NBC Claims Increased Spending Shows ‘Confidence,’ Omits Inflation
31st May 2024
Wednesday morning’s airing of NBC’s Today included a segment exploring the purported rise of consumer confidence in May. The show’s hosts were joined by senior business correspondent Christine Romans, who broke down the contributing factors and came to the conclusion that people were acting confidently through their spending, while simultaneously not taking into account that goods and services cost more due to inflation.
Romans began by firmly stating that “a very strong job market is really supporting people’s finances here.” She cited examples of people’s intentions to make larger purchases, like cars and appliances, adding that “Those are things that suggest you have confidence in your paycheck.” According to her analysis, the labor market was most significantly affecting the increase in consumer confidence.
Following a short discussion of the housing market and interest rates as related to the confidence number, things started to unravel when Romans then considered the problem of affordability and complaints regarding excessive costs for basic necessities.