Are prices lower in stores compared to a year ago?

Generally, no, overall prices in stores are not lower than they were a year ago. While the rapid rate of inflation has slowed down compared to the peak spikes of the early 2020s, prices on average are still rising rather than falling.

The U.S. Consumer Price Index (CPI) shows that overall consumer prices rose by 3.4% year-over-year. This means that a typical basket of goods and services is more expensive now than it was at this time last year.

However, the trend varies depending on what category of goods you are shopping for:

1. Groceries (Food at Home)

Overall grocery store prices are up by about 2.2% year-over-year. While this is a much slower pace of growth compared to previous years, your grocery bill is still higher on average.

•What is more expensive: Fresh vegetables (up 2.6%), fresh fruits (up 3.8%), sugar and sweets (up around 7.1%), and nonalcoholic beverages (up 3.7%) have all seen notable price climbs. Canned fruits, vegetables, and seafood are also higher, partly driven by import tariffs and rising energy costs.

•What is actually cheaper: The biggest exception in the grocery store is eggs, which are projected to be roughly 29% to 30% cheaper compared to their peak prices in 2025 (which were driven by avian flu outbreaks). Dairy products have also seen a marginal price drop of about 0.3% year-over-year.

2. Clothing and Retail Goods (Apparel)

For several years, clothing prices remained relatively flat, but that trend has reversed.

•Apparel prices are up about 3.6% compared to last year.

•This increase is driven largely by adult clothing and footwear (men's footwear, for example, is up 5.7%).

•Conversely, infants' and toddlers' clothing has actually dropped in price by about 3.4%.

3. Big-Ticket Items (Cars and Electronics)

•Used Cars and Trucks: This is one of the few major categories where retail prices are slightly lower, down about 1.9% year-over-year. However, inventory remains tight, meaning budget-friendly used cars (under $15,000) are still incredibly difficult to find.

•New Vehicles: Prices have remained mostly flat, creeping up by just 0.5% over the year.

Summary

If you feel like you are spending more at checkout, you are. With very few exceptions (like eggs and slightly cheaper used cars), retail and grocery prices are higher than they were a year ago. The economy is experiencing disinflation (meaning prices are rising at a slower, more normal pace), but it is not experiencing deflation (which would mean prices are actually dropping).

Citations (9)

1senate.govGovernment
senate.gov
Backs: “The U.S. Consumer Price Index (CPI) shows that overall consumer prices rose by 3.4% year-over-year.”
2in2013dollars.comData and tools
in2013dollars.com
Backs: “This means that a typical basket of goods and services is more expensive now than it was at this time last year.”
3usda.govGovernment
usda.gov
Backs: “Groceries (Food at Home). Overall grocery store prices are up by about 2.2% year-over-year.”
4agbull.comNews and media
agbull.com
Backs: “What is more expensive: Fresh vegetables (up 2.6%), fresh fruits (up 3.8%), sugar and sweets (up around 7.1%), and nonalcoholic beverages (up 3.7%) have all seen notable price climbs.”
5fastcompany.comNews and mediaquality 0.80
fastcompany.com
Backs: “Canned fruits, vegetables, and seafood are also higher, partly driven by import tariffs and rising energy costs.”
6trendtrailmarket.comNot yet classified
trendtrailmarket.com
Backs: “Clothing and Retail Goods (Apparel). For several years, clothing prices remained relatively flat, but that trend has reversed.”
7bls.govGovernment
bls.gov
Backs: “Big-Ticket Items (Cars and Electronics). Used Cars and Trucks: This is one of the few major categories where retail prices are slightly lower, down about 1.9% year-over-year.”
8autotrader.comNot yet classified
autotrader.com
Backs: “However, inventory remains tight, meaning budget-friendly used cars (under $15,000) are still incredibly difficult to find.”
9ncoa.orgNonprofits and think tanks
ncoa.org
Backs: “The economy is experiencing disinflation (meaning prices are rising at a slower, more normal pace), but it is not experiencing deflation (which would mean prices are actually dropping).”