economy

January 8, 2026

Consumer outlook improves despite job worries, New York Fed survey finds

The New York Fed’s monthly Survey of Consumer Expectations found that more households expect to be better off a year from now.

Consumer outlook improves despite job worries, New York Fed survey finds

TL;DR

  • New York Fed survey shows increased optimism for 2026 financial standing.
  • Consumers expect higher short-term inflation but improved year-ahead financial situations.
  • Expectations for missing debt payments have risen to the highest level since April 2020.
  • Job loss expectations have also worsened across all demographics.
  • Delinquency rates increased in December, potentially continuing to rise due to joblessness.
  • Consumer views on current financial situations have turned negative for the first time since July 2022.
  • Credit card balances continue to edge higher, widening the divide in a K-shaped economy.
  • The K-shaped economy benefits homeowners and stockholders but not all consumers.

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