economy

Financing

Despite closures and traffic challenges, restaurants keep adding jobs

The industry added 29,800 jobs in December, according to new federal data released Friday, as hiring and wage growth normalized.

Financing

As restaurants head into 2025, more economic uncertainty abounds

The operating environment and the economy should provide some tailwinds while the M&A market returns to normal. But tariffs and deportations could create some real headaches.

Prices at restaurants and bars grew at a slower rate than they did at grocers, continuing a trend toward a more normalized rate of inflation.

Still, that's slightly better than small business rent delinquencies overall, according to a monthly survey. And, for restaurants, it's an improvement from August.

Sales at restaurants and bars increased 1% in September, according to new federal retail sales data. And they’ve been outpacing other industries all year despite consumer concern about menu prices.

Wages are rising faster than inflation, which could ultimately ease consumer pressure for lower prices. Meanwhile, grocery prices outpaced menu inflation last month.

The Bottom Line: Persistent job growth and other indicators show an economy that has been shockingly resilient despite a host of pressures over the past three years.

Thanks to strong performances by chains like Wingstop, Cava and Chipotle, the sector outperformed everyone else. And it wasn’t particularly close.

The Bottom Line: The price of gas has been falling much of the year and is below $3 per gallon in some states. Will that give operators a sales boost?

The agency cut its federal funds rate by a half-point on Wednesday, its first rate cut since 2020, as inflation cools and confidence grows that a recession can be avoided.

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