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- Walmart: Consumers No Longer Willing to Pay Whatever. Prices of Goods Fall Broadly, as Inflation Shifted to Services
Walmart: Consumers No Longer Willing to Pay Whatever. Prices of Goods Fall Broadly, as Inflation Shifted to Services
by Wolf Richter Wolf Street
Food is the exception and pricing levels “continue to be a concern”: Walmart CEO. Sky-high food prices rose further.
What we got today confirms what we’ve seen develop for over a year: Prices of many consumer goods are coming down from their crazy spike, and I mean prices are actually falling, rather than just rising more slowly, as inflation has moved from goods to services, such as insurance and housing. Falling prices are good for consumers, and they boost inflation-adjusted consumer spending and “real” GDP, but they’re not good for companies that sell these goods, though their own input costs are also declining.