Americans aren’t cutting back on spending — even with rising inflation

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Americans aren’t cutting back on spending — even with rising inflation
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Some 32% of U.S. consumers splurged on a vacation in the second quarter of this year, up seven percentages points from the first quarter.

It’s been months since most Americans received their third stimulus checks, yet fewer Americans are cutting back on spending.Some 32% of U.S. consumers splurged on a vacation in the second quarter of this year, up seven percentages points from the first quarter, according to a survey published Thursday by The Conference Board, a membership-funded nonpartisan think-tank.

The uptick in spending on vacations and out-of-home entertainment has helped bring inflation to decade-high levels. “It isn’t the kind of inflation that’s spread broadly across the economy,” Powell said Wednesday during a press conference following the bank’s decision to leave interest rates at near-zero levels.

Perhaps more Americans would have put health as a top concern in May had they known more about the delta variant of COVID-19.

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