US Egg Prices Drop Sharply Despite Bird Flu

U.S. egg prices fell in April for the first time since October 2024, with the average price for a dozen Grade A eggs dropping to $5.12 from a March high of $6.23. This decline marks a significant shift, though prices remain well above the previous year's average of $2.86 per dozen, due to the ongoing bird flu outbreak that has killed over 169 million birds, mostly egg-laying chickens, since 2022. The price decrease contributed to a 0.4% drop in grocery prices, the largest reduction in food-at-home costs since September 2020. Analysts had questioned whether prices would fall after high Easter demand, but improved supplies enabled the decline. Potential risks remain, as tariffs and further avian flu outbreaks could push prices higher. Inflation cooled for the third straight month in April, with consumer prices rising 2.3% year-over-year, the smallest increase in over four years.