As inflation soars, some beer drinkers are reverting to their high school selves and opting for cheaper brews, The Wall Street Journal reports. It’s not only beer drinkers tightening purse strings, as demand for cheaper cigarettes is also rising. Marlboro’s share of the cigarette market increased during the first year of the pandemic, when relief funds flowed, but is now decreasing, with cheaper brands filling the void.
According to Vincent Jarbou, co-owner of a liquor store in Michigan, customers are buying more single beer cans rather than packs. One of Jarbou’s regulars used to buy Corona but now opts for an Icehouse, which at $1.29 a can is less than half the price. Sales of imported beer, however, continue to grow, reflecting how inflation is impacting lower-income Americans while the wealthy spend with more abandon. Bond market measures suggest that some traders may think inflation has calmed, and the Federal Reserve is preparing to raise interest rates again on Wednesday.
Read it at The Wall Street Journal
