Economics

Fear Factor for U.S. Consumer Is Rising, Fueling Recession Risk

  • Dimmer sentiment data signal pillar of expansion could falter
  • Income gains provide power to spend but don’t guarantee it

The Shops at Columbus Circle mall in New York, U.S.

Photographer: Victor J. Blue/Bloomberg

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If self-reinforcing recession fears are the greatest risk to the record-long U.S. expansion, as posited by Bank of America Corp. Chief Executive Officer Brian Moynihan, the latest consumer sentiment report hinted that those concerns may be starting to emerge.