Americans' savings rate drops to a 13-month low of 3.6% due to consumer spending amid high inflation and interest rates.

Americans' savings rate has dropped to a 13-month low of 3.6%, partly due to robust consumer spending despite high inflation and interest rates. This trend may be a continuation of the pattern where Americans save less following each recession than they did before. The decrease in savings leaves households vulnerable, particularly those with low incomes. In recent years, the personal saving rate has consistently been lower than in the decade before 2022.

April 14, 2024
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