What's going on?

Earnings from British baker Greggs left investors with soggy bottoms on Tuesday, after slowing sales and fewer-than-expected store openings led to a 9% drop in its shares.

What does this mean?

Greggs� third-quarter sales rose 7% compared to the same time last year. Tasty, sure, but a big slowdown from the 15% growth in the first half of this year. And now that the company�s said it�ll open 10% fewer new stores than expected this year, investors are getting worried about how much crust they�re going to earn.

Greggs also expects to catch some heat from Brexit, which could overcook its food and labor costs. So in an effort to protect its European supply from disruption, the baker announced it�s already stockpiling ingredients. This increased demand could send prices higher and stoke inflation � both at home (by way of higher pastry prices) and in Europe, where Greggs buys its ingredients.

Why should I care?

For markets: No inflation scares� yet.
Europe isn�t worried for now: new figures on Tuesday showed the increase in prices of eurozone goods and services dropped to its lowest rate in almost three years. Inflation was 0.9% in September � way below the European Central Bank�s 2% target. And inflation that low vindicates last month�s decision to cut interest rates: lower rates encourage borrowing and spending, leading to higher prices. The prospect of future price increases, meanwhile, encourages consumers to spend now, driving economic growth.

For you personally: You are what you eat.
Much of Greggs� recent success has come from chowing down on trends � namely the craze for vegan faux-meat. And it’ll be hoping its foray into home delivery will be just as successful. McDonald�s, meanwhile, launched its own plant-based burger in Canada this week. Its supplier Beyond Meat will be happy � as will the plant-based food producer’s investors, who�ve already filled up on 100% gains since its stock went public in May.