The real relationship between headlines and bottom lines

In today’s 24-hour news cycle, headlines are just a tap away. And this impacts not only our emotional state, but our financial choices in both subtle and profound ways. From the financial crisis of 2008, to the COVID-19 pandemic, and now tariff and trade uncertainty, hot topics covered by the media shape how Americans react, spend money, and save over time.

Experts agree that the media’s role extends beyond simply providing news; it also shapes our emotional landscape and well-being. 

“Both content and tone matter, and they often work hand in hand,” says Dr. Christopher E. Fisher, Director of Adult Outpatient Psychiatry at Zucker Hillside Hospital and Assistant Professor of Psychiatry at Donald and Barbara Zucker School of Medicine. “We’re often impacted by the emotional undercurrent of the media more than we consciously recognize or want to admit. That influence can quietly shape our internal sense of safety and control, which then plays out in our behavior.”

Dr. Martin Reimann, McClelland Associate Professor of Marketing at the University of Arizona Eller College of Management, agrees. “The media acts as both a transmitter of factual information and a lens that frames how that information is perceived,” he says. “When the tone leans toward fear, uncertainty or urgency, consumers may respond emotionally, often by becoming more conservative in their financial behavior.” 

Beyond the actual news itself, how the information is delivered greatly influences how people absorb and respond to it. Headlines tinged with speculation and frenzy rather than facts and data have the power to change not only the way audiences feel about current events, but our financial decisions as well, leading to emotional spending and saving. 

Now more than halfway through 2025, headlines about tariffs have dominated the news and have been increasingly delivered in ways that heighten consumer anxiety and trigger both emotional and financial reactions, influencing our spending habits.

“This uncertainty can influence consumer sentiment, which can make people more cautious in their financial decisions,” explains Dr. Reimann. “Beyond potential cost increases, [editorializing on] trade tensions introduces a layer of political and economic uncertainty.” 

Reactions to recent headlines have already stirred changes in consumer behavior and caused financial stress. When tariffs became a media hot topic, Reuters reported a brief uptick in preemptive buying of goods like motor vehicles. Then that faded and consumer spending took a 0.1% dip in May, possibly because people stopped preemptively buying ahead of when they perceived tariffs would hit. It was also reported that spending fell on nondurable goods like gasoline and food in the same timeframe, which further reflects the uncertainty consumers are feeling. 

Judy Mottl, editor of RetailCustomerExperience.com, notes, “I think more media coverage about cost impact in daily news outlets and social media will likely spur more consumer behavior changes. If anything, I think it will drive consumers to be more aware of what prices are and impact their choices at times.”

The pattern isn’t new. In 2020, overwhelming news coverage of the COVID-19 pandemic and sheltering in place, set off a wave of anxiety, creating new spending triggers, which led to impulsive purchases and widespread stockpiling—most notably—of toilet paper.

People react to stressful headlines in different ways, resulting in different spending patterns. 

“In times of anxiety or uncertainty, some people indeed ‘hunker down,’” Dr. Reimann explains. “Others, especially those with high levels of hope who are facing threat, may respond by becoming more aggressive in their financial behavior.” 

Judy points to a report by Zappi, a consumer insights platform, which notes a trend of reduced spending. “Because of what’s been widely reported on tariffs, 91% of consumers are already adjusting their behavior to rising prices,” she says. “Nearly half of consumers are cooking at home more, 45% are cutting back on impulse buys and 22% are delaying technology upgrades.” 

So how can you stay level-headed and focused on your long-term goals when the news can cause confusion? It may be as simple as knowing when to click “unsubscribe.” 

“One of the most important strategies is to be discerning about where you get your news,” says Dr. Reimann. “Rely on reputable journalism from trained professionals who adhere to rigorous fact-checking standards. Avoid sensationalist sources or social media accounts that prioritize engagement over accuracy.”  

Dr. Fisher emphasizes the importance of self-awareness. “There’s no universal right or wrong way to respond. Our behaviors are often shaped by our unique emotional histories, coping styles, faculties, and perceived needs,” he says. “What’s helpful is to evaluate our behaviors not in terms of right versus wrong, but rather in terms of helpful versus unhelpful. Then we’re more likely to make adaptive and sustainable choices.” 

In a time when headlines are hard to ignore and emotions run high, staying anchored in facts and personal values remains one of the best ways to navigate the noise, exercise impulse control, and make thoughtful decisions about saving and spending money. This way, you’ll look after your mental health and your financial health at the same time.