Friday, August 21, 2026

As midterms near, grocery prices remain top of mind for many Americans

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As midterms near, grocery prices remain top of mind for many Americans

President Donald Trump vowed during his campaign that he would reduce prices.

As midterms near, grocery prices remain top of mind for many Americans
Joe Raedle/Getty Images
August 20, 2026, 1:05 PM




PEEKSKILL, New York -- Doreen Hodge didn’t initially plan to shop at a discount supermarket Monday afternoon. But the Peekskill, New York, resident said making the trip to a low-price retailer was worth it given the current cost of food.

"Grocery prices are high everywhere," Hodge told ABC News. "I just actually came here to see if something I wanted to buy was lower."

The cost of food was one of the centerpieces of the 2024 presidential cycle -- and remains a key issue as the midterm election nears.

Chicken products are seen on grocery store shelves on August 10, 2026, in Miami, Florida.
Joe Raedle/Getty Images

Two years ago this week, while seeking a second term in the White House, then-candidate Donald Trump spoke in front of his country club in Bedminster, New Jersey, with multiple name-brand food products on display. Standing between two tables full of food store items such as cereal, deli meat, milk, eggs, baby formula and bread, Trump called out then-President Joe Biden and then-Vice President Kamala Harris over the rising cost of everyday grocery items.

"Young people are being devastated by what they’ve done to our country. Grocery prices have skyrocketed," Trump said at the time.

 

Data from the U.S. Bureau of Labor Statistics shows that grocery prices nationwide rose 2.7% over the year ending in July, the most recent month on record, which amounts to triple the year-over-year grocery inflation at the time of Trump’s 2024 address in Bedminster.

Food prices remain top of mind for many Americans. An Associated Press-NORC poll released in early August found that two-thirds of adults disapprove of Trump's handling of the economy.

That same poll found that 41% of Americans said they were concerned about being able to afford groceries over the next few months, up from 24% in April. Nearly half of Americans said the cost of groceries was a major source of stress.

Shopper frustration is more complicated than a glance at the latest inflation data, however, since many people react to an accumulated change in prices on store shelves, David Ortega, a food economist at Michigan State University, told ABC News.

Over a five-year stretch since a pandemic-induced bout of acute inflation, grocery prices have increased more than 20%, most of which took place between 2021 and 2022, a period when Biden occupied the White House, U.S. Bureau of Labor Statistics data shows.

Outrage among consumers stems in part from the impact of those long-term price increases, in addition to a rekindling of grocery inflation since Trump took office, according to Ortega.

"The reality is the price level today is significantly higher than it was pre-COVID," he said.

“We were able to make a lot of progress in bringing that rate of inflation for food down, but what we’ve seen in the past couple of years is food inflation has started to pick up again,” Ortega added.

And shoppers are noticing.

 
Aaron Thevenin, seen here leaving a grocery store in Rockland County, New York, said, "We're spending a lot of money but leaving with smaller bags."
Jared Kofsky/ABC News

"We’re spending a lot of money but leaving with smaller bags," shopper Aaron Thevenin told ABC News while leaving a grocery store in West Haverstraw, New York.

"You spend like almost double what you were planning to spend," Lori Tetro of Cortlandt Manor, New York, said.

 
Cortlandt Manor, New York, resident Lori Tetro says grocery shoppers are not getting a lot compared to what they are paying for.
Jared Kofsky/ABC News

Peekskill, West Haverstraw and Cortlandt Manor all sit within New York’s 17th Congressional District, an area covering multiple suburbs north of New York City that is split relatively evenly between Democrats and Republicans.

Control of Congress could come down to districts like the 17th, which is currently represented by Republican Rep. Mike Lawler. He has co-introduced a number of bipartisan grocery-related bills during his time in Congress, including the Lower Grocery Prices Act in 2025 and the No Rigged Grocery Prices Act in May.

 
Rep. Mike Lawler walks down the House steps after the last votes of the week at the Capitol, May 15, 2026.
Bill Clark/CQ-Roll Call via Getty Images

Cait Conley, the Democratic candidate who is taking on Lawler in the 17th District, is pointing to rising supermarket bills as one of the reasons why voters should consider flipping the seat.

"You’re watching families have to make tradeoffs between filling up the grocery cart and the gas tank," Conley told ABC News.

 
Senior Advisor to the Director of the Cybersecurity and Infrastructure Security Agency Cait Conley speaks to Politico Cybersecurity reporter Maggie Miller during Politico's annual AI and Tech Summit, Sept. 17, 2024, in Washington, D.C.
Anna Moneymaker/Getty Images

House Speaker Mike Johnson, a Republican, said Monday that Trump is "laser focused on bringing down the cost for everybody" and that he hopes that a coalition of nations working together to help resolve the war in Iran will lower grocery prices.

The White House, in a statement to ABC News on Thursday, said that the president has "implemented policies that have brought prices of key essentials ranging from prescription drugs to eggs to auto insurance down in historic ways."

"The Administration remains focused on delivering more relief for American families, and as traffic through the Strait of Hormuz normalizes, energy prices -- and thus overall inflation -- will continue cooling again," White House spokesman Kush Desai said in the statement.

The Trump administration issued a statement in early August noting that "private sector companies are responding to President Trump's call by delivering tangible price reductions on everyday goods and services — putting money back in the pockets of American workers and families."

 
Doreen Hodge of Peekskill, New York, went to a different grocery store in search of a bargain.
Jared Kofsky/ABC News

To Americans like Hodge, high grocery prices are continuing to shape their everyday shopping decisions.

"It’s terrible, but you do what you have to do," Hodge said. "We all have to eat."

Magnitude 6.7 earthquake shakes Peru’s southern Andes, USGS says

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Magnitude 6.7 earthquake shakes Peru’s southern Andes, USGS says

A magnitude 6.7 earthquake shook Peru’s southern Andes Mountains on Thursday

ByThe Associated Press
August 20, 2026, 11:40 AM




LIMA, Peru -- A magnitude 6.7 earthquake shook Peru's southern Andes Mountains on Thursday, according to the U.S. Geological Survey. There were no immediate reports of damage.

The USGS said the quake occurred at 1 p.m. local time (18:00 GMT) and was centered 38 kilometers (24 miles) northwest of the city of Upahuacho, in the Parinacochas province of the Ayacucho region. It had a depth of 66.7 kilometers.

The earthquake was felt in several regions of southern Peru, including Ica and Arequipa.

 

 
 

Earthquakes are frequent in Peru which is part of the Pacific “Ring of Fire,” an area of frequent seismic activity.

In 2007, a magnitude 7.9 earthquake in a province of the Ica region left nearly 600 people dead.

Related Topics

The Impact on Borrowers and markets from Worldwide Bond Sell-off

 

Impact on Borrowers and Markets
  • Higher Loan Rates: Because long-term yields dictate consumer loan benchmarks, mortgages and commercial loans face sustained upward pressure.
  • Equity Volatility: Rising bond yields reduce the appeal of stocks, contributing to recent pullbacks in major indexes like the S&P 500 and Nasdaq.
  • Slight Relief Measures: Yields pulled back slightly after the U.S. Treasury announced plans to expand bond buybacks, but underlying costs remain elevated.

Bond market sell-off threatens higher borrowing costs

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A sharp global bond market sell-off has driven long-term yields—such as the 30-year U.S. Treasury—to their highest levels since 2007. This surge directly threatens higher borrowing costs for consumers and businesses, pushing benchmark mortgage rates toward 6.5% and increasing the cost of auto loans, credit cards, and corporate debt.
Core Drivers of the Sell-Off
  • Rising Deficits: Ballooning national debts and massive government spending deficits are flooding the market with supply.
  • Inflation & Energy Fears: Lingering inflation pressures, compounded by spiking energy costs linked to the conflict with Iran, have spooked investors.
  • Corporate Competition: Tech giants issuing heavy corporate debt to fund artificial intelligence infrastructure are crowding out government bonds.
  • Shifting Buyers: Traditional institutional buyers like pension funds are pulling back, leaving price-sensitive private investors demanding higher yields.
Impact on Borrowers and Markets
  • Higher Loan Rates: Because long-term yields dictate consumer loan benchmarks, mortgages and commercial loans face sustained upward pressure.
  • Equity Volatility: Rising bond yields reduce the appeal of stocks, contributing to recent pullbacks in major indexes like the S&P 500 and Nasdaq.
  • Slight Relief Measures: Yields pulled back slightly after the U.S. Treasury announced plans to expand bond buybacks, but underlying costs remain elevated.
If you'd like, I can detail how these rising yields specifically impact:
  • Your mortgage or real estate plans
  • Your investment portfolio or stock allocations
  • Corporate refinancing and business loans
Let me know which area you want to explore.
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