Cash-strapped consumers are cutting back on personal hygiene products, according to Bloomberg. It’s yet another sign, after two years of negative real wage growth, depleted personal savings, and record amounts of credit card debt, the supposedly ‘strong’ consumer under ‘Bidenomics’ continues to crack under the heavy weight of a once-in-a-generation inflation storm.
Data from NIQ, which tracks retail sales, reveals consumers are decreasing their spending on personal hygiene products, like toilet paper, toothpaste, and laundry detergent. Sales for those items in the 52 weeks through June 24 were down 3% to 4%.
“The strains that the consumer is under have been exacerbated over the last couple of months,” Morningstar analyst Erin Lash told Bloomberg. She noted a reduction in food assistance programs, lower tax returns, and the end of stimulus checks are some of the reasons for faltering consumers. Also, as we noted in the intro, inflation outpaces wage growth for two years and has crushed households, forcing many to drain savings and rack up enormous credit card debt in a high-rate environment.
https://www.zerohedge.com/markets/cash-strapped-consumers-cut-back-toilet-paper-and-toothpaste