Fed Says World Cup Lifted Bars but Consumer Spending Slowed as Oil Prices Rose
Updated
Updated · CNBC · Jul 16
Fed Says World Cup Lifted Bars but Consumer Spending Slowed as Oil Prices Rose
3 articles · Updated · CNBC · Jul 16
Summary
The Fed’s latest Beige Book said World Cup tourism lifted bars, restaurants and some hotels in host cities, but broader consumer spending still slowed amid wider economic weakness.
Rising oil prices capped household spending, with several districts reporting consumers traded down to cheaper products or cut discretionary purchases to save money.
Boston and New York saw stronger beer sales, match-viewing traffic and higher hotel occupancy, though Boston hotels had to cut room rates to meet forecasts and some New York retailers said foot traffic did not translate into sales.
San Francisco Fed districts reported high tourist volumes in host cities, but other markets saw locals pull back on restaurants, hotels and entertainment, leaving demand for consumer and business services slower on net.
Canadian travel remained a weak spot: the Boston and New York districts reported fewer visitors from Canada, echoing a broader drop in cross-border trips after Trump’s tariff rollout and sovereignty threats.