[ad_1]
The economic system continues to be buzzing!
There’s been plenty of concern that client spending, which is the premise for two-thirds of the American economic system, would possibly begin slowing down within the face of rising interest rates and inflation (particularly the rising cost of housing).
However that’s not the case. GDP growth numbers from the Bureau of Economy Analysis got here out this morning (Jan. 25) and present that the economic system grew 3.3% within the fourth quarter, a lot sooner than the two% that economists and different observers had been anticipating.
And what propelled all that progress? Purchasing! Shopper spending was the largest contributor to GDP progress within the fourth quarter. What had been People shopping for? Enjoyable stuff like eating out (up 19.5%). Additionally not-so-fun stuff like well being care (21.8%).
Certain, the financial savings fee remains dismal at 4%, suggesting that no matter actual-factual wage progress is coming in and never being spent on more and more overdue bank card payments isn’t being socked away for future financial calamity. However hey, the economic system wants that cash now, whereas we’re nonetheless fighting fears of a recession.
[ad_2]
Source link