It’s been almost a month since the Federal Reserve cut interest rates by half a point, the first rate cut in more than four years. Inflation peaked at 9.1% in 2022 and has dropped since to just 2.5% in August, triggering September’s interest cut.
But even with inflation down, many consumers are still struggling to make ends meet -- among them, shoppers at the Smart and Final on South Vermont Avenue, across the street from USC.
On Tuesday afternoon, a mom names Demetria was there to stock up on groceries with her daughter. Demetria, who didn’t want her last name used, said she knew about the drop in inflation rates, but that her monthly grocery bill is still the same.
“Almost a thousand dollars,” she said. “If you don’t have a coupon, it’s really hard to purchase stuff. So it’s no change.”
Another Smart and Final shopper, Jojo, said she doesn’t feel like she’s getting what she pays for.
“When I go to the grocery store, I at least spend, like, what, 300 dollars at the grocery store,” she said. “And sometimes when I get home to put everything up, I like, feel like I didn’t get as much.”
Jojo said she tries to fight the high prices by shopping at different stores.
“I shop at Walmart, so those prices are typically lower than, like, Ralphs, Albertsons,” she said. “I go to those stores also, and I come here. I come here actually to get my water, because it’s cheaper here than actually Ralphs...so I have to shop at different stores to get lower prices instead of just going one.”
On campus, USC students said they also feel the pinch.
Boyi Wang, a first-year PhD student, finds it upsetting that some of her favorite things are now so expensive.
“Now, like going out to get boba, it’s like seven bucks,” Wang said. " Versus, like, a few years ago, you can get a decent amount of this decent drink for like, four dollars.”
Four years of high prices have left consumers with mixed feelings about their future spending. Wang doesn’t anticipate much change in the coming months.
“Of course, it would be nice if the price actually goes down,” she said. “But to be honest, I don’t really think that’s gonna happen. I don’t know why. I just feel like I have no faith when it comes to, like, government actually taking action to relieve the burden of like, how expensive things are.”
Still, Demetria at Smart and Final remains hopeful that paying for her family’s basic needs will get easier.
“I hope it does come down,” she said. “I mean, we still going to do what we got to do, because nobody wants their kid to go without. Like, I will go without eating before my kids go without, even, but most definitely hope that the prices do go down. It’s hard out here, and this is just ridiculous.”