There are a few things common to the shared human experience most of us probably feel on a regular basis.
That excitement for the morning’s first cup of coffee, for example.
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Or the relief you feel when you finally pay off your credit card bills.
Maybe you’re easy to please, and hitting all the green lights on the drive home makes your day.
Of course, there are probably other experiences we’ve all felt recently that have been frustrating.
Paying more for the same amount of groceries might be one of those things.
According to January’s CPI report, the annual rate of inflation in the U.S. is now at 3%. That’s higher than most analyst had been expecting, and it’s hitting our grocery aisles pretty hard.
Costco members shop at the warehouse store for groceries and other everyday necessities.
Image source: Tim Boyle/Getty Images
Groceries are expensive
The cost of food at home, or food we prepare at home but typically buy out at groceries, markets, or stands, actually outpaced the annual rate of inflation.
The cost of food at home rose by 0.5% on the month, while the overall cost of goods rose by 0.3%.
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Here’s a look at how several key items and services changed over the past month:
Food: increase 0.5%Energy: increase 1.1%Fuel oil: increase 6.2%New vehicles: unchangedUsed vehicles: increase 2.2%Apparel: decrease 1.4%Shelter: increase 0.4%Transportation services: increase 1.8%Medical care commodities: increase 1.2%
Costco makes store opening announcement
Since groceries are getting pricier by the month, many shoppers are flocking to Costco (COST) , which offers members savings on many bulk items.
Since Costco sells most of its inventory in bulk, that means it buys most of its goods from vendors in large quantities. This allows Costco to negotiate lower prices, since vendors are motivated to move as much inventory as possible before it expires in a distant warehouse somewhere.
In December 2024, Costco said it brought in $4.8 billion in membership fees alone for the previous completed fiscal year. And saw a paid membership increase of 7.6%, bringing its total to over 77 million.
As more and more customers look for savings on core consumer essentials, Costco continues to grow.
Thanks to this growth, Costco announced it will open at least nine new locations in March and April 2025. They are:
Sharon, Mass.: March 1Brentwood, Calif.: March 7Highland, Calif.: March 8Genesee County, Mich.: March 13Prosper, Tex.: March 14Weatherford, Tex.: March 15Stuart, Flor.: April 2025Minami Alps, Japan: April 2025Ardeer, Australia: 2025
Costco will report earnings in early March, with many analysts expecting the retailer to report over $63 billion in revenue, a 7% jump.
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