When Emotions and Data Collide: How to Make Smart Money Decisions in Uncertain Times

"What should I do with my money now that there might be a recession?"

I have heard this a lot recently. Who can blame anyone for asking?

We've gone through a pandemic, market downturn, war, inflation, and now waves of tech layoffs. The constant barrage of bad news can be overwhelming and create a distorted view of what's really happening. But is it true? Are we really that close to a recession? The data also tells us another story. Unemployment: As of August 2025, the U.S. unemployment rate stood at 4.3 %. GDP Growth: In Q2 2025, real GDP grew at 3.3 % (annualized), rebounding strongly from a mild contraction earlier in the year. In today's fast-paced media landscape, news outlets and social media are under increasing pressure to capture readership and maintain relevance in an increasingly competitive market. One of the ways that they do this is by focusing on the extremes to grab people's attention. Focusing only on the extremes creates a sense of doom and gloom that doesn't reflect reality. It can also make people feel like they're entirely out of control of the future, leading to decisions that don't serve their best interests. Therefore, taking a balanced view of the situation and objectively examining the data is essential to make better money decisions in uncertain times In Broadcasting Happiness: The Science of Igniting and Sustaining Positive Change, researcher and former news broadcaster Michelle Gielan advocates for 'fact checking' to combat negativity bias or overwhelming stories like a journalist might. Fact-checking with an optimistic mindset is about continually asking questions and reframing the stories in our heads. What's missing? What opportunities exist? What's going right? How might we reframe this?

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Thinking through facts is a precious skill when considering your finances and future goals, especially if you want to make sound money decisions in uncertain times.

Thoughts that start with 'I'll never..." can bog us down. But, when we reassess the data, we might realize our conclusions depend on exaggerated and sensationalized news rather than a complete set of facts. You can also lean on a financially savvy third party to serve as a treasured thought partner, helping you stay grounded when making money decisions in uncertain times. As a financial wellness-focused financial planner, my goal is to play a meaningful role in helping my clients navigate their present concerns and future opportunities, especially when emotions and data collide.