March 3, 2025 – MarketWatch featured insights from Simeon Wallis, Chief Investment Officer at Aprio, in the Feb. 28, 2025, article, “People are worried about their jobs. Here’s why that matters for stocks and bonds.” In this article, Simeon explored how concerns about government layoffs, tariffs, and inflation have worsened consumer sentiment and negatively impacted consumer stocks. Simeon noted that the bifurcation in the U.S. economy has become more pronounced, with a growing divide between a secure consumer and a stressed consumer.
“The consumer is 70% of the economy. If we see increased stress, that’s a bigger risk,” Simeon said. He explained that homeowners, especially those with fixed-rate mortgages and equity, are more financially secure compared to renters who rely on floating-rate debt, like credit cards, and who have struggled to keep up with rising rates. Simeon’s remarks shed light on how economic pressures are beginning to impact consumer sentiment, which could have broader implications for the economy.
For more, read the full article on MarketWatch.