Bloomberg Businessweek US Consumer Spending Powers On Even as Inflation Persists
Sep 26, 2025
Max Abelson, a Bloomberg News finance reporter known for his investigative work on Jeffrey Epstein, joins the discussion. He dives into the latest consumer spending trends, revealing how resilient Americans are despite persistent inflation. The podcast explores what Epstein's private emails disclose about his network and strategic crisis management. Abelson also shares insights on the implications of these revelations for understanding power dynamics and public relationships.
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Consumers Keep Spending Despite Sticky Inflation
- U.S. consumer spending rose 0.4% in August and has shown solid consecutive gains despite inflation.
- The core PCE inflation gauge remains stubborn near 2.9%, keeping policy makers cautious.
Tariff Effects Could Raise Prices
- Tariffs may push some inflation higher as inventories run down and companies pass costs along.
- Timing and magnitude are uncertain, but economists expect tariff effects to show in coming months.
Weak Sentiment, Strong Spending
- Consumers report weaker sentiment even as spending remains strong, driven by visible food and gasoline price rises.
- Employment data like lower initial claims provides a partial bright spot behind spending resilience.