Harvard Business Review’s Post

Economic data may show strength, but consumer sentiment tells a different story. This research highlights how rising effort and widening spending gaps contribute to persistent economic pessimism. A valuable read for understanding the disconnect between data and perception. #EconomicTrends #ConsumerSentiment #BusinessInsights

Perception and reality are not the same but they are equally important. This is as true for crime stats as it is for staff confidence that their organisation can deliver change well. #vibes is a topic we’ve spoken about a lot in my team over recent months as we think about transformation. This article is a great example of why this concept is so important to real world planning and analysis. #emotionsandlogic #transformation #hbr

EFFECTIVENESS OF THE PURPOSE, EFFICIENCY OF THE PROCESS AND EVOLUTIONARY SUSTAINABILITY PREVENTATIVE SUCCESS LINKING THE COMMITMENT BY THOSE WHO WILL BE THE INNOVATIVE RESULT OF ITS BEST VERSION. EMOTIONAL AWARENESS☺️🇵🇦💪

Understanding consumer behavior is crucial for predicting economic trends. Larry Adam, CIO, discusses how consumers are becoming more discerning in today's market. While consumer confidence is deteriorating due to rising interest rates and inflation, Larry highlights that record-high household net worth and rising incomes should support spending. Stay informed on the latest market insights to navigate these changes effectively: https://lnkd.in/gwsXXUNd #ConsumerBehavior #EconomicTrends #FinancialInsights https://lnkd.in/gksxZZMb

Understanding consumer behavior is crucial for predicting economic trends. Larry Adam, CIO, discusses how consumers are becoming more discerning in today's market. While consumer confidence is deteriorating due to rising interest rates and inflation, Larry highlights that record-high household net worth and rising incomes should support spending. Stay informed on the latest market insights to navigate these changes effectively: https://lnkd.in/gwsXXUNd #ConsumerBehavior #EconomicTrends #FinancialInsights

Consumer sentiment in the U.S. dropped to an eight-month low in July, according to the Consumer Sentiment Index from the University of Michigan. While the U.S. technically isn’t in a recession, a survey by Affirm found that roughly 3 out of 5 Americans believe it is. In a 2024 poll, Gallup found that one-third of Americans mentioned economic issues as the nation’s most important problem. Learn more here: cnb.cx/3WP6sw3

Our latest #EconomicsWeekly is out | ‘Making sense of the US consumer'     • Whither the US consumer? There have been conflicting signals about the strength of the US consumer recently. The macro data have remained strong, but some consumer-facing companies have started to sound more cautious. How can we reconcile these conflicting trends? • Uneven effects of post-pandemic normalization This note looks at the US household sector in detail for some answers. It appears that the post-pandemic normalisation of the labour market, inflation, and interest rates are hitting lower income households far harder than those further up the income ladder. • Higher-end consumer still looks well-supported Higher-income households look in much better shape and account for the majority of consumption, helping explain the overall resilience in spending. Without some shock to balance sheets, it looks doubtful that consumption will slow much below trend this year. ASR clients can read this report in full here: https://buff.ly/4aLBxq0 If you are not already a client and are interested in a free trial of our award-winning research, please see: https://lnkd.in/eTPw36RH #economics #macro #research #economy 

Take a moment to consider your financial situation: Are you better or worse off financially than you were a year ago? Do you think you’ll be better off a year from now? And where do you see the country headed in the next five years? These are the kinds of questions used by the University of Michigan to calculate the Consumer Sentiment Index, an economic indicator measuring how people feel about the economy. “It’s a measure that we can compare over time and get a pulse on the attitudes of consumers,” said Joanne Hsu, director of the Surveys of Consumers at the University of Michigan. “Which is important given that consumer spending is over two-thirds of GDP.” That survey and others show there is a pervasive sense of disconnect between the overall economic picture and how people feel about the economy. Despite slowing inflation, a healthy labor market with record-low unemployment, and stocks that remain in a bull market, consumer sentiment remains below pre-pandemic levels. “People don’t tend to think in terms of inflation—economists do,” said Paul Donovan, chief economist at UBS Global Wealth Management. “But economists are not normal. Normal people think in terms of price levels.” Check out my latest video below to find out why consumer sentiment hasn’t matched up with the economic reality, the factors behind the disconnect, and why the issue could play an outsized role in this year’s U.S. presidential election. 💸🗳️ #economy #consumer #sentiment #inflation #prices #finance #spending #election

Do you know how many households are surveyed within each consumer sentiment survey? The answer is in the comments below For context, this lagging economic indicator is closely followed by investors and the media, and influences public and economic policy

📊 𝗘𝗰𝗼𝗻𝗼𝗺𝗶𝗰 𝗥𝗲𝗽𝗼𝗿𝘁: 𝗥𝗲𝘀𝗶𝗹𝗶𝗲𝗻𝘁 𝗖𝗼𝗻𝘀𝘂𝗺𝗲𝗿 𝗦𝗽𝗲𝗻𝗱𝗶𝗻𝗴 𝗕𝗼𝗹𝘀𝘁𝗲𝗿𝘀 𝗨.𝗦. 𝗘𝗰𝗼𝗻𝗼𝗺𝘆 The latest wave of economic data showcases the strength of the U.S. economy, driven by: 🔹 Consumer spending rising 0.4% in November, led by vehicles and electronics 🚗📱. 🔹 Inflation-adjusted incomes up 0.3%, providing a solid foundation for household confidence 💵. 🔹 Persistently low unemployment, sustaining robust activity across sectors. 💡 𝙒𝙝𝙞𝙡𝙚 𝙩𝙝𝙚 𝙝𝙤𝙡𝙞𝙙𝙖𝙮 𝙨𝙝𝙤𝙥𝙥𝙞𝙣𝙜 𝙨𝙚𝙖𝙨𝙤𝙣 𝙠𝙞𝙘𝙠𝙨 𝙤𝙛𝙛 𝙨𝙩𝙧𝙤𝙣𝙜, 𝙚𝙘𝙤𝙣𝙤𝙢𝙞𝙨𝙩𝙨 𝙝𝙞𝙜𝙝𝙡𝙞𝙜𝙝𝙩 𝙩𝙝𝙚 𝙗𝙖𝙡𝙖𝙣𝙘𝙞𝙣𝙜 𝙖𝙘𝙩 𝙛𝙤𝙧 𝙩𝙝𝙚 𝙁𝙚𝙙: 𝙖𝙫𝙤𝙞𝙙𝙞𝙣𝙜 𝙚𝙘𝙤𝙣𝙤𝙢𝙞𝙘 𝙤𝙫𝙚𝙧𝙝𝙚𝙖𝙩𝙞𝙣𝙜 𝙬𝙝𝙞𝙡𝙚 𝙨𝙪𝙥𝙥𝙤𝙧𝙩𝙞𝙣𝙜 𝙚𝙢𝙥𝙡𝙤𝙮𝙢𝙚𝙣𝙩. 👉 𝗥𝗲𝗮𝗱 𝘁𝗵𝗲 𝗳𝘂𝗹𝗹 𝗿𝗲𝗽𝗼𝗿𝘁 𝗯𝘆 Syed Muhammad Osama Rizvi here: https://lnkd.in/dGVK_uwW 𝗧𝗼 𝗴𝗲𝘁 𝗮 𝗳𝘂𝗹𝗹 𝘀𝘂𝗺𝗺𝗮𝗿𝘆 𝗼𝗳 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗳𝗿𝗼𝗺 𝗼𝘂𝗿 𝗴𝗹𝗼𝗯𝗮𝗹 𝗻𝗲𝘁𝘄𝗼𝗿𝗸, 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿 👉 https://lnkd.in/db4Shxrw #Economy #ConsumerSpending #Inflation #USMarket #GDPGrowth #EklipXResearch