Holiday spending will surpass $1 trillion this year and set a record despite consumer caution, according to a forecast by the National Retail Federation https://t.co/EANQPAIXnV ...

NEW YORK (AP) — American shoppers are expected to spend more during the holiday shopping season this year, compared with a year ago, despite uncertainly over tariffs and the overall economy. The 2025 forecast from the National Retail Federation on Thursday estimates that shoppers will make $1.01 trillion to $1.02 trillion worth of purchases in November and December, an increase of 3.7% to 4.2% over the same two-month period a year ago. However, holiday spending was up 4.3% during last year's holiday peri ...

Group 1: Holiday Spending Trends - U.S. retail sales are projected to grow by 3.6% year over year according to Mastercard Economic Institute [1] - Deloitte data indicates a growth range of 2.9% to 3.4% year over year, despite a survey showing more consumers plan to reduce holiday spending compared to 2024 [1] Group 2: Consumer Financial Health Indicators - A significant warning sign for consumers is carrying a credit card balance, with the average APR on credit cards at 22.83% as of August [3] - Credit card issuers have increased average APRs beyond changes in the prime rate, and a cut in credit limits can negatively impact credit scores [3] Group 3: Buy Now, Pay Later (BNPL) Usage - BNPL services are gaining popularity, with a recent survey showing that 41% of BNPL borrowers made at least one late payment in the past year, an increase from 34% [5] - A concerning statistic is that 58% of BNPL users indicated these loans are the only way they can afford certain purchases, rising to 72% for those earning less than $50,000 [6]

Gold prices edged lower on Wednesday as caution prevailed ahead of the U.S. consumer price inflation report that could provide more clarity on the Federal Reserve's interest rate trajectory.As the peak holiday shopping season approaches, most U.S. consumers have a downbeat outlook on the economy, according to an annual Deloitte survey published on Wednesday.Most consumers surveyed — 57% — said they expect the economy to weaken in the year ahead, the consulting firm found in a poll of roughly 4,000 responden ...

Group 1: Halloween Spending Trends - Nearly 79% of U.S. adults plan to celebrate Halloween in 2025, with an average spending of $420 per household [1][2] - Young Americans, particularly Gen Z (93%) and Millennials (87%), show the highest intent to celebrate, with spending averaging $622 for Gen Z households [3][4] - Households with children plan to spend an average of $652 on Halloween, significantly more than the $215 planned by those without children [5] Group 2: Costume and Candy Expenditures - Adults celebrating Halloween expect to spend an average of $58 on their own costumes and $87 on family costumes, with 33% planning to buy pet costumes averaging $22 [6][7] - Half of the adults celebrating Halloween plan to purchase pet costumes, spending an average of $50, which is more than double the national average [7] Group 3: Budgeting and Savings Recommendations - A majority of Halloween participants (57%) are willing to buy candy in bulk to save money, while only 24% would consider switching to less expensive candy [8] - Creating a dedicated fund for holiday expenses is recommended to manage spending effectively, with suggestions to use high-yield savings accounts for better financial planning [9][10]

The Mastercard Economics Institute expects holiday spending to increase at a lower rate than last year as consumers navigate a slowdown in hiring in the labor market and uncertainty around the impact of tariffs.By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions .Complete the form to unlock this article and enjoy unlimited free access to all PY ...

Consumer Spending Trends - PJC forecast indicates a potential pullback in consumer spending, marking the steepest decline since the start of the virus pandemic [1] - The survey, conducted in June and July, reflects consumer sentiment at that time, making it potentially too early to definitively predict holiday spending [2] - Retailers face challenges due to tariffs, potentially leading to reduced discounts, which could impact consumer demand [3] - Consumers are willing to spend on important days, events, and loved ones, suggesting Christmas spending may not see a major drop [7] Generational Spending Patterns - Gen Z is projected to decrease spending the most, with a planned cutback of 23%, driving an overall 5% decline [4] - Unlike boomers, Gen X, and millennials, who plan to maintain their spending, Gen Z's pullback is significant [4] - Last year, Gen Z planned to spend 37% more on gifts, travel, and entertainment, highlighting a significant shift this year [5] Retail Impact - Retailers catering to younger shoppers, particularly Gen Z, will need to work harder to attract them [5] - The actual holiday season print may not be as negative as initially expected, based on previous experiences [6]