Consumer Discretionary refers to a category of goods and services that are non-essential and are purchased when consumers have extra income. This includes items like clothing, electronics, and entertainment services. When the economy is strong, people tend to spend more on these discretionary items, while during economic downturns, spending in this sector often decreases. Companies in the Consumer Discretionary sector include retailers, automakers, and travel services. These businesses rely on consumer confidence and disposable income levels. Examples of well-known companies in this sector are Amazon, Nike, and Disney.