Americans cut spending due to higher gas prices and see no relief in sight, CNBC survey finds

• About 60% of respondents cut back on entertainment spending like dining out, movies, and concerts, while over 50% plan to travel less
• Around 40% are reducing spending on essential items including groceries and medical care, and 30% are relying more on credit cards
• Gas prices have increased over 30% since the February 28 attacks on Iran, with President Trump dismissing voter concerns and saying he expected higher energy prices

Summary: Americans Cut Spending Amid Surging Gas Prices

Key Findings:

A CNBC All-America Economic Survey reveals Americans are significantly altering spending habits due to elevated fuel costs. The nationwide poll of 1,000 respondents, conducted April 15-19, 2026 (margin of error: 3.1%), shows nearly 80% have modified their spending in response to higher gas prices.

Market Impact:

Gas prices have surged over 30% to exceed $4 per gallon following U.S. and Israeli attacks on Iran on February 28, 2026, according to AAA data. More than 50% of respondents expect elevated prices to persist for six months or longer.

Consumer Behavior Changes:

• 60% have reduced entertainment spending (dining out, movies, concerts)
• Over 50% plan to decrease travel
• 40% are cutting back on essentials including groceries and medical care
• 30% are increasing credit card reliance

Sectors Affected:

The data suggests negative implications for entertainment, hospitality, travel, and retail sectors as consumers retrench spending across both discretionary and essential categories.

Government Response:

President Trump has downplayed concerns, stating gas prices "aren't that bad" and indicating he expected higher energy costs following the Iran attacks. Energy Secretary stated gas prices may not fall below $3 per gallon until next year, suggesting prolonged consumer pressure.

Investment Implications:

The survey indicates sustained headwinds for consumer-facing businesses, potential increased consumer debt levels, and continued inflationary pressure from energy costs. Investors should monitor consumer discretionary stocks and credit quality metrics closely as spending constraints broaden from luxury items to necessities.