Consumer Headlines: . Gas prices, airfares, and produce costs decline, but economists warn lower prices may be short-lived

ROCHESTER, N.Y. – Consumers are seeing some relief as prices for certain products have decreased, but experts warn this may be temporary. The chief economist at Moody’s predicted that these lower prices might not last beyond the next few months.

The price of gasoline has dropped nearly 10% compared to last year. In the Rochester area, the average gas price is $3.06. This decrease is attributed to the falling price of oil, which has also led to cheaper airfares due to lower jet fuel costs.

Grocery shoppers might notice lower prices for produce, but economists caution that prices could rise if tariffs remain in place.

The Clorox Company reported a decline in sales and reduced profit expectations for 2025. Sales of household products, including plastic bags and kitty litter, fell by 11%.

The CEO said, “We started spending less in a broad range of categories following the news of tariffs.”

Executives from food and beverage companies noted that Hispanic Americans have reduced their spending on items from beer to cooking spray. As the second-largest demographic in America, their purchasing power is significant. Constellation Brands, which owns Modelo and Corona, reported that Hispanic customers account for about half of their beer business, impacting sales due to consumer cutbacks.

Executives believe tariffs and immigration concerns are affecting Hispanic consumers. Coca-Cola is trying to regain Hispanic customers after false rumors on social media claimed the company reported undocumented workers, leading to a boycott. The CEO said the rumors are “completely false,” but sales have been affected.

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