EY-Parthenon Consumer Sentiment Survey finds Americans pulling back on summer travel and leisure spending as financial confidence weakens and geopolitical concerns rise

Only one in four Americans feel very confident financially as rising transportation costs and recession fears drive more intentional spending decisions

NEW YORK, June 9, 2026 — Americans are entering the summer with growing financial caution, cutting back on travel, dining and entertainment even as many report stable household finances, according to the latest EY-Parthenon US Consumer Sentiment Survey.

The survey of more than 1,500 US consumers found that only one in four feel very confident in their current financial situation, while nearly two-thirds believe a recession is likely. Rising transportation and gas costs, combined with broader economic and geopolitical uncertainty, are driving consumers to make more deliberate spending trade-offs across discretionary categories.

“Financial confidence has softened as consumers reassess their outlook and make more deliberate, trade-off-driven spending decisions amid ongoing economic and geopolitical uncertainty,” says Mark Chambers, EY Americas Retail Sector Leader. “This shift toward intentional spending signals to retailers that leading with value is critical, alongside refining pricing and promotion strategies in order to meet shifting demand.”

The data shows clear evidence of spending trade-offs, particularly across categories such as dining, entertainment and travel, as consumers rebalance budgets to manage ongoing cost pressures and shifting financial confidence.

Key findings from Wave 5 of the EY-Parthenon Consumer Sentiment Survey include:

• Consumers are growing more pessimistic about the economy as sentiment continues to weaken: Financial confidence has declined 12% over the past six months even as most households report stable month-to-month finances. Meanwhile, nearly two-thirds of consumers believe a recession is likely, highlighting a widening gap between current conditions and future expectations and reinforcing a more cautious, wait-and-see mindset.
• Gas prices are reshaping household budgets: Gas prices have emerged as a key near-term pressure point, with 90% of households expressing concern about transportation expenses.
• Summer travel and entertainment spending is under pressure: Consumers are reallocating budgets and reducing discretionary spending to offset rising essential costs. Many report changes to travel plans, food budgets and discretionary purchases, with more than 30% actively reevaluating leisure and entertainment spending heading into the peak summer travel season.
• Geopolitical concerns are rising, though many expect disruptions to be temporary: International conflicts are now a top-tier concern, but still ranked below the perceived impact of US politics, tariffs and inflation. About a quarter of consumers expect the Middle East conflict to last more than a year, while 21% remain unsure, underscoring elevated uncertainty.
• Financial confidence varies across income groups: Lower-income households are feeling the most strain, a pattern that has persisted over the past six months, even as many consumers report stable financial positions overall. This divergence highlights a more intentional, budget-conscious consumer who is prioritizing mindful spending.

“Consumers are actively reallocating their budgets as cost pressures, especially transportation, force sharper trade-offs across discretionary categories like entertainment, restaurants and travel,” says Will Auchincloss, EY-Parthenon Americas Retail Sector Leader. “Retailers that win in this environment will be those that sense changing priorities quickly, lead with clear value and adjust pricing, promotions and assortment with greater agility.”

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Learn more about the EY-Parthenon Consumer Sentiment Survey at Consumer Sentiment Survey (Wave 5) | EY - US

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Methodology

Wave 5 of the EY-Parthenon US Consumer Sentiment Survey includes responses from 1,500 US consumers, reflecting a broad cross-section of the general population. Survey topics include personal financial confidence, spending and savings behavior, category-level spending trends, retail traffic, channel preferences, AI usage and broader macroeconomic sentiment. This survey wave aims to assess how consumers’ priorities — and the trade-offs that they are willing to make — are impacted by current economic and geopolitical developments. The survey is conducted bimonthly.