Monday, May 11, 2026
Recent stock market moves don’t make a lot of sense from a macro standpoint. Stocks are hitting all-time highs despite oil prices soaring. The U.S. consumer sentiment index from the University of Michigan, with data going back to 1952, has never been lower.
The preliminary April sentiment index fell to 47.6 from 53.3 in March, and Americans expect prices to rise at an annual rate of 4.8% over the next year. The 47.6 reading is lower than the tariffs last spring, the inflation spike in 2022, COVID, and 2008’s Great Recession.
More than half of the respondents (54%) said their finances are worse than a year ago because of high prices. According to a survey from LendingTree, 54% of respondents said they couldn’t make ends meet without taking out “buy now, pay later” (BNPL) loans.
And it’s not just for discretionary purchases. Nearly 30% of respondents used a BNPL loan to buy groceries. That’s up from 25% last year and 14% in 2024.
It’s not just food – 13% of folks say they’ve used BNPL loans to pay rent. In fact, more than 70% of Generation Z and Millennial respondents said they would consider using BNPL loans for rent.
But just like with credit cards and auto debt, folks are falling behind on BNPL loans. Nearly half of the LendingTree survey respondents said they missed a BNPL loan payment, up from 41% last year.
When folks have to take a loan for groceries and rent, it’s a worrying sign.
Daniel A. White is an investment advisory representative of and provides advisory services through CoreCap Advisors, LLC. Daniel A. White & Associates and CoreCap Advisors are separate and unaffiliated entities.