While low-income consumers struggle with rising gas prices, higher earners grow nervous as markets fall

Bank of America data shows lower-income consumers are already pulling back on spending while consumer-sentiment readings among higher earners have weakened. The split suggests concentrated demand weakness at the low end and rising caution among higher-income households, posing downside risk to near-term retail sales and consumer-driven GDP.

Analysis

Bank of America data shows lower-income consumers are already pulling back on spending while consumer-sentiment readings among higher earners have weakened. The split suggests concentrated demand weakness at the low end and rising caution among higher-income households, posing downside risk to near-term retail sales and consumer-driven GDP.