Thanksgiving week may start with turkey, family, and leftover pie — but it quickly turns into one of the loudest money moments of the year. This 2025, the picture is mixed: Black Friday crowds are breaking records, but wallets are under pressure; markets look calm on the surface, but big investors are quietly getting defensive; and the AI boom that dominates headlines is also driving up the cost of the tech infrastructure we all rely on.
Below, we break the week into three big themes — and explain, in plain language, what they mean for your budget, your habits, and your long-term investing plan.
Record Shoppers, Tighter Wallets
What happened:
Black Friday 2025 is estimated to have pulled in record numbers of shoppers, with expected figures reaching around 186.9 million people over the long weekend. But that headline hides an important detail: people are spending less per person.
Reporting from The Washington Post shows shoppers “holding out for real deals” as higher prices for groceries, rent, and energy bills force families to make harder choices about what goes in the cart and what stays on the wish list.
At the same time, Newsweek notes that Black Friday spending is expected to decline for the first time in years, and Financial Times highlights that while total holiday sales may still exceed $1 trillion, growth is slowing as the cost of living bites into household budgets.
Key signals from the data:
- Record turnout, but lower average spend per shopper.
- Shoppers shifting toward essentials and practical gifts instead of luxuries.
- Households relying on discounts to keep holiday spending under control.
Why it matters:
The holiday crowds may look like a boom, but underneath you’re seeing stress and caution, not easy abundance. For many households — especially those sending money home, managing debt, or facing rising rents — this season is about balancing celebration with survival.
What it means for your money:
- Protect your weekly investing habit. If you need to lower the amount, do it — but try not to pause contributions entirely.
- Set a hard holiday budget. Decide in advance how much you’ll spend on gifts and celebrations, and stick to it.
- Use discounts for planned purchases. Let sales help you buy what you already needed, not what the algorithm pushes in your feed.
- Be very careful with credit and BNPL. A “great deal” financed at high interest is not a great deal at all.
If you want to learn more about building smart money habits, and have a clear strategy to not overspend during the holidays, check our article “Avoid Holiday Debt: 5 Smart Spending Moves“.
Sources: The Washington Post, Newsweek, Financial Times, Reuters
Markets Look Calm… but Big Money Is Nervous
What happened:
On the surface, markets are holding together reasonably well. Major stock indexes have been supported by hopes of a potential Fed rate cut and the continued strength of AI-related names. But the way large investors moved money this week tells a different story.
According to Reuters, global equity funds saw about $4.48 billion in outflows, ending a nearly 10-week streak of inflows into stocks. That money flowed into cash, money-market funds, and gold — classic “play it safe” assets.
Then, a very tangible reminder of market fragility: a cooling-system failure at a major data center forced CME Group — the world’s largest futures exchange — to halt trading for hours. Trading in key contracts tied to oil, Treasuries, currencies, and stock indices went offline before eventually restarting. Coverage from Reuters and the Financial Times shows how such a technical issue can temporarily freeze parts of the global financial system.
Key signals from the data:
- First net outflow from equity funds in weeks.
- Increased flows into cash and gold as investors hedge risk.
- A major exchange outage highlighting how fragile short-term trading can be.
Why it matters:
When big institutional investors quietly shift toward safety, it’s a sign they see more risk ahead, even if indexes don’t crash overnight. And the CME outage shows that, behind the scenes, markets depend on very real physical infrastructure — if that infrastructure fails, fast-moving strategies can break down.
What it means for your money:
- Don’t treat weekly fund flows as signals to copy. They reflect mood, not your personal goals.
- Keep a clear role for cash. Emergency fund, short-term goals, upcoming bills — yes. Long-term retirement investments — no.
- Stick with a diversified portfolio. That’s what helps you ride through moments when big money sends mixed signals.
Learn more about why diversification matters in our article on what are ETFs and how they work.
Sources: Reuters – Fund Flows, Reuters – CME Outage, Financial Times
AI Isn’t Free: Rising Tech Costs and Shifting Global Growth
What happened:
We’re hearing a lot about AI breakthroughs, but less about the bill that comes with building them. According to an exclusive report from Reuters, Samsung has raised prices on key server memory chips by 30%–60% since September, as demand from AI data centers tightens global supply. That’s a huge jump in a short period — and it ripples through the entire tech ecosystem.
Coverage from Business Standard reaches the same conclusion: AI data centers are driving a global shortage of memory chips, and Samsung has responded by lifting prices as much as 60%, with expectations of elevated contract prices through the end of the year. In parallel, analysis from McKinsey & Company estimates that companies worldwide may invest around $7 trillion in data-center infrastructure by 2030.
At the same time, global growth is shifting. Reuters reports that India’s GDP grew 8.2% year-over-year in the July–September quarter, beating expectations and confirming its role as one of the fastest-growing major economies.
Key signals from the data:
- AI demand is driving sharp price increases in memory and server hardware.
- Hardware and cloud infrastructure face ongoing cost pressures into 2026 and beyond.
- Emerging economies like India are becoming core growth engines, not side stories.
Why it matters:
AI’s promise comes with higher infrastructure bills, and those costs can filter into the prices of services and devices you rely on — from cloud storage to streaming to business software. At the same time, the strongest growth in the global economy is not happening only in the U.S. Ignoring that shift means ignoring a big piece of the future.
What it means for your money:
- Don’t chase a single “AI stock.” Use diversified funds to get broad exposure to AI and tech infrastructure without betting everything on one company.
- Expect “quiet inflation” in tech. Cloud services, SaaS tools, and devices may edge up in price — build that into your monthly and annual budget.
- Global exposure in your portfolio is key: growth isn’t only in the U.S. Learn why diversification matters in this video.
Sources: Reuters – Samsung, Business Standard, McKinsey & Company, Reuters – India GDP
Also in the News
Gen Z Tightens Holiday Spending
Early surveys suggest Gen Z plans to cut holiday spending by around 5%, favoring practical gifts, experiences, and savings over big shopping sprees. Younger consumers appear especially sensitive to inflation, student debt, and uncertain job prospects, and are more likely to use budgets and price comparison tools before buying.
What it means for your money: Take a page from their playbook: set a number, stick to it, and treat saving and investing as part of your holiday planning — not an afterthought.
Source: Investopedia – Why Gen Z Is Breaking the Mold on Holiday Spending by Choosing to Save
California Phases Out Plastic Grocery Bags
California has approved a law to phase out plastic shopping bags in grocery stores, pushing retailers and households further toward reusable bags and bulk shopping. While it’s mainly an environmental policy, it also nudges consumers to plan their trips and reduce waste.
What it means for your money: Small structural changes like this can quietly encourage better habits: fewer impulse trips, more list-based shopping, and potentially lower monthly grocery bills.
Sources: CalRecycle (California State Government) – Single-Use Carryout Bag Ban (SB 270), Newsweek – Grocery Store Law To Change Shopping for Millions
AI-Powered Payday Lenders Target Holiday Shoppers
Recent coverage warns that payday lenders are using AI to target vulnerable shoppers during Black Friday and the holidays, serving ads and offers to people whose online behavior signals financial stress. The result: high-cost, short-term loans appear right when people feel most pressure to spend.
What it means for your money: If you see “instant cash,” “no credit check,” or “approved in minutes,” pause. High-interest loans can undo months — or years — of progress in a single season.
Source: Newsweek – On Black Friday, Payday Lenders Turn to AI
Federal Data Delays Add Noise to Markets
The recent federal shutdown has delayed key economic reports like jobs and inflation data. Economists and investors now have to make decisions with incomplete information, which can increase short-term volatility as markets react to partial or outdated figures.
What it means for your money: Expect more confusing headlines and sudden swings — and remember that your long-term plan shouldn’t depend on any single monthly data release.
Sources: Bureau of Labor Statistics – Revised news release dates following the 2025 lapse in appropriations, Reuters – US cancels release of CPI report for October because of government shutdown
Holiday Guides Shift from “Buy More” to “Spend Smart”
Consumer outlets that once focused on “best things to buy” are now publishing holiday guides centered on budgeting, avoiding impulse buys, and spotting fake discounts. As inflation and higher rates reshape behavior, smart shopping and debt avoidance are becoming mainstream advice, not niche tips.
What it means for your money: This is the perfect moment to align with that trend: define what you can truly afford, protect your savings rate, and treat every purchase as a choice between short-term pleasure and long-term freedom.
Source: Ohio Department of Commerce – Your Plan for a Budget-Friendly December
Final Thoughts
Amidst the noise of massive sales and market uncertainty, it is easy to lose focus. But history teaches us that wealth is not built by chasing discounts, but by staying the course when others get distracted.
In a week designed to make you spend, your competitive advantage lies in what you can control:
- Your holiday budget
- Your patience against consumerism
- Your investment consistency
- Your ability to avoid unnecessary debt
Remember: Black Friday deals last a weekend; financial peace of mind lasts a lifetime.
Invest in yourself. Resist the urge for momentary spending, make an extra deposit into your investment accounts, and put your money to work for your future. It is an opportunity to prioritize your financial freedom over instant gratification.
Ready to start? Download the Finhabits app to discover the financial tools you need for 2026 and start investing today.
Sources
- The Washington Post – Black Friday kicks off as inflation-burned shoppers scour for deals
- Newsweek – Black Friday Spending to Fall for First Time in Years
- Financial Times – US Black Friday shoppers expected to spend less as cost of living bites
- Reuters – Record US Black Friday crowds find fewer bargains amid high prices
- Reuters – Investors snap nine-week buying streak in global equity funds
- Reuters – CME trading halted due to cooling issue at data centers
- Financial Times – CME resumes trading after outage disrupts global markets
- Reuters – Samsung hikes memory chip prices by up to 60% as shortage worsens
- Business Standard – Samsung hikes memory chip prices as shortage worsens, driven by AI demand
- McKinsey & Company – The cost of compute: A $7 trillion race to scale data centers
- Reuters – India economy grows 8.2% in July–September quarter
- Investopedia – Why Gen Z Is Breaking the Mold on Holiday Spending by Choosing to Save
- CalRecycle (California State Government) – Single-Use Carryout Bag Ban (SB 270)
- Newsweek – Grocery Store Law To Change Shopping for Millions
- Newsweek – On Black Friday, Payday Lenders Turn to AI
- Bureau of Labor Statistics – Revised news release dates following the 2025 lapse in appropriations
- Reuters – US cancels release of CPI report for October because of government shutdown
- Ohio Department of Commerce – Your Plan for a Budget-Friendly December
