Consumer spending growth has slowed, but not for Taylor Swift fans traveling to Europe for the Eras Tour, according to Bank of America Corp.
The bank's customers spent 22% more in Paris this month when the singer's tour was in town, president of preferred banking Aron Levine said in an interview. Swift performed in the French capital from May 9 through May 12, just when the jump in spending registered.
"There would be no other explanation," Levine said, adding that other European cities can look forward to a similar boost as fans flock to upcoming tour dates in cities including London, Milan and Vienna. "She'll give a boost to the European economy."
Cities across the globe are reaping economic benefits as consumers splurge on experiences and live entertainment. Taylor Swift concerts in Pittsburgh last June saw significant boosts in spending compared to the rest of the month, and the Federal Reserve Bank of Philadelphia said that the tour helped stimulate travel and tourism in the region.
Worldwide, Bank of America saw spending up around 3% to 4% from a year ago, though account balances have come down from highs set during the pandemic, according to Levine, who's also a member of Bank of America's executive-management team and oversees more than 30,000 banking employees and financial-solutions advisers. He focuses on mass-affluent consumers who use multiple products such as credit cards, mortgages, investing services and bank accounts.
Last week, Chief Executive Officer Brian Moynihan said US consumers are in good shape, helped by wage growth, even amid elevated interest rates. "It shows you the resilience of the American consumer," Moynihan said in a Bloomberg Television interview.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
