Lower-income households report growing food challenges, linking to broader pessimism despite overall economic strength.
A Federal Reserve Bank of New York study reveals a significant increase in food insecurity among lower-income, lower-educated, and households with young children. The findings, based on surveys conducted between October 2025 and February 2026, show rising reports of using savings for expenses, skipping meals, or relying on food assistance.
The data highlights a broad-based rise across demographics, with larger impacts on nonwhite, lower-income, and less-educated groups. The trend coincides with a decline in job-finding expectations and increased pessimism among affected households, offering a potential explanation for weak consumer sentiment despite positive economic indicators.
The study suggests food-related struggles may be driving souring moods, particularly among vulnerable populations, even as macroeconomic data remains strong.