Reuters
Doyinsola Oladipo
28 April 2025
Economists have widely predicted that the tariffs Trump imposed on the country's trading partners, and escalating trade tensions with China, would weigh heavily on the U.S. economy and could spur inflation in the months ahead, unless his administration changes tack.
With the value of 401(k) retirement accounts shrinking, many budget-conscious Americans appear to be hesitant about discretionary spending, particularly on travel, industry experts say. Many people are looking to spend less on vacation or even stay at home altogether.
U.S. consumer sentiment deteriorated to a near three-year low in April. Even before that, U.S. spending on both lodging and tourism-related activity in March was down about 2.5% year-over-year, according to Bank of America data based on total credit and debit card spending per household.
Read on: Stock market uncertainty makes many Americans wary of spending on travel | Reuters
