Business Highlights: Goldilocks consumers, a surly chatbot – The Associated Press – en Español
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Cautious but steady consumers buoying hopes for US economy
WASHINGTON (AP) — Call it the Goldilocks consumer. Defying high inflation and sharp interest rate hikes, Americans keep spending — a trend that, if sustained, could keep the economy humming just enough to help avoid a much-predicted recession. Surveys show that consumers on average don’t expect today’s still-high inflation to last for very long. That confidence could lead them to moderate their spending habits and wage demands, which would help slow inflation over time. If the combination lasts, it could make it easier for the Federal Reserve to tame inflation without derailing the economy. As inflation eased, the Fed would be able to curtail its rate hikes, making a recession less likely.
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