America's personal savings rate falls to 2.6%, lowest since 2008 financial crisis
By
The Economist
Summary
America's personal savings rate dropped to 2.6% in April 2026, a level not seen since the 2008 financial crisis. While consumer spending has grown at a respectable 2% and continues to drive GDP, the sharp decline in savings has sparked concerns that consumption may soon crack as households spend beyond their means.
Source
bskyAmerica's personal savings rate falls to 2.6%, lowest since 2008 financial crisisecon.stKey quotes
· 5 pulledThe latest fashionable worry about America's economy is that consumers are spending beyond their means.
Personal consumption—its engine, accounting for two-thirds of gdp—has grown by a respectable 2% or so over the past year.
But America's personal-saving rate fell to 2.6% in April.
It has been lower only once since early 2008, when Bear Stearns, a bank, became one of the first casualties of the global financial crisis.
Surely, the argument goes, it is only a matter of time before consumption cracks.
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