: Used cars and trucks were 2.3% cheaper, furniture and bedding 0.8% cheaper, televisions 1.0% cheaper and smartphones 12.2% cheaper in…”