Consumer prices for cereal products as measured by the Consumer Price Index rose about 11 percent from January through June of 2022 compared to the same time last year. It’s the largest year-over-year increase during those six months since 1981. The USDA says the rise in consumer prices for cereal products tracks with a more substantial increase in the price of wheat. The Kansas City Wheat Market most closely reflects the prices that mills pay for wheat, and cash wheat prices were up 63 percent from the same period last year. The heightened volatility follows a historically typical pattern. Price changes in commodity markets tend to be relatively more extreme than the changes in consumer prices. Generally, commodity prices make up a small portion of the value of these cereal products because of the level of transformation and transportation that these products go through while moving through the value chain.