Announcer:
4 Your Money is brought to you by NelsonCorp Wealth Management.
Brandy Auterson-Hurst:
It’s now time for 4 Your Money. We’re joined by David Nelson, CEO of NelsonCorp Wealth Management.
Welcome back, David.
David Nelson:
Thanks, Brandy. Appreciate it.
Brandy Auterson-Hurst:
So consumer spending has been a big question mark lately. What are you seeing in the numbers right now?
David Nelson:
Yeah. So oftentimes we talk to people in terms of, and we share with them that betting against the consumer is typically going to be a pretty bad idea. The example that we typically use is when people are feeling pretty good, we spend money as Americans and when people are depressed, they even spend more money. So a chart that I brought along today is kind of illustrating this idea and what we’re looking at here is we’re trying to get as realtime data as possible. So one of the ways to do that is to look at restaurant spending and as far as bars, restaurants, et cetera. And what we’re seeing is a pretty clear rebound in this particular chart, showing that spending is actually, it was dropping as far as we go back to February, now we’re seeing it move the other direction in a pretty substantial way. Historically, we’re looking at 4%, give or take, and we’re now in the range of 6.2%, which again is basically telling us as investors is that the consumer and the economy are basically looking better than the typical headlines are implying.
Brandy Auterson-Hurst:
Yeah, that sounds like good news, but what should investors take away from this?
David Nelson:
Well, if we look across the broader indicator composite that we look to, I think it’s pointing to that the economy is actually doing much better than what most people believe. And again, it’s not a runaway steal today as far as stocks are concerned, but it is implying that they’re priced at a pretty reasonable level.
Brandy Auterson-Hurst:
All right, David. As always, thanks for joining us today.
David Nelson:
Thank you.
Brandy Auterson-Hurst:
If you missed any of our discussion, we’ll make it available for you on ourquadcities.com.
Investing involves risk. Depending on the types of investments, there may be varying degrees of risk. Investors should be prepared to bear loss, including total loss of principal.
Indices mentioned are unmanaged and cannot be invested into directly.
This video includes a paid appearance.