“There was some good news for headline scanning algos this morning, when both personal incomes and spending came in modestly higher than expected, with incomes rising 1.1% compared to an estimated 0.8% increase, while spending was up 0.7%, also higher than the 0.6% expected. But while the superficial headline grab did indicate a modestly better climate for both spending and incomes, it was a look under the cover once again that revealed the full extent of the pain that US consumers continue to find themselves in, over 5 years since the start of the second great depression.
First, the bulk of the bounce in spending was driven by a surge in Non-Durable Goods, which rose by $48.5 billion in one month, and amounting to 61% of the total increase in personal outlays in February. This was the biggest monthly jump since the onset of the financial crisis: hardly inspiring much confidence for those companies which are wondering whether to ramp up capital expenditures and spending, especially since spending onDurable Goods declined by $400 million in February….”
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When you pay .001% to save and only insure up to X per depositor … there’s not a lot of reason to save. Might as well invest and buy shit.
that may be skewing the numbers for sure….
A 6 month CD pays .98% from Ally bank.
You tell me if that’s really all that different from .001% in my exaggerated numbers?
Unless you are dropping hundreds of thousands into savings or CDs.. you are getting chump change.