retail news in context, analysis with attitude

The Washington Post reports this morning that "U.S. consumers paid 4.3 percent more in April for meats, poultry, fish and eggs, 1.5 percent more for fruits and vegetables, and 2.9 percent more for cereals and bakery products, the Labor Department said.  Overall, consumers paid 2.6 percent more in April for groceries, the largest one-month jump since February 1974."

This increase, the Post writes, "came in a month when more than 20 million Americans lost their jobs, driving 1 in 5 households into food insecurity."

The  Food Research & Action Center attributes the inflated prices to two things:  "a shift in where consumers are purchasing their food, and supply chain disruptions due to covid-19 outbreaks in food production facilities as well as slowdowns related to social distancing and sheltering in place."

KC's View:

I continue to believe that the near future will be incredibly kind to the likes of WinCo, Aldi, Lidl, Family Dollar and every other retailer that is able to make the legitimate argument that they are keeping prices down and serving consumers in financial distress.