***Breaking*** Consumer Sentiment Reaches Its Second Lowest Level Since The 50s.

[DemocratSinceBirth]

Inflation expectations are highest in forty years.

[Irish_Dem]

1. Once Americans stop spending, the economy is in big trouble.

This is what has happened to China.
Since the Covid lockdown and the housing crisis, the Chinese stop spending.
The warehouses are full of merchandise. The economy is in trouble.
This is why China has had to dump merchandise on Europe.

[roamer65]

2. I've eliminated nearly all discretionary spending.

Even chopping at monthly expenses.

Others around me are as well.

Severe deflationary recession is coming, folks.

[Irish_Dem]

3. Same here.

Going over my budget and chopping items.
Cutting back as much as I can.

[Johonny]

6. I haven't started yet

But it feels like a matter of time before I dump some of my kids after school stuff. That is the only place to find savings for me.

[Irish_Dem]

7. When I was a practicing therapist, I though some kids were doing way too much every day.

Pre school programs, then school, then after school programs, sports etc.
Some kids were doing this stuff until 11 pm at night.
And eating mostly fast food. No time for parents to cook at home.

Some kids did not do well with it.

[bronxiteforever]

5. Me too. The economy is teetering like

a sinking ship. There are too many variables that TSF has set in motion.

[llmart]

14. Me too.

I'm a fairly frugal person and need very little, so it's not like I prop up the economy much anyway. But, now I'm just going to dig in and buy cheaper brands of items I do need or not buy them at all.

If the only thing most Americans care about is material things, then I am going to do my part to destroy the economy on the GOP watch.

[Prairie Gates]

4. Liberals and city dwellers sustained the economy

You shit all over them, and they lose confidence in the thing they are holding up. There is no John Galt on the supply side, but there are plenty of people who are going to hunker down on spending on the demand side, and they're the ones who count.

[GregariousGroundhog]

8. That's a pretty bold claim. Show me the data.

[Gaugamela]

13. Seconded.

[Johnny2X2X]

9. Americans are stopping spending

Scared consumers save, they don't spend. There was a little artificial boost before the tariffs of people buying big ticket items, that is past now.

It's what Republicans fail to see at every turn, the economy only grows when regular people have money to spend and are willing to spend it. No tax breaks for the rich matter one bit.

[roamer65]

11. They save and start paying down debt.

Two very deflationary acts.

You are right.

[CTyankee]

17. Exactly what I am doing right now. I don't buy anything but bare essentials.

I have worked out payment plans for oil heat and some earlier credit card debt. They will eventually be paid off but it won't be for at least 6 months. Then I go to paying all my bills with a debit (not credit) card.

[Lovie777]

10. Didn't I just read that inflation......

is going down and consumer spending is up?

[James48]

12. Link?

Why no link?

[wishstar]

15. Don't know what OP is referring to but here is new article I read today:

https://finance.yahoo.com/news/consumer-sentiment-craters-further-as-inflation-expectations-soar-to-highest-since-1981-143422026.html

[uponit7771]

16. No wonder MAGA wants to take away voting rights on a national level

[JCMach1]

18. Remember those covid shortages?

It's about to get orders of magnitude worse.

[progree]

19. A couple of graphs

The original source: http://www.sca.isr.umich.edu/

Here's a couple of the graphs:


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And links to three more:

Current Economic Conditions Index http://www.sca.isr.umich.edu/files/chiccr.pdf
Index of Consumer Expectations http://www.sca.isr.umich.edu/files/chicer.pdf
Expected Changes in Prices During the Next Five Years http://www.sca.isr.umich.edu/files/chpx5r.pdf

They also have Excel versions of all of the above.

All of the above are the 10 year graphs. They also have 50 year graphs, both PDF and Excel of all of the above.
http://www.sca.isr.umich.edu/charts.html