All Things Considered, Consumers are Holding up Reasonably Well

Dow Jones
昨天

0935 ET - The broad consensus among retailers is that consumers are holding up reasonably well, UBS analysts say in a research note. "Yet, that conclusion masks an increasingly nuanced debate," they continue. For starters, consumers' resiliency is closely tied to income level, and "income-based bifurcation has become so widely accepted that it is almost cliche," the analysts say. At the same time, the recent acceleration at dollar stores, coupled with moderation at Walmart and Costco, has prompted renewed questions about shifting consumer behavior. "Investors continue to monitor credit card delinquencies, wealth effects tied to equity markets, and fuel prices as key variables that could shape spending patterns over the next several quarters," the analysts say.

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