Consumer Spending Is Strong, but What Does It Mean for the Economy?
The U.S. consumer is strong. That's what Bank of America (NYSE: BAC) Chief Executive Officer Brian Moynihan told analysts during last month's third-quarter conference call. It was a reiteration of what he'd said several times earlier this year.
Mastercard (NYSE: MA) CEO Michael Miebach agrees, telling analysts that "consumer savings levels remained elevated" and that even though there have been shifts in what consumers are buying, "overall consumer spending has remained resilient."
The strength of the consumer is usually a good thing. But during times of inflation, such as now, it could be a problem. Here's why.
Source Fool.com
