Bloomberg Surveillance · Friday, August 14, 2026
Sarah Hunt indicates that consumer spending is still strong, driven by earnings growth, although concerns exist about the sustainability of this trend. While there have been discussions about a 'K-shaped' economy, with the lower half improving in terms of jobs and wages, the overall consumer remains a key factor in the market's performance.
“Well, I think you've seen some incredibly good numbers in places that are outside the AI space, and I think that there. I mean, the earnings growth is really what's helping this market, and the concern is really that the earnings growth is going to slow down, because it's all about earnings in the end, and that's usually what presage is any real problems right now, you're not seeing that yet.”
“The consumer is still spending. Whether or not they can continue to do so ad infinitum is the question. But that hasn't been a problem and people have been looking it for it.”