A few years ago, when the economic experts were lamenting Americans’ unwillingness to save money, this news today would’ve been greeting with smiles.
Personal savings surged in December to 3.6 percent of disposable income from 2.8 percent in November, the largest rate since May 2008.
But context is everything:
The Commerce Department said spending decreased by 1.0 percent after falling by a revised 0.8 percent in November.
The report from the Commerce Department also said Americans’ personal income is dropping, even as we save more of less of it.
Wall St. opened lower.
About the blogger
Bob Collins has been with Minnesota Public Radio since 1992, emigrating to Minnesota from Massachusetts. He was senior editor of news in the ’90s, ran MPR’s political unit, created the MPR News regional website, invented the popular Select A Candidate, started several blogs, and every day laments that his Minnesota Fantasy Legislature project never caught on.
NewsCut is a blog featuring observations about the news. It provides a forum for an online discussion and debate about events that might not typically make the front page. NewsCut posts are not news stories.