Fear of Trump tariffs is causing Americans to stockpile toilet paper, medicine, and food before prices rise

Published On Dec 9, 2024, 3:56 PM

Consumers are increasingly worried about potential tariff increases following Donald Trump's election victory. A survey indicates that one in three Americans is planning to buy more items this holiday season due to fears of higher prices. Major grocery items like toilet paper, nonperishable food, and medical supplies are top of the stockpiling list, as many anticipate rising costs driven by tariffs. This uptick in consumer spending is leading some to incur more debt, and businesses are also stockpiling to avoid the expected price increases from potential tariffs. Trump's proposed tariffs could reach up to 60% on certain imports, raising concerns among consumers and retailers alike.

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Stock Forecasts

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Increased consumer spending driven by fears of tariffs could bode well for retail stocks, especially those in consumer staples and discount markets as they may see a temporary surge in sales. However, potential long-term impacts of tariff implementations could squeeze margins, leading to price hikes that may deter consumer spending in the future.

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