Consumer Concerns and Equity Opportunities

In this episode of The Markets, Chris Hussey interviews Scott Feiler, a consumer sector specialist, about the current state and future outlook of the consumer market. Feiler acknowledges that the consumer is facing challenges, as indicated by low sentiment readings and cautious corporate outlooks. The conversation covers the upcoming Black Friday and holiday shopping season, with Feiler expressing optimism about consumer spending during these event-driven periods, while also noting a slowdown in spending during the "in-between" periods. They also discuss the impact of inflation on consumer behavior, noting that consumers are becoming more price-sensitive, and a shift in spending habits, with a convergence between goods and services. Despite concerns, Feiler is optimistic about the consumer sector, particularly defensive discretionary names like off-price and auto retail, due to potential strength during the holiday season and anticipated stimulus spending in 2026.