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The Free Press Math Education Subject Financial Literacy

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Financial Literacy

Please review each article prior to use: grade-level applicability and curricular alignment might not be obvious from the headline alone.

Governor of the Bank of Canada Tiff Macklem speaks during the unveiling of the new Canadian $20 note featuring the portrait of King Charles III, in Ottawa, on Thursday, Sept. 3, 2026. THE CANADIAN PRESS/Justin Tang

Odds of an interest rate hike from Bank of Canada this year have jumped

Craig Lord, The Canadian Press 5 minute read Preview

Odds of an interest rate hike from Bank of Canada this year have jumped

Craig Lord, The Canadian Press 5 minute read Tuesday, Sep. 22, 2026

OTTAWA - Traders are increasingly betting that the Bank of Canada could end its string of interest rate holds and deliver a hike as early as next month.

While many economists remain unconvinced that the central bank will raise the cost of borrowing this year, concerns that inflation could become a more persistent thorn than first thought have some pencilling in a tightening cycle to start in early 2027.

The U.S. Federal Reserve broke its own stand-pat stance and delivered the United States' first rate hike in more than three years on Wednesday in an effort to rein in inflationary pressures bubbling up south of the border.

The Bank of Canada has sat comfortably on the sidelines for nearly a year now, content to leave its policy rate unchanged at 2.25 per cent as it waits to see how the economy and inflation will adjust to a series of shocks.

Read
Tuesday, Sep. 22, 2026
Alberta Premier Danielle Smith waits to deliver a speech on Alberta Day in Calgary on Sunday, Aug. 30, 2026.THE CANADIAN PRESS/Jeff McIntosh
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If Alberta leaves Canada, it will need up to $170B and 70,000 civil servants: report

Jack Farrell, The Canadian Press 7 minute read Preview
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If Alberta leaves Canada, it will need up to $170B and 70,000 civil servants: report

Jack Farrell, The Canadian Press 7 minute read Sunday, Oct. 11, 2026

EDMONTON - A report released Wednesday by the Alberta government says if the province wants to separate from Canada, it would need to shell out up to $170 billion and hire at least 70,000 civil servants to do it.

The report, which the province commissioned from the University of Calgary's School of Public Policy, says the minimum cost over the first five years would be $50 billion and could top out at $170 billion.

The figure covers money to acquire infrastructure, supplies and property currently paid for by the federal government. It also covers the staff needed for the transition and debt payments made higher by Alberta taking on a portion of the federal debt.

There are other costs. About $69 billion would be needed to replicate programs currently run by Ottawa. The annual expenses to run an independent Alberta government would cost up to $67 billion. New tax revenue could cover the increases, but there’s also a risk of staggering annual deficits of at least $25 billion.

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Sunday, Oct. 11, 2026
Magnific
                                ‘There’s a ton of government bonds coming out because the U.S. has to finance itself, but all of the (AI) hyperscalers are tapping the U.S. market for funding at the same time,’ says Konstantin Boehmer of Mackenzie Investments.

Bond yields are rising, reflecting fear, loathing about state of world

Joel Schlesinger 6 minute read Preview

Bond yields are rising, reflecting fear, loathing about state of world

Joel Schlesinger 6 minute read Saturday, Sep. 12, 2026

It can seem counter-intuitive, but rising bond yields reflect investor worry. (After all, aren’t higher yields attractive?)

At the same time, investors’ bagful of anxieties is running headlong into greater demand for borrowing than at any time in human history.

It’s a full-course meal of mayhem: trade wars, unending real wars, accelerating government budgets and big tech companies borrowing as much as they can to achieve artificial intelligence supremacy.

Don’t forget the orange zest of economic unrest: an unpredictable, often incomprehensible president of the United States.

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Saturday, Sep. 12, 2026
Construction workers develop a new house site in Ottawa on Monday, June 1, 2026. THE CANADIAN PRESS/Sean Kilpatrick

Canada needs up to 4.69 million new homes by 2036, but construction could slow: CMHC

Sammy Hudes, The Canadian Press 4 minute read Preview

Canada needs up to 4.69 million new homes by 2036, but construction could slow: CMHC

Sammy Hudes, The Canadian Press 4 minute read Saturday, Sep. 12, 2026

The federal housing agency says Canada narrowly chipped away at its supply gap over the past year, but the country still needs up to nearly 4.7 million new homes over the next decade to restore pre-pandemic affordability by 2036.

Canada Mortgage and Housing Corp. released its latest supply gap estimate report, which said between 417,000 and 469,000 new housing units are needed per year across the ownership and rental markets over the next decade to reach affordability targets.

That's down slightly from its last estimate in July 2025, when CMHC said the pace of home construction would need to roughly double to between 430,000 and 480,000 new units annually over the coming decade.

But the agency warned recent affordability gains are at risk as new home construction is instead expected to slow, especially in the home ownership market.

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Saturday, Sep. 12, 2026
CHEYANNE MUMPHREY / THE ASSOCIATED PRESS FILES
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Back to school means increased costs for parents, post-secondary students

Joel Schlesinger 5 minute read Preview
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Back to school means increased costs for parents, post-secondary students

Joel Schlesinger 5 minute read Saturday, Sep. 5, 2026

In the words of advice for students from Thornton Melon: “It’s rough out there. Move back in with your parents.”

As comedian Rodney Dangerfield’s character alluded to in the 1986 comedy Back to School, it is indeed a tough financial environment as students head back to the classroom in 2026.

A Capital One Canada survey found families are struggling with costs, with nearly six in 10 parents surveyed stating back-to-school expenses are higher than expected.

It’s not just tuition, new clothes and supplies. Extracurricular activities — like hockey, figure skating, ringette, soccer, dance, etc. — also ramp up, involving tuition-sized payments.

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Saturday, Sep. 5, 2026
RUTH BONNEVILLE / FREE PRESS FILES
                                J’aime Killbery says she’s still waiting for financial relief from the provincial government after her home was damage in a June storm.

Insurance money spent, family waits for provincial flood aid

Malak Abas 5 minute read Preview

Insurance money spent, family waits for provincial flood aid

Malak Abas 5 minute read Friday, Sep. 4, 2026

Three months after a once-in-a-lifetime rainstorm battered her home and caused extensive flooding, J’aime Killbery is still picking up the pieces while she waits for financial relief from the provincial government.

Killbery lives in Balmoral, north of Stonewall, in the rural municipality of Rockwood, one of the communities hardest-hit by the June 9 deluge. The RM declared a state of emergency after a record-breaking 250 mm of rainfall caused sewer backups and overland flooding.

The damage to the family home was immense. Their fully finished basement was destroyed by sewage water, meaning the walls and flooring needed to be ripped out and replaced.

While family is handling some repairs themselves to cut costs, every repair is expensive, Killbery said.

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Friday, Sep. 4, 2026
Stratford Hall, an apartment residence in north Winnipeg on Monday, July 22, 2024. THE CANADIAN PRESS/John Woods
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Manitoba expanding rent control threshold to $2,000 a month

Ian Bickis, The Canadian Press 1 minute read Preview
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Manitoba expanding rent control threshold to $2,000 a month

Ian Bickis, The Canadian Press 1 minute read Monday, Sep. 28, 2026

WINNIPEG - The Manitoba government says it's following through on a commitment to expand rent control in the province.

It says renters paying up to $2,000 per month will be included in the province's rent-control program starting next year, up from the existing threshold of $1,670.

It says the expansion should mean at least 2,000 additional rental units will be covered by the program.

Landlords can only increase rents by three per cent next year for rent-control units, while the limit is 1.8 per cent this year.

Read
Monday, Sep. 28, 2026
A pedestrian walks past the Bank of Canada in Ottawa, Wednesday, June 10, 2026. THE CANADIAN PRESS/Adrian Wyld

Bank of Canada set to grapple with renewed trade war pressures in rate decision

Craig Lord, The Canadian Press 5 minute read Preview

Bank of Canada set to grapple with renewed trade war pressures in rate decision

Craig Lord, The Canadian Press 5 minute read Tuesday, Sep. 1, 2026

OTTAWA - The Bank of Canada finds itself in a familiar dilemma this week as the escalating trade war with the United States casts an uncertain light over Wednesday's interest rate decision.

The central bank has kept its benchmark rate on hold at 2.25 per cent for nearly a year now.

Before trade talks between Canada and the United States fell apart earlier this month, economists and financial markets alike had widely expected the Bank of Canada would stick to the sidelines for the rest of the year and into 2027.

Recent tariff volleys have changed the economic context.

Read
Tuesday, Sep. 1, 2026
The Western Star All-Suites Hotel in Melita. The Manitoba Labour Board ruled in favour of three employees of the hotel chain in an Aug. 25 decision. (Google Maps)

Foreign workers at Manitoba hotel are owed $138K in unpaid wages and fees, labour board rules

Abiola Odutola 4 minute read Preview

Foreign workers at Manitoba hotel are owed $138K in unpaid wages and fees, labour board rules

Abiola Odutola 4 minute read Sunday, Aug. 30, 2026

BRANDON — The Manitoba Labour Board has ordered the Western Star All Suites Hotel to pay nearly $138,000 in unpaid wages and administrative fees after it dismissed the appeals involving three foreign workers employed by the company.

In a decision dated Aug. 25, the board ordered 6692452 Manitoba Ltd. (doing business as Western Star All Suites Hotel), 1638185 Alberta Ltd. and company director P.X. to pay a total of $137,915.79 to the Employment Standards Branch for wages owed to foreign workers S.J., J.B. and G.R.

The decision was edited to protect the personal information of the employees, who worked at a hotel, reportedly in Melita, at different times and also lived there during their employment.

The board stated the employees were owed wages after hearing evidence about long working hours, irregular payments, inadequate employment records and working conditions.

Read
Sunday, Aug. 30, 2026
A Global Retirement Savers Study by U.S.-based asset manager T. Rowe Price found that more than four in 10 surveyed Canadians are financially stressed. (File image)

Money struggle is real

Joel Schlesinger 6 minute read Preview

Money struggle is real

Joel Schlesinger 6 minute read Saturday, Aug. 29, 2026

You likely don’t need a survey to know Canada is a nation of stressed-out citizens.

We have plenty to worry about, and money is often among the leading stressors.

And yes, there are always surveys measuring our collective money-driven concerns, including the recent, inaugural Global Retirement Savers Study by T. Rowe Price.

The U.S.-based asset manager of more than $2 trillion globally found that more than four in 10 surveyed Canadians are financially stressed.

Read
Saturday, Aug. 29, 2026
Rolled coils of steel sit in the yard at the ArcelorMittal Dofasco steel plant in Hamilton, Ont. on Thursday, August 20, 2026. THE CANADIAN PRESS/Nick Iwanyshyn

Canada’s economy was surging in Q2. Now, it braces for new tariff headwinds

Craig Lord, The Canadian Press 6 minute read Preview

Canada’s economy was surging in Q2. Now, it braces for new tariff headwinds

Craig Lord, The Canadian Press 6 minute read Sunday, Aug. 30, 2026

OTTAWA - Fresh data from Statistics Canada on Friday suggests the economy was growing at a healthy clip in the second quarter and rumblings of a recession earlier in the year might have been overblown.

But economists warned that any momentum the economy had last quarter will be tested by a new wave of tariffs and trade uncertainty.

Real gross domestic product rose 3.3 per cent on an annualized basis in the second quarter, StatCan said. That was the fastest quarterly pace of growth since early 2023 and topped the Bank of Canada's call for 2.5 per cent growth in the quarter.

BMO chief economist Doug Porter said in an interview that 3.3 per cent is a "solid result." A typical quarterly figure over the past 20 years would see the economy growing at around two per cent annualized, he noted.

Read
Sunday, Aug. 30, 2026

Counter-tariffs add new challenge for retailers

Gabrielle Piché 5 minute read Wednesday, Aug. 26, 2026

Removing trade uncertainty tops Harold Kriewald’s wish list.

On Wednesday, he hadn’t heard from suppliers about which — if any — products at Stalwart Appliances in Winnipeg will be hit with new levies.

Canadian tariffs on $26.7 billion worth of United States imports are set to begin Sept. 8. They come before the holiday season, the retail sector’s busiest stretch.

“(If) the forecast is uncertain, you as the consumer are not always prone to want to make a big purchase,” said Kriewald, Stalwart Appliances’s owner. “Uncertainty is probably the worst thing. The tariffs, of course, bring that uncertainty.”

A sign advising that products from the U.S. affected by a tariff will be marked with a symbol at the shelf, along with a QR code linking to a Government of Canada website, is seen beside a display of Canadian products in a grocery store in Ottawa, on Wednesday, April 2, 2025. THE CANADIAN PRESS/Justin Tang
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Grocers revive signage to indicate tariff-affected items, Canadian products

Ritika Dubey, The Canadian Press 5 minute read Preview
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Grocers revive signage to indicate tariff-affected items, Canadian products

Ritika Dubey, The Canadian Press 5 minute read Saturday, Aug. 29, 2026

Canadian grocers are adding more signage to highlight homegrown products as trade tensions escalate between Canada and the United States.

Loblaw says it is bringing back the T symbols to its grocery shelf labels to signal products that have seen price increases due to tariffs, replicating its response from last year when the tariff war first began.

Customers will start noticing the T symbols on a small number of products, which will grow as tariffs are applied across more categories, Loblaw chief executive Per Bank wrote in a LinkedIn post on Tuesday.

"And one commitment is especially important: Loblaw will not benefit from tariffs," he said.

Read
Saturday, Aug. 29, 2026
A Scotiabank sign is shown on a shopping mall in Ottawa on Thursday, June 27, 2024. THE CANADIAN PRESS/Sean Kilpatrick

New U.S. tariffs and trade tensions are ‘manageable,’ says Scotiabank CEO

Daniel Johnson, The Canadian Press 5 minute read Preview

New U.S. tariffs and trade tensions are ‘manageable,’ says Scotiabank CEO

Daniel Johnson, The Canadian Press 5 minute read Saturday, Aug. 29, 2026

TORONTO - As Canadian businesses grapple with the latest flare up in U.S. trade tensions, executives at Scotiabank still see the trade situation as "manageable" for the domestic economy

"The fundamentals in Canada are pretty good, if you look at the job growth numbers, if you look at the fiscal capacity on the back of oil prices, and if you look at some of the activity that's starting because of the prime minister's agenda, you actually have a backdrop that's pretty good," Scotiabank chief executive Scott Thomson said on the bank's third-quarter earnings call on Tuesday.

U.S. President Donald Trump imposed 50 per cent tariffs on about $28 billion worth of Canadian products over the weekend after trade talks collapsed.

The federal government, meanwhile, announced Tuesday its own suite of retaliatory dollar-for-dollar tariffs on American goods, which are set to take effect Sept. 8. That includes upping tariffs on American steel and aluminum products from 25 to 50 per cent and imposing other levies on clothing, appliances, dairy products and more.

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Saturday, Aug. 29, 2026
Calgary-based jewelry maker Cindy Baldassi, whose business is among several across Canada that were hit by American tariffs on Saturday after trade talks between Canada and the United States failed the night before, is seen in an undated handout photo. THE CANADIAN PRESS/Handout - Jason S. Anderson (Mandatory Credit)
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Small businesses at front lines of tariff war, as many lose sales

Fakiha Baig and Ritika Dubey, The Canadian Press 5 minute read Preview
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Small businesses at front lines of tariff war, as many lose sales

Fakiha Baig and Ritika Dubey, The Canadian Press 5 minute read Tuesday, Sep. 15, 2026

Since the latest U.S. tariffs rolled in this past weekend, Bernard Hellen has been fielding order cancellations for 3D miniature models — all previously bound for his American clients.

"I've probably had about 50 order cancellations this morning alone," said Hellen, owner of Toronto-based Miniprints, which makes railroading hobby miniatures of animals and figurines.

For Hellen, Americans make up 85 per cent of his sales.

"A 50 per cent tax is more than the average American consumer can pay or is willing to pay," he said in a phone interview on Monday.

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Tuesday, Sep. 15, 2026
Marta Guerrero photo
                                Louise Plamondon, présidente du conseil d’administration de la Maison Gabrielle-Roy.
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Préserver à bout de bras

Hugo Beaucamp 7 minute read Preview
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Préserver à bout de bras

Hugo Beaucamp 7 minute read Saturday, Aug. 22, 2026

La Maison Gabrielle-Roy s’apprête à abattre trois ormes plantés devant le musée depuis 1905. Une décision prise à contrecœur pour assurer la sécurité du bâtiment et du voisinage, mais qui illustre surtout les défis financiers auxquels sont confrontés les petits organismes patrimoniaux, contraints de jongler entre entretien, programmation culturelle et ressources limitées.

Avec beaucoup de peine, la Maison Gabrielle-Roy va de l’avant pour faire abattre les trois ormes qui trônent devant le musée depuis plus d’un siècle.

Du fait de leur grand âge et de la météo difficile de ces derniers mois, c’est un peu dos au mur que le conseil d’administration a pris la décision de couper ces arbres.

Une décision jugée “très importante” par la présidente du CA Louise Plamondon.

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Saturday, Aug. 22, 2026

The common abuse of ‘common sense’

Alex Passey 5 minute read Wednesday, Aug. 19, 2026

If you spend any amount of time having deep conversations on sensitive subject matters, you will undoubtedly encounter patterns of thought and speech peppered into the discourse as if certain people were helpless but to utter them.

Perhaps you are trying to get to the heart of a complicated matter and the disagreement with your conversational partner starts to get a little heated. Often somebody will dust off the old diplomatic gem of “let’s agree to disagree” to extinguish further argument.

Or perhaps you are trying to console a grief-stricken person who has gone through a traumatic event. People in such a state will often rail against the state of the universe with powerful philosophical sentiments, demanding to know how such injustice could be permitted. You would not be the first person to misguidedly try to soothe them with something like “everything happens for a reason.” Or, less secularly, “God works in mysterious ways.”

These are known as thought-terminating clichés. Pithy little sayings that sound like folksy wisdom but serve mostly to sever a train of thinking, often because it is either uncomfortable or more complicated than the person is willing to engage. Admittedly, they often come from a good-natured place of keeping the peace, though it could easily be argued that they mostly serve to preserve to comfort or indulge the intellectual laziness of those who speak them.

Credit cards are displayed in Montreal, Wednesday, Dec. 12, 2012. THE CANADIAN PRESS/Ryan Remiorz
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Insolvencies jumped 11.5% annually in June, Canada’s bankruptcy monitor shows

Craig Lord, The Canadian Press 3 minute read Preview
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Insolvencies jumped 11.5% annually in June, Canada’s bankruptcy monitor shows

Craig Lord, The Canadian Press 3 minute read Friday, Sep. 4, 2026

OTTAWA - Insolvencies in Canada are floating around levels not seen since the global financial crisis more than 15 years ago, new data shows.

The Office of the Superintendent of Bankruptcies released updated figures on Monday showing 13,254 insolvencies were filed in June, up 5.7 per cent compared with May and 11.5 per cent from a year ago.

Consumers — who make up the bulk of insolvency filings — led the annual increase, though business filings were also on the rise year-over-year.

"While the data has been quite volatile over the past year, even on a seasonally-adjusted basis, insolvencies have been stabilizing at levels not seen since the Global Financial Crisis in 2009," said Charles St-Arnaud, chief economist at Servus Credit Union, in a note to clients this week.

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Friday, Sep. 4, 2026
An app screenshot for Wealthsimple is seen on a smartphone in a photo illustration made in Toronto, Monday, June 17, 2024. THE CANADIAN PRESS/Giordano Ciampini

Does Wealthsimple want to add sports, politics to its new prediction markets product?

Tara Deschamps, The Canadian Press 5 minute read Preview

Does Wealthsimple want to add sports, politics to its new prediction markets product?

Tara Deschamps, The Canadian Press 5 minute read Monday, Aug. 10, 2026

TORONTO - Wealthsimple’s newest product has given armchair economists and Canadians convinced they can predict Mother Nature a chance to put their skills to the test, but some say the business is likely after an even bigger audience.

The Toronto-based financial services company started offering prediction markets last month. The product lets customers make wagers of $1 or less on the outcome of economic, financial or climate matters like what will happen at the Bank of Canada's next interest rate announcement or how many major Atlantic hurricanes there will be this year.

But the first few weeks have some thinking Wealthsimple might have even bigger ambitions.

When Charles Martineau, an associate professor of finance at the University of Toronto, and Marius Zoican, the Canada Research Chair in financial technology, each logged onto Wealthsimple's Predict app, they found it displaying stakes in who will become the next James Bond, what the score will be at future football games and who will win the 2028 U.S. presidential election.

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Monday, Aug. 10, 2026
FILE - The Chat GPT app icon is seen on a smartphone screen, Aug. 4, 2025, in Chicago. (AP Photo/Kiichiro Sato, File)

Some US adults are using AI for financial guidance but few trust it, Gallup poll finds

Adriana Morga, The Associated Press 5 minute read Preview

Some US adults are using AI for financial guidance but few trust it, Gallup poll finds

Adriana Morga, The Associated Press 5 minute read Monday, Aug. 10, 2026

NEW YORK (AP) — Some U.S. adults are using artificial intelligence for financial guidance, but it’s far from the most trusted source of advice, according to a new Gallup survey conducted in partnership with Edward Jones, a financial services firm.

About 1 in 5 Americans who have sought financial advice in the past year turned to AI, the survey found. But among U.S. adults overall, only about 3 in 10 have “a great deal” or “some” confidence in its expertise for managing money, according to the survey, including just 3% who trust AI “a great deal.”

The poll, which was conducted in the spring and looked at the views of adults who are at least 21, found a disconnect between the resources Americans trust for financial advice and the ones they actually rely on. About 8 in 10 U.S. adults have at least “some” confidence in financial advisers. But only about one-third of U.S. adults who sought financial advice turned to a professional financial adviser, with far more, 73%, saying they relied on their own internet research.

As the use of AI increases, financial experts say consumers should be cautious about fully trusting these tools. Using AI as a tool at the start of a learning journey and then combining this knowledge with other trusted sources can be the best way to engage with new and traditional financial guidance tools, said Taha Choukhmane, associate professor at MIT’s Sloan School of Management.

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Monday, Aug. 10, 2026
Shopify Inc. headquarters signage in Ottawa on Tuesday, May 3, 2022. Shopify Inc. is a Canadian multinational e-commerce company.  THE CANADIAN PRESS/Sean Kilpatrick
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Shopify’s AI tools triple traffic, lift Q2 profits and revenue

Tara Deschamps, The Canadian Press 3 minute read Preview
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Shopify’s AI tools triple traffic, lift Q2 profits and revenue

Tara Deschamps, The Canadian Press 3 minute read Saturday, Aug. 29, 2026

Shoppers and retailers increasingly relying on artificial intelligence helped Shopify Inc. post a US$1.5 billion profit in its latest quarter, pushing its share price up by double-digits.

The e-commerce software giant reported the profit compared with US$906 million a year earlier. The second-quarter result sent Shopify's share price up nearly 17 per cent to close at $201.97.

President Harley Finkelstein said Shopify is fashioning itself to corner the "new era of commerce" being spurred by more people turning to AI to make and encourage purchases.

"Now, whether commerce is handled by humans or agents, whether stores are built by people or AI, Shopify runs underneath it all," he told analysts on a call Wednesday.

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Saturday, Aug. 29, 2026
Mike Deal / Free Press files
                                People take a break from sandbagging to protect properties in a flooded area of Swan River on July 2.

Insurance costs have been surging due to extreme weather brought on by climate change — and it’s likely to get more expensive

Joel Schlesinger 6 minute read Preview

Insurance costs have been surging due to extreme weather brought on by climate change — and it’s likely to get more expensive

Joel Schlesinger 6 minute read Saturday, Aug. 1, 2026

Floods, hail and wildfires are increasingly common features of North American summers.

Adding to collective dismay, these natural disasters are the common denominator behind sticker price shock for homeowners seeing insurance premiums jump higher annually.

“Home insurance has steadily been rising since 2019,” says Matt Hands, vice-president of insurance at Ratehub.ca.

A recent report from Statistics Canada shows home and mortgage insurance premiums have risen 45 per cent on average over the last six years. That is more than double overall inflation over that span.

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Saturday, Aug. 1, 2026
The produce section of a Toronto Loblaws is seen on Friday, May 3, 2024. THE CANADIAN PRESS/Chris Young
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Shoppers flock to the frozen aisle as fresh vegetable prices soar: Loblaw

Ritika Dubey, The Canadian Press 4 minute read Preview
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Shoppers flock to the frozen aisle as fresh vegetable prices soar: Loblaw

Ritika Dubey, The Canadian Press 4 minute read Friday, Aug. 21, 2026

Consumers are looking for savings in the frozen vegetable aisle at Loblaw banners as prices of fresh produce have spiked in recent months.

"It's more than (five percentage points) growth in the frozen veg in our hard discount banner," Loblaw Cos. Ltd. chief executive Per Bank told analysts on a second-quarter earnings call on Thursday. Hard discount largely refers to the company's No Frills and Maxi chains.

"Those customers who shop there, they are trying to mitigate their inflation."

Affordability continues to drive buying decisions as consumers contend with high gasoline and food prices.

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Friday, Aug. 21, 2026
FILE - Organic lettuce is displayed in Falls Church, Va., Saturday, March 11, 2017. (AP Photo/J. Scott Applewhite)

Between prices and a diarrhea-causing parasite, lettuce is causing hard times at some restaurants

Dee-ann Durbin, The Associated Press 5 minute read Preview

Between prices and a diarrhea-causing parasite, lettuce is causing hard times at some restaurants

Dee-ann Durbin, The Associated Press 5 minute read Sunday, Aug. 2, 2026

It’s been a choppy year for restaurants that lean into lettuce.

Lettuce prices rose sharply in the first half of 2026 due to hot weather in Arizona, where about one-third of America’s lettuce is grown. Now, restaurants are dealing with the fallout from a cyclospora outbreak linked to shredded lettuce that has sickened thousands of Americans.

Yum Brands, the parent company of Taco Bell, said Thursday that Taco Bell's U.S. same-store sales are down 2% so far in the July-September period due to customers' concerns over the outbreak. That compares to a 7% same-store sales increase in the April-June period.

Federal health officials first tied the diarrhea-causing outbreak to shredded iceberg lettuce served at Taco Bell restaurants in Indiana, Kentucky, Michigan, Ohio and West Virginia. Later, the U.S. Food and Drug Administration said customers in Illinois, Kansas, Oklahoma and Pennsylvania were also affected.

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Sunday, Aug. 2, 2026
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