JPMorgan said the vast majority of Americans have burned through excess savings.
It’s likely that all but the top 1% of consumers will be worse off financially in mid-2024 than they were pre-pandemic, the bank said.
BofA wrote this month that elder millennials face a particularly tough set of circumstances.
The majority of Americans have burned through their excess savings piled up during the COVID-19 pandemic, and in the coming months, JPMorgan says it is likely that almost everyone will be worse off financially than they were in 2019.
In a Thursday note, the bank’s top stock strategist Marko Kolanovic said 80% of consumers, a group that accounts for nearly two-thirds of consumption, has already depleted any savings cushion they may have built during lockdowns.
“It is likely that only the top 1% of consumers by income will be better off than before the pandemic,” Kolanovic wrote, pointing to the growing signs of credit card and auto loan delinquencies, as well as Chapter 11 filings.
More at
https://finance.yahoo.com/news/99-americans-financially-worse-off-005110689.html