Still Safe to Count on Consumers?

Their resolute spending has sustained the U.S. economy. Now it appears to be slowing as higher prices start to hurt

American consumers have proven surprisingly resilient in recent months. In the face of higher gas prices, rising interest rates, and a slowing housing market, consumers have kept right on spending. That's been critical to the continuing strength of the U.S. economy, because consumers account for more than two-thirds of gross domestic product. One additional positive sign on this front came on June 27: The U.S. Conference Board reported that consumer confidence actually rose a bit in June, with its index hitting 105.7, up from 104.7 in May.

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