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flag Wealthy Americans keep spending on premium goods, while lower- and middle-income households cut back due to stagnant wages and rising costs, widening the economic divide.

flag A growing economic divide is reshaping U.S. consumer spending, with wealthy households maintaining high spending on premium goods while lower- and middle-income consumers cut back due to stagnant wages and rising costs. flag Companies like McDonald’s, Coca-Cola, and Mondelez report shifting patterns: value segments weaken as demand rises for premium and private-label products. flag McDonald’s revived value meals amid declining traffic among lower-income customers, while Chipotle notes reduced dining frequency, especially among younger adults facing job instability and student debt. flag The top 10% now holds 67% of national wealth, up from 61% in 1989, reflecting long-term inequality. flag Federal Reserve Chair Jerome Powell has acknowledged the bifurcated spending trends, as businesses adapt with dual strategies targeting both high- and low-income markets.

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