McDonald's Sees Faster-Than-Expected US Sales Growth

Watch McDonald's Sees Faster-Than-Expected US Sales Growth - Bloomberg on Dailymotion

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00:00we are seeing a bifurcation between the fast casual and the fast food restaurants because

00:04there clearly is a difference here you're seeing the likes of chipotle of course kava as you're

00:08mentioning here they're struggling here i mean of course you're seeing a lot of consumers that

00:12are being very tight with their wallets and they're really picky about where they want to

00:15spend their money right now so you are seeing companies like mcdonald's being a beneficiary

00:19here but it is important to note that even though mcdonald's is reporting earnings that people are

00:24happy about they also did have to use a lot of deals and discounts to entice buyers so you are

00:29seeing a lot of people running toward the lower end what's affordable right now and trying not to

00:33spend too much time on the fast casual restaurants that tend to be a little bit pricier i say there

00:38was a headline coming out from mcdonald's earnings call saying lower income traffic fell nearly double

00:42digits so what's good for mcdonald's isn't necessarily a good sign for the consumer absolutely i mean

00:47you're we're seeing a time period where of course we are seeing a lack of economic data so people are

00:51really parsing earnings to get a read of what the u.s consumer is doing right now and how they're

00:55holding up in this environment but if you take a look at the earnings that we've seen from a lot of

00:59these consumers these consumer companies we are seeing a consumer that is very stretched right

01:04now they're grappling with high costs that of course tariffs are also filtering into the equation

01:08here so you're seeing people running toward whatever restaurant makes sense for them and of course i'm

01:13sure some people cooking at home

01:14you

01:15you