Barclays' Yih Says Consumers are Shifting to Services

The video discusses the slow decline of inflation and its impact on consumer spending, particularly in retail and services. It highlights the shift from product to service spending, the effect of inflation on different income levels, and the white-collar layoff trend. The promotional environment and inventory issues are examined, along with their impact on margins. The concept of a product recession is introduced, with investment strategies in retail sectors like beauty and athletic footwear. Finally, luxury spending trends are analyzed, focusing on global markets, especially China and Europe.

In what ways are higher-income consumers responding to inflation?

What factors contribute to the current state of the retail environment?

What are the potential future trends in consumer spending based on current data?