The price for food at home increased 0.4% in January compared to December, marking the highest monthly increase in a year, according to the latest Consumer Price Index. Food at home has gone up 2.6% over the last 12 months.
The overall food index also rose 0.4% in the first month of 2024.
Four of the six major grocery store food group indexes increased in January. Cereals and bakery products was the only index showing a decline at 0.2%. The non-alcoholic index rose 1.2% for the month. The index for other food at home, which contains the index for sugar and sweets, fats and oils, and other foods, spiked 0.6%, while the fruits and vegetables index increased 0.4%. The index for dairy and related products edged up 0.2% in January. The index for meats, poultry, fish, and eggs went unchanged.
Meanwhile, the food away from home index rose 0.5% last month.
Overall the price of goods and services increased 3.1% in the 12-month period ending in January. Although it marks a decrease compared to December 2023, when the inflation rate was 3.4%, it is still above the Federal Reserve’s target of 2%. In response, the Fed has raised interest rates to the highest levels since the early 2000s.
