What to expect from more grocery store price hikes, products impacted
Prices have continued to climb from the grocery store to the gas station amid the pandemic. According to a new report, the prices of some foods and household staples are heading higher.
Kraft Heinz alerted customers that its prices will go up in March on dozens of popular products including certain SKUs of Velveeta cheese by 6.6%, hot dogs and cold cuts by 10% and Oscar Mayer turkey bacon by 30%.
Even coffee is affected -- Kraft Heinz's Maxwell House coffee price would go up by 5%, the company said.
Prices have risen steadily across the food industry, with unprecedented ingredient, labor and transportation shortages coupled with surging demand driving prices higher.
Kraft Heinz said the price increases are not a sweeping action across all its products and instead applies specifically to products experiencing the greatest cost pressures.
Officials at the Federal Reserve on Wednesday signaled they are on the verge of addressing this issue of soaring prices by potentially hiking interest rates very "soon."
"With inflation well above 2 percent and a strong labor market, the Committee expects it will soon be appropriate to raise the target range for the federal funds rate," the Fed said in a statement Wednesday.
Federal Reserve Chair Jerome Powell said that "inflation remains well above our longer run goal of 2%," which it notably has for some time now. He attributed this largely to supply and demand imbalances related to the pandemic and the reopening of the economy.
ABC News' Catherine Thorbecke contributed to this report.
