Consumers see choppy economic waters

A majority of Americans remain concerned about the strength of the economy and even more believe the country is currently in a recession, according to Numerator’s monthly Consumer Sentiment Study. Here’s a breakdown of the most recent results:

• 59% of consumers have a high level of concern regarding the economy, remaining steady from August.

• 64% of consumers feel as though the country is in an economic recession, and 65% think the U.S. economy will worsen in the next few months. In addition, 74% think inflation will increase in the next few months.

• Over the coming months, 40% of consumers say their primary concern probably will be personal finances.

• 75% of consumers say rising prices on essential goods and services are their main economic worry followed by rising prices on gas/fuel at 70%.

• Consumers are more troubled about the economy’s impact on retirement savings or pension plans (42%) than they were in August (38%).

• Consumers are still uncomfortable with discretionary spending—72% are hesitant to splurge on premium items, 71% are wary of taking money out of savings or retirement accounts, and 55% are uncomfortable spending money on non-essential items.

• In response to inflation and rising prices, consumers plan to cut spending on dining out (44%) and travel (38%), but 27% do not expect to cut back on spending.

• Covid-19 concerns jumped in September with 24% of consumers reporting a high level of concern compared to 15% in August.