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2022-11-01

U.S. households still have around $1.7 trillion in savings ...

 ... they accumulated through mid-2021 above and beyond what they would have saved if income and spending had grown in line with the prepandemic economy, according to estimates by Fed economists. 

Around $350 billion in excess savings as of June were held by the lower half of the income distribution, or around $5,500 per household on average.

While the housing market—among the most interest-rate sensitive parts of the economy—is entering a deep downturn, the rest of the economy is so far holding together. 

Nick Timiraos WSJ 30 October 2022 

https://www.wsj.com/articles/cash-rich-consumers-could-mean-higher-interest-rates-for-longer-11667075614





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