The consumer is stealthily strengthening — and there's no bigger economic driver: Morning Brief

Published On Nov 1, 2024, 6:00 AM

Recent data indicates a steady rise in consumer spending, which is crucial for economic growth as it accounts for a significant portion of the U.S. GDP. Personal spending increased by 0.5% in September, with encouraging signs from credit data suggesting that consumers are in better financial condition than previously thought. A higher percentage of people are successfully paying off their credit card balances. Economists predict that this trend could support growth in consumer spending into the fourth quarter of 2024 and beyond, despite ongoing inflation concerns.

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The rise in consumer spending and improved credit card payment behaviors indicate robust economic health among consumers. Such stability is likely to drive higher sales and profitability for retail and consumer-focused companies.

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