From the FINANCIAL TIMES:
Consumer spending stagnated in April as workers kept a tighter grip on their wallets and sought to rebuild their savings.
Savings increased to 3.6 per cent as a percentage of disposable income in April, after falling for the previous two months, according to a report from the commerce department on Friday. The jump from 3.1 per cent in March was the biggest since August 2009, leaving savings at their highest level since January…
The savings rate remains well below its historic levels. In the 1990s, personal savings averaged over 5 per cent of disposable income. But during the boom years, personal savings dropped dramatically, in some months not even reaching 1 per cent…
Click here to read the full article.
