Are prices lower in stores compared to a year ago?
No, prices overall are not lower than a year ago — they're still rising, just more unevenly across categories than during the peak inflation years.
The Big Picture
The latest U.S. Consumer Price Index (CPI) data shows the Consumer Price Index for All Urban Consumers increased 0.4 percent on a seasonally adjusted basis in August, and over the last 12 months, the all items index increased 3.4 percent before seasonal adjustment. That means, on average, things cost about 3.4% more than they did a year ago — well above the Fed's 2% target.
Energy has been a big driver: the energy index increased 16.3 percent for the 12 months ending August. Gasoline specifically rose 27.4% year-over-year in August.
Groceries: A Mixed Bag
Grocery prices as a whole are still up, but less dramatically than overall inflation. The U.S. food-at-home price index was unchanged in August 2026 and stood 2.2% above its August 2025 level, according to the Bureau of Labor Statistics. Importantly, an inflation rate like this means prices are increasing more slowly than during the worst of the food-price surge — it does not mean the earlier increases have been erased.
What's gotten cheaper:
What's gotten more expensive:
Bottom Line
So it really depends on what you're buying. If your cart is heavy on eggs, chicken, or dairy, your receipt might actually look a bit lower than last year. But if you buy a lot of beef, coffee, gasoline, or eat out often, you're almost certainly paying more. Overall, though, the broad basket of goods and services Americans buy is still more expensive than it was a year ago — inflation has slowed down, but prices themselves haven't reversed course.
Citations (12)
- Consumer Price Index Summary - 2026 M08 Results
Source excerpt: “# Consumer Price Index Summary ``` Transmission of material in this release is embargoed until 8:30 a.m. (ET) ...”
- Consumer Price Index Summary - 2026 M08 Results
Source excerpt: “The energy index increased 16.3 percent for the 12 months ending August. ”
- United States Inflation Rate
Source excerpt: “Gasoline prices rose 27.4% yoy, slightly more than 24.6% in July and fuel oil prices increased 52%, compared with 39.1% previously. ”
- Are Groceries Getting Cheaper? Why Your Bill May Say Otherwise - Food Trade News & Food World
Source excerpt: “The U.S. food-at-home price index was unchanged in August 2026 and stood 2.2% above its August 2025 level, according to the Bureau of Labor Statistics...”
- Are Groceries Getting Cheaper? Why Your Bill May Say Otherwise - Food Trade News & Food World
Source excerpt: “* An inflation rate of 2.2% means prices are increasing more slowly than they were during the worst of the food-price surge. It does not mean the earl...”
- US Grocery Price Statistics 2026: Food Inflation Guide
Source excerpt: “- Retail egg prices have dropped **27.9%** compared to 2025. ”
- US Grocery Price Statistics 2026: Food Inflation Guide
Source excerpt: “## Grocery Price Trends by Food Category Food Category · Month-Over-Month Change · Year-Over-Year Change Beef and Veal · +1.4% · +11.8% Fresh Vegetabl...”
- Some Grocery Prices Are Finally Going Down — Here’s What’s Getting Cheaper - Better Report
Source excerpt: “The latest Consumer Price Index data from the Bureau of Labor Statistics (BLS) shows that several everyday grocery staples now cost less than they did...”
- US Grocery Price Statistics 2026: Food Inflation Guide
Source excerpt: “- Beef and veal prices have spiked by **11.8%** as the US cattle herd shrinks to a **75-year low**. ”
- Some Grocery Prices Are Finally Going Down — Here’s What’s Getting Cheaper - Better Report
Source excerpt: “Coffee prices also continued to climb, with instant coffee up 15.8% year over year, roasted coffee up 12.2%, and coffee overall up 9.4%. ”
- Some Grocery Prices Are Finally Going Down — Here’s What’s Getting Cheaper - Better Report
Source excerpt: “According to the latest BLS data, the cost of tomatoes is up 12.8% year over year, while apples cost 11% more in July 2026 than they did in July 2025....”
- Some Grocery Prices Are Finally Going Down — Here’s What’s Getting Cheaper - Better Report
Source excerpt: “Frozen fish and seafood and fresh fish and seafood, meanwhile, also were up 7.8% over July 2025.”