Why won't consumers stop spending?

Inflation remains a real burden for households, but resilient employment is helping consumers keep spending even as prices stay elevated.

That strength is supporting demand across the economy, though buyers are becoming more selective and are rewarding companies that offer clear value through price, quality, convenience, or brand strength.

For investors, the message is that inflation alone may not derail consumer activity if job security stays solid.

The bigger risk is uneven outcomes across sectors and a choppy policy backdrop as tariffs, energy costs, and other pressures keep inflation from settling cleanly lower.

In fixed income, this argues for patience, high-quality credit exposure, disciplined sector selection, and shorter duration rather than aggressive risk taking.