U.S. Household Wealth Fell $1.23 Trillion in Third Quarter

  • Value of financial assets dropped $1.7 trillion last quarter
  • Wealth decline led consumers, businesses to slow borrowing

Americans’ wealth declined in the third quarter by the most in four years, reflecting a slump in stock prices that have since recovered.

Net worth for households and non-profit groups decreased by $1.23 trillion from July through September, or 1.4 percent, from the previous three months to $85.2 trillion, the Federal Reserve said Thursday in its financial accounts report, previously known as the flow of funds report.

Equity values plunged in the third quarter as concerns mounted about the global economy, overshadowing the positive effect from higher home prices on Americans’ net worth. As the value of their assets declined, households slowed the pace of borrowing, the report also showed…

U.S. Household Wealth Fell $1.23 Trillion in Third Quarter


Categories : Uncategorized

Leave a Reply

You must be logged in to post a comment.