One may feel compelled to reconsider their diet primarily of meat in these times. The soaring prices of chicken and ground beef, achieving brand-new heights in June, don’t seem to show any mercy as they continuously rise. This uptick in cost is a direct product of escalating feed and production costs, and an unending surge in demand. It’s noteworthy to mention that although the price of chicken has seen a steady increment, beef prices took a leap nearly 14% higher in contrast to last year.
Yet, the unsettling hikes are not confined within the boundaries of the grocery store. A sign of the times manifests in the form of skyrocketing energy bills that are currently leaving Americans in shock. In the previous month, the average cost of electricity unprecedentedly reached the 19 cents per kilowatt-hour mark. Furthermore, the state of natural gas prices isn’t any better, reaching the highest they’ve been in over two years.
Based on current comparisons, consumer prices are roughly 2.7% higher than in the month of June from the previous year. The imminent higher import taxes on over 20 counties propose a looming threat for next month. This might not be the last time we notice that the price of consumer goods and services makes significant shifts.
Focusing on specific food items, eggs prices have ironically evoked some sense of relief for consumers. They’ve dropped for a third consecutive month, reducing by an added 17% month-over-month. The likely cause of this rare decline in egg prices is the decreased occurrence of bird flu in commercial and backyard flocks since the year’s commencement.
As of June, the bird flu virus was found in fewer than 350,000 U.S. birds. The majority of these cases are localized in merely two states: Arizona and Idaho. Interestingly, current egg prices have shrunk approximately 9% compared to the past.
In the dairy industry, the virus has successfully penetrated milk-producing cows since the previous year. However, like poultry, the count of fresh cases of infected dairy cows is witnessing a decline, recording merely two cases in the preceding month. Surprisingly, as of June, a gallon of fortified fresh whole milk would cost you nearly $4.03.
In the meantime, bread consumers can heave a sigh of relief as the cost of bread hasn’t been this low in two and a half years. As of June, the price tag for white bread stood at $1.86 per pound.
Additionally, there is a slight dip in banana prices from their preceding all-time highs. The rate fell minutely to $0.65 per pound. Nonetheless, it’s essential to note that prices for oranges moved against the grain, increasing by 4% in June. Contrary to popular belief, this has little to do with enacted policies but more with the harvesting season. The average price per pound for navel oranges is averaging at $1.63 nationwide.
Field-grown tomato prices are also headed north, with the current cost standing at approximately $1.74 per pound. This represents a minor, yet significant, increase of 3 cents as compared to the previous month.
The recent rising tide of prices has also claimed chicken. The average expense for fresh, whole chicken rose by an additional 3 cents month-over-month, setting a new record at $2.09 per pound. Various factors could contribute to this, including elevated feed prices and repercussions of bird flu on the supply chain.
One of the prime culprits of this price storm is none other than ground beef. The usual price for 100% ground beef chuck touched a staggering $6.10 per pound – a record high for the fifth month in a row. Notably, the U.S. cattle inventory is the smallest it’s been in almost 75 years, and severe droughts have further curtailed the feed supply.
The sustained upward trend in electricity prices continues to be a concern. Registering the highest on record, the cost of electricity stands at 19 cents per kilowatt-hour. Last month’s minute increase amounts to a 4.4% change, and unsurprisingly, the prospects of lower rates on electrical bills are looking bleak given the long, hot summer days ahead.
Interestingly, gasoline prices remain consistent with no change from the previous month, steadfast at the rate of $3.31 per gallon of regular unleaded in June. Nevertheless, this stability is also marked by an overall increase of over 5% in gasoline prices both locally and nationally.
Lastly, the nationwide cost of piped utility gas, or natural gas, sustains at $1.65 per therm. The current price is lingering at an all-time, two-year high, adding yet another burden on the shoulders of consumers.