Are prices lower in stores compared to a year ago?

[1][2][3]No, prices in stores are generally not lower overall compared to a year ago (as of the latest data around August 2026); they are higher on average, though inflation has moderated significantly from prior peaks, many individual items are stable or cheaper, and retailers have cut prices or offered heavy discounts on thousands of products.[2]

Official Inflation Data (US CPI, August 2026)

The U.S. Bureau of Labor Statistics Consumer Price Index (CPI-U) shows:

Energy has been a bigger driver recently (e.g., gasoline +27.4% YoY in some readings amid volatility), while some non-energy goods categories show declines or stability (e.g., used cars/trucks -2.3%, medical care commodities -2.7%, dairy -0.3%).[2]

Private trackers align closely. Numerator’s Consumer Goods Price Index (CGPI) for everyday household purchases (groceries, household goods, etc., excluding gas) was +2.2% YoY in August 2026 (after cooling from higher rates earlier; it fell 0.1% month-over-month). Cumulative prices remain much higher than pre-pandemic levels (e.g., +33%+ since 2018 in some measures).[3]

Variation by Item and Category

Prices are mixed—some staples are down, others up sharply:

Specific shopping baskets can vary (one reported staple basket was down ~2% in a recent period), depending on what you buy, store choice (discounters like Aldi/Lidl/Walmart often cheaper), private labels, sales, and unit sizes (shrinkflation remains a factor but contributes little to overall CPI).[6]

Retailer Actions and Consumer Experience

Retailers have actively cut prices amid softer demand:

Bottom line: The average price level in stores is higher than a year ago (positive inflation of ~2–3.5% depending on the basket), so a typical cart costs more. However, the pace of increases has slowed a lot from the high-inflation years, many items are flat or down, and aggressive retailer discounting means shoppers can find lower prices with careful shopping (sales, store brands, alternatives). Experiences vary widely by location, specific purchases, and income/shopping habits. For the most current figures, check the latest BLS CPI release.