Introducing the Equifax Market Pulse Index: Providing a Holistic View of U.S. Consumer Financial Capabilities

CONSUMER FINANCES ARE DYNAMIC AND INTERCONNECTED, WITH EACH ASPECT HAVING AN IMPACT ON ANOTHER. To represent this constantly evolving landscape, Equifax has created a proprietary index that represents a holistic view of U.S. consumer financial capabilities. The inaugural Equifax Market Pulse Index (MPI) distills and measures five key consumer financial data points: credit, debt, income, capacity and assets.  

Offering a full-spectrum, multidimensional view into consumer finances, the Market Pulse Index is designed to highlight how these five key financial data points interact and evolve over time and changing economic circumstances.

The impact of the Market Pulse Index is demonstrated by comparing it to key indicators and population segments. It serves as a key indicator of the state of overall U.S. consumer finances.

The Market Pulse Index was built using AI/machine learning methods leveraging proprietary Equifax wealth and asset data along with traditional credit data. It distills key financial data points of U.S. consumers into one descriptive benchmark, which is 61.4 as of July 2025 when aggregated across the entire U.S. consumer population. 

Tom O’Neill, Equifax Risk Advisor, provides some insights from the first Market Pulse Index report to help Equifax customers and all consumers better understand the latest around U.S. consumer financial capabilities. 

1. What does the latest MPI reading tell us about the current financial health of U.S. consumers?

The MPI indicates that a “K-shaped economy” (a growing gap between households that are thriving and households that are struggling), has hit lower and middle-credit tiers especially hard, while some other groups fared better. Younger generations, particularly Generation Z, are facing significant challenges, especially student loan holders in this group, even before federal loan payments resumed, following a pause during the pandemic. The Market Pulse Index reflects that on average, consumers have stabilized at a lower level of financial health, with differences across credit tiers, generations and loan status.

2. How can businesses or investors use the MPI to make better decisions?

The Market Pulse Index goes beyond broad trends to examine the specific experiences of distinct segments of the U.S. population. In a K-shaped economy, targeted strategies are essential. Lenders and retailers can use MPI insights to personalize support based on age, income and debt profiles, develop flexible repayment plans for borrowers under financial stress, and provide proactive financial education to younger audiences who are managing debt and an uncertain job market.

3. Why is Generation Z facing more challenges than other U.S. populations?

The data indicates that Gen-Z as a group are facing significant challenges as they seek to invest in the real estate and auto markets:

• Economic pressures – Inflation and high interest rates disproportionately impact Gen Z, making it harder to afford homes and cars.

• Student debt – Many face student loan payments for the first time, adding to financial strain.

• Wealth gap – Competing with older generations who built wealth in more stable economic times, and have been better positioned to enjoy recent growth in market and housing wealth, is challenging.

• High housing costs – Home prices have outpaced wage growth, and many Gen Z spend over 30 percent of their income on rent, making saving difficult.

• Early career wages – Low starting salaries further hinder saving for big purchases like homes.

Check out the full inaugural Equifax Market Pulse Index here.