In a significant uptick, consumer spending surged in March as Americans anticipated the impact of impending tariffs. The latest reports indicate that while inflation has shown signs of cooling, with key measures like the core PCE index softening to a multiyear low, consumers have proactively increased their expenditures, particularly on big-ticket items. Personal income also rose, with a 0.5% increase reported alongside a 0.7% rise in spending. Despite elevated inflation levels and a downbeat Q1 GDP report, the economy displays resilience as Americans prepare for potential price hikes resulting from tariffs. Market analysts remain cautious, highlighting that while inflation pressures have eased, the looming tariff situation casts uncertainty over future economic stability.