Chart of the week: the very healthy state of US consumers’ net wealth

12 March 2024

Data-driven insights and analysis from our investment team every week.


We have spoken much over the last six months or so about the resilience of the US consumer. One of the main reasons for the out-performance of the US economy was the unexpected strength in US consumption. This was put down to a robust labour market and the drawdown of excess savings. The latter would not go on forever and consumption growth would eventually slow. However, if we look at the chart below the outlook is brighter.

This chart shows the progress of net wealth of US households and nonprofit organisations – households are by far the biggest segment here. You can see in 2020 and 2021 the big jump in net wealth as the economy went into lockdown and households received large transfers from the government. Once the economy re-opened and people began to spend again net wealth dropped.

However, in 2023 as spending growth increased so did net wealth, largely as a result of a significant rise in the value of financial assets. Net wealth is now higher than it was pre the pandemic. Any dis-saving that may have happened has not dented the wealth of US consumers, leaving them in a very healthy financial state.


This is a marketing communication.

Related Articles
Your Investments
Chart of the week: Are the ‘Magnificent Seven’ stocks in bubble territory?

Sebastian Orsi, CFA

In our latest instalment of our blog series, Chart of the week, Sebastian Orsi, Senior Research Analyst, examines the 'Magnificent Seven' stocks.

Read More
Your Investments
Chart of the week: Thinking about equity and bond correlation

Elizabeth Geoghegan

In our latest instalment of our blog series, Chart of the week, Elizabeth Geoghegan, Head of Fixed Income Strategy, examines the correlation between equities and bonds.

Read More
Your Investments
Chart of the week: Observing the market’s appetite for weight-loss stocks

Brian Flavin

In our latest instalment of our blog series, Chart of the week, Brian Flavin Senior Equity Research Analyst, examines the recent performance of weight-loss stocks.

Read More
Contact Us
Warning: Nothing presented on this website constitutes investment advice as it does not take into account the investment objectives, knowledge and experience or financial situation of any person. You should not act on it in any way and are advised to obtain professional advice suitable to your own individual circumstances. The value of your investment may go down as well as up. You may lose some or all of the money you invest. Past performance should not be taken as an indication or guarantee of future performance; neither should simulated performance. The value of securities may be subject to exchange rate fluctuation that may have a positive or adverse effect on the price or income of such securities.