US Inflation Ticks Up, But grocery Story is Mixed: Hear’s What You Need to Know
Washington D.C. – U.S. inflation saw a slight increase in May, rising 2.4% year-over-year, according to the latest Labor Department report [[1]]. While overall inflation is up, the picture at the grocery store is far more nuanced, with some prices rising sharply while others fall.
Key Takeaways:
overall Inflation: The Consumer Price Index (CPI) rose 2.4% in May compared to May 2024 [[1]].
Grocery Prices: Grocery prices increased 0.3% from April to May and are up 2.2% over the past year [[2]].
Ground Beef Surge: Ground beef prices have seen a critically important jump, increasing 12.15% from $5.33/lb in May 2024 to $6.02/lb in May 2025. This is attributed to decreased beef production [[1]]. the USDA forecasts continued price increases into 2026 due to a projected 5% decline in beef production [[1]].
Egg Prices Fall: After peaking at $6.23/dozen in March following a bird flu outbreak, egg prices are now falling. A dozen Grade A eggs averaged $4.55 in May, down from $5.12 in April [[1]].
* Banana & Peanut Butter Lead Monthly Gains: Bananas and peanut butter saw the largest percentage increase in price from April to May