Households are spending more and savings less, enjoying their summer and getting ready for school, government data released on Friday suggests. In short, households are getting back to normal. But whether that’s sustainable will probably be determined by somehow convincing all Americans to get a ... READ MORE >
personal savings
U.S. personal income and savings: Households are building impressive cash positions
Americans’ personal income increased by 0.6% in December, driving their savings positions higher. The gains, reported by the Commerce Department on Friday, are creating the conditions for what we believe will be a consumer-led boom in the second half of the year. While spending to end 2020 was ... READ MORE >
U.S. precautionary savings and the coming economic expansion
Savings by American households have soared to $1.1 trillion above their long-term average from 1965 to 2020. That excess savings and near-term policy decisions around fiscal aid and stimulus will play a large role in determining the shape, scale and duration of what we expect to be the coming economic ... READ MORE >