U.S. Consumer Spending & Inflation Report: December 2022

Report summary

November appeared to bring a sobering return to softer spending growth after slowing inflation and rising wage growth coincided with a boost in outlays during the previous month. Morning Consult’s spending data showed a decline in overall spending since October, and expectations are that retail sales growth will also slow. However, signs of possible price relief are continuing to accumulate, suggesting the grip of inflation may loosen further in the coming months.

Key Takeaways

  • Consumer spending growth appears to have weakened in November as Morning Consult’s data and expectations for retail sales dip lower.
  • Core inflation remained elevated in November, but signs of diminishing price pressures across several categories suggest further relief may lie ahead.
  • U.S. household finances are being stretched as consumers navigate the tricky balance between spending and inflation, increasingly drawing on credit and savings to cover expenses.

About the authors

A headshot photograph of Kayla Bruun
Kayla Bruun
Senior Economist

Kayla Bruun is a senior economist at decision intelligence company Morning Consult, where she analyzes consumer spending, inflation and household finance trends, leveraging the company’s proprietary high-frequency data.

Prior to joining Morning Consult, Kayla was a key member of the corporate strategy team at telecommunications company SES, where she produced market intelligence and industry analysis of mobility markets. 

Kayla also served as an economist at IHS Markit, where she covered global services industries, provided price forecasts, produced written analyses and served as a subject-matter expert on client-facing consulting projects. 

Kayla earned a bachelor’s degree in economics from Emory University and an MBA with a certificate in nonmarket strategy from Georgetown University’s McDonough School of Business.

Follow her on Twitter @KaylaBruun. For speaking opportunities and booking requests, please email [email protected]

A headshot photograph of Sofia Baig
Sofia Baig

Sofia Baig is an economist at decision intelligence company Morning Consult, where she works on descriptive and predictive analysis that leverages Morning Consult’s proprietary high-frequency data. Previously, she worked for the Federal Reserve Board as a quantitative analyst, focusing on topics related to monetary policy and bank stress testing. She received a bachelor’s degree in economics from Pomona College and a master’s degree in mathematics and statistics from Georgetown University.

Follow her on Twitter @_SofiaBaig_For speaking opportunities and booking requests, please email [email protected]