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Retail sales surprised with a 0.3% gain in May. Nearly every category advanced despite persistent concern about inflation.
Baby boomer Barbara Talisman quit her job to travel the world. Research shows her generation wants to live it up as younger folks spend less.
But with interest rates high and wage growth slowing, that level of spending is becoming unsustainable.
Consumers at almost every income level are finding ways to spend on getting out of the house.
It all depends on the questions pollsters ask. “How are you doing?” will elicit a different answer than “How do you feel about inflation?”
Between the pandemic and its economic ripple effects, the consumer experience has been a wild ride.
“You go out there right now in our store and there’s a community,” said Jamie York, owner of Game Underground.
Prices rose 4.9% year over year in April and 0.4% during that month. Consumer fatigue is showing in higher credit card balances and lower savings.
Discretionary spending may decline as people add those payments back into their budgets.
Opening new stores may be a way for some retailers to position themselves for both a downturn and a recovery.