Are prices lower in stores compared to a year ago?
Short answer: No — overall, prices are higher than a year ago, though it's a mixed picture depending on the item.
Overall inflation: The annual inflation rate in the United States was 3.7% for the 12 months ending September, up from 3.4% in August, according to U.S. Labor Department data released October 14, 2026. That means prices overall are about 3.7% higher than a year ago, not lower.
Grocery/food prices specifically: The all-items Consumer Price Index increased 0.6 percent from August 2026 to September 2026, and was up 3.7 percent from September 2025. For groceries specifically, the food-at-home CPI increased 0.1 percent from August 2026 to September 2026 and was 1.8 percent higher than in September 2025.
It depends heavily on what you're buying:
Why gas/energy is pushing overall inflation up: Gasoline rose 34.2% year-over-year in September, more than 27.4% in August, and fuel oil prices increased 74.2%, compared with 52% previously. The index for gasoline rose 9.1 percent in September alone, accounting for over half of the monthly all-items increase.
Bottom line: Even though some specific items like eggs, bacon, butter, and dairy are genuinely cheaper than last year, the broader picture — covering groceries overall, energy, and the economy as a whole — shows prices still running higher than a year ago, not lower. As one analysis put it, inflation is cooling overall, yet many grocery items are still more expensive than a year ago, keeping the cost of groceries high for households.
Citations (12)
- Current U.S. Inflation Rates: 2000-2026
Source excerpt: “The annual inflation rate in the United States was 3.7% for the 12 months ending September, up from 3.4% in August, according to U.S. Labor Department...”
- Food Price Outlook - Summary Findings | Economic Research Service
Source excerpt: “The all-items Consumer Price Index (CPI), a measure of economy-wide inflation, increased 0.6 percent from August 2026 to September 2026. It was up 3.7...”
- Food Price Outlook - Summary Findings | Economic Research Service
Source excerpt: “The food-at-home (grocery store or supermarket food purchases) CPI increased 0.1 percent from August 2026 to September 2026 and was 1.8 percent higher...”
- Which grocery prices are rising the fastest and which are falling? - ABC News
Source excerpt: “Egg prices plummeted more than 20% over the year ending in September, indicating continued recovery from a shortage caused by an outbreak of bird flu....”
- Which grocery prices are rising the fastest and which are falling? - ABC News
Source excerpt: “The cooldown in meat prices hit a range of products, including bacon, which costs 3.3% less than it did a year ago. Chicken prices fell in September, ...”
- Which grocery prices are rising the fastest and which are falling? - ABC News
Source excerpt: “Butter prices plunged 10.3% last month compared to a year earlier, while prices for ice cream, milk and cheese each fell more than 2% over that period...”
- Food Price Outlook - Summary Findings | Economic Research Service
Source excerpt: “Beef and veal prices decreased by 1.3 percent from August 2026 to September 2026 but were 3.5 percent higher in September 2026 than in September 2025....”
- 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....”
- United States Inflation Rate
Source excerpt: “Gasoline rose 34.2% yoy, more than 27.4% in August and fuel oil prices increased 74.2%, compared with 52% previously. ”
- Consumer Price Index Summary - 2026 M09 Results
Source excerpt: “The index for gasoline rose 9.1 percent in September, accounting for over half of the monthly all items increase. ”
- Food Prices and Grocery Affordability – Latest Inflation Trends and Impacts in the U.S.
Source excerpt: “In short, inflation is cooling overall, yet many grocery items are still more expensive than a year ago, keeping the cost of groceries high for househ...”