Source item
Open original source ↗The saving rate is income minus disposable spending. It does NOT include investment performance (such as stock or housing prices rising).
So, I view the saving rate as a sentiment indicator. It is low because households don't need to hold back spending for savings. Their stock ETFs and Zillow estimates are "saving" for them. So ... spend away.
Question: Is this a wise approach to saving right now?
Quoted context
These are the quoted author’s words.
The result: US personal savings rate plunges to 4 year low https://t.co/1FBKdvWMh4
zerohedge ↗