CONSTRICTED CONSUMPTION

The April personal savings rate was just 3.6%, a level seen only in 2022 following repeated Covid stimulus and in 2005/06 in the run up to the Housing Bust. Moreover, excess Covid savings have been depleted, and the labor market is slowing. This matters because real disposable income growth, the primary driver of consumer spending and 70% of GDP, has sunk from 5.3% Y-o-Y in 6/23 to 1% in 4/24!

A note to my friends and subscribers: I’ve recently been notified of some unusual Facebook activity under an account also named Elliot Eisenberg. This is NOT me, and I apologize if you’ve been contacted. Please know that I do not actively “Friend” on Facebook or any other social media platform and I NEVER have and NEVER will ask you for money, send you a link or attachment to click, or solicit you in any way. All my contacts are via my website or through my daily blog, sent to you at your request via Constant Contact. Thank you!