Should Investors Be Worried About Consumer Spending?
Research analyst Austin Smith discusses whether consumer spending data pose a problem for investors. In the second quarter, consumer spending rose only 1.5%, barely keeping pace with inflation. This trend has hurt many quality companies like Coach, Starbucks, and McDonald's. Still, Austin is not very concerned about the effect slowing growth in emerging markets will have on American companies, because these countries are still growing at solid rates. Long term, these companies' prospects have not changed.
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The article Should Investors Be Worried About Consumer Spending? originally appeared on Fool.com.Austin Smith owns shares of McDonald's. Isaac Pino has no positions in the stocks mentioned above. The Motley Fool owns shares of McDonald's and Starbucks. Motley Fool newsletter services recommend Coach, McDonald's, Starbucks, and True Religion Apparel. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.