Sometimes I wonder if the FED even has a clue.

A study by the Kansas City Fed released Friday found the recent sentiment slump did not “meaningfully alter” its predictions of 2025 spending growth, noting the modest tie between how consumers feel and what they do. Others agree.

“Meaningfully alter” are you kidding. Yes, most people have to spend every penny they have just to get by no matter how bad they feel about the economy. The people who do have some discretion on spending will certainly cut back when they feel like things are going to get worse.

TEK