11 Items to Rethink Buying Now as Economic Uncertainty Grows

President Donald Trump's tariffs have rocked the economy. Increasing prices and the inevitable price hikes anticipated over the next few months due to hiked import and export taxes have forced consumers to shift their spending habits. People are a lot more conservative about opening their wallets, moving away from significant purchases and non-essential items. Here are 11 items to rethink buying now as the economy teeters.

Luxury Bags, Shoes, and Accessories

You should wait to splurge on that designer bag or shoes. High-end brands, including Gucci and Burberry, are experiencing significant sales declines as consumers shift towards value-driven purchases. Prices of luxury goods are already getting more expensive.  This week, Business of Fashion reports that the popular Neverfull GM bag experienced a 4.8% price hike from last week, now priced at $2,200 on Louis Vuitton's US webstore — a $100 increase. Bernstein analyst Luca Solca noted that overall, LV US raised its handbag prices by 3.6%.

Premium Electric Toothbrushes and Razors

Premium healthcare products are another category to consider waiting on, like a $380 electric toothbrush or a fancy razor. Procter & Gamble has reported a dip in sales, as people are spending less on these items. Andre Schulten, the company's chief financial officer, told Yahoo Finance that they cut their full-year outlook due to a "pause" in consumption.  "We expect uncertainty to continue," P&G CEO Jon Moeller added.

Designer Clothing and Fast Fashion

Designer fashion brands are being hit hard, as consumers are spending less on trendy items and expensive seasonal pieces, opting for minimalist looks and even shopping second-hand. The resale market has experienced a spike.

Brand-Name Household Staples

If there's ever a time to buy generic, it's now. Many consumers are turning to private-label products, including Kirkland Signature, to save money. This is leading major brands like Nestlé and Unilever to ease price hikes.

Airline Tickets for Leisure Travel

According to airlines, including Delta and American, fewer people are flying domestically for leisure reasons at least. As a result, airlines are reducing flight schedules and withdrawing financial forecasts. A month after Delta did the same, American Airlines withdrew its annual forecast, due to a significant drop in domestic leisure travel beginning in February. "We came off a strong fourth quarter, saw decent business in January and really domestic leisure travel fell off considerably as we went into the February time frame," CEO Robert Isom told CNBC's Squawk Box.

Subscription Services and Streaming Platforms

Consumers are reevaluating recurring expenses and canceling streaming services like Netflix and Disney+. If you aren't using a service or your show is on hiatus for the season, you might want to consider canceling and picking it back up when you'll get more value out of it.

Imported Goods Subject to Tariffs

Tariffs impact all imported goods. It's a good time to consider swapping some, including electronics and food products, for domestic alternatives.

High-End Beauty and Skincare Products

Another place where you'll see rising prices is at your local Sephora or a high-end beauty counter. Consumers are starting to shift spending to more affordable beauty products, reducing usage altogether, or stocking up during sales to cut costs.

New Furniture, Home Decor, and Home Renovation

Economic uncertainty is causing consumers to delay or forgo purchases of big-ticket home items, home renovations, and even seasonal decorations. Sales have already slowed in the home goods category.6254a4d1642c605c54bf1cab17d50f1e

Dining Out and Takeout Meals

More people are opting to cook at home instead of dining out. Even fast food brands, including Chipotle, have been impacted, reporting staggering sales. Chipotle experienced its first decline in same-store sales since 2020. "It was all around this idea of saving money, economic uncertainty — they're eating at home more frequently than they're eating out," Scott Boatwright, Chipotle's chief executive, said about consumer behavior, adding that it is "really tied to the consumer sitting on the sideline."

New Homes

Another market that has been hit hard is real estate. This week, the National Association of Realtors reported that existing-home sales fell 5.9% in March from February, slipping to a seasonally adjusted annual rate of 4.02 million. Overall, it is down 2.4% from a year ago, and the slowest March sales pace since 2009.