Markets & Crypto
The Kobeissi Letter
Public Telegram feed monitored for macro-market headlines and commentary.
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BREAKING: The US personal savings rate fell -0.6 percentage points in April, to 2.6%, the lowest since June 2022.
This marks the 3rd consecutive monthly decline for a cumulative drop of -1.7 percentage points.
This is also the 2nd lowest reading since April 2008.
This comes as consumer spending surged +5.7% YoY in April, outpacing personal income growth of +2.5% YoY, the widest gap since 2022.
This also marks the 12th consecutive month that consumer spending growth has outpaced income growth.
Put simply, rising costs of living are increasingly forcing consumers to cut into their savings to keep up.
American households are running out of savings as inflation takes its toll on their budgets.
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