The warning signs are everywhere. The Federal Reserve has confirmed that the US economy has contracted for 6 straight weeks, with hiring slowing and businesses hesitating under the weight of tariff-related price increases.
Consumers are feeling the pressure. Inflation reports may show cooling numbers, and interest rate cuts may be on the horizon, but none of that matters when wallets are empty. People are drowning in debt, struggling to feed their families, and watching their purchasing power evaporate.
The numbers tell the story. Job growth has stalled, with only 139,000 jobs added in May, a sharp decline from previous months. The unemployment rate remains at 4.2%, but cracks are forming. Businesses are freezing expansion plans, delaying investments, and cutting hours. The Federal Reserve’s Beige Book paints a bleak picture—uncertainty is paralyzing decision-makers.
🚩 Consumers are BROKE.
Broke consumers do not care that the "inflation number came in cooler" or "interest rate will be cut."
Consumers are drowning in:
– Debt, more debt, and lots of mouth to feed.
Some might argue it is consumers problem. Maybe.
But, soon, it will be… pic.twitter.com/Dfg6VURt3W— Unicus (@UnicusResearch) June 12, 2025
The U.S. economy has contracted over the past six weeks as hiring has slowed and consumers and businesses worried about tariff-related price increases, the Fed has reported.
— unusual_whales (@unusual_whales) June 11, 2025
Tariffs are making everything worse. The latest trade policies have sent costs soaring, forcing companies to pass expenses onto consumers. Retailers like Walmart and Best Buy have warned of price hikes, while manufacturers struggle to absorb rising costs. The result? Families are spending less, businesses are pulling back, and the economy is grinding to a halt.
Debt levels are unsustainable. Credit card balances are at record highs, mortgage delinquencies are creeping up, and auto loan defaults are rising. This isn’t just a consumer problem, it’s about to become everyone’s problem.
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