Fed report: Middle-class Americans cut retail spending and rely more on credit cards amid rising costs
By
J.R. Duren
Summary
The Federal Reserve's latest "Beige Book" report reveals that middle-class Americans are increasingly struggling with affordability, leading to reduced retail visits, increased credit card usage, and a shift toward spending only on necessities. Low-income Americans face even greater financial strain, while wealthier households remain relatively resilient to price increases. The report attributes part of the affordability crisis to rising energy costs driven by the war in Iran.
Source
bskyFed report: Middle-class Americans cut retail spending and rely more on credit cards amid rising costsindependent.co.ukKey quotes
· 3 pulledMiddle-class Americans are 'squeezing more life out of every dollar before deciding to spend it'
The latest 'Beige Book' from the U.S. central bank showed that middle-class consumers are struggling to afford day-to-day life while low-income Americans are under greater financial strain
Wealthier households remain resilient and are feeling less pain from price increases, the report noted
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