Consumer Spending Could Accelerate, Fueled by Value, Lower Rates -- Market Talk

Dow Jones
09 Jan

1542 ET - Policies under the upcoming Trump Administration are expected to ultimately boost consumer spending, which picked up toward the end of 2024 and is expected to continue to accelerate throughout the new year, Truist analysts say in a research note. They note, however, that the risk of higher tariffs will push investment and cash flows toward U.S.-centric operations, such as retail. The analysts point to value-providing retailers, such as Walmart, Ollie's and Costco, as most likely to attract shoppers. Moderately lower interest rates should benefit Home Depot and Lowe's, they say. Auto-parts retailers AutoZone and O'Reilly, meanwhile, could benefit from product inflation caused by tariffs. (connor.hart@wsj.com)

 

(END) Dow Jones Newswires

January 08, 2025 15:42 ET (20:42 GMT)

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