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Costco CEO Warns 'A Lot Of Consumers Are In Recession Right Now'
[ZERO] One question macro-watchers have on their minds is the state of the US consumer amid increasing threats of recession. The White House and Federal Reserve offer their perspective of a healthy consumer, but that's in total aggregate. It fails to show the entire story of working-poor Americans suffering amid the worst inflation storm in forty years. What better way to get a fresh glimpse of consumer health is via CNBC's "Squawk on the Street" interview with Craig Jelinek, CEO of Costco Wholesale Corporation, on Monday, who said overall "the consumer isn't doing bad," but also mentioned, "a lot of people, right now, they're in a recession because they're just trying to survive by just buying gas and making house and rent payments." Sounds confusing, right? But it's not. With some clarification, Jelinek said wealthier households still have "discretionary income to buy goods," which means the lower tier of consumers is perhaps tapped out. What's important is the CEO of the second-largest retailer in the world said, "consumers are getting more cautious." It's not necessarily a sign that all consumption is about to roll over, but cracks appear in lower-tier spenders. Posted by: Besoeker 2022-07-12 |
| http://www.rantburg.com/poparticle.php?ID=638213 |