The Federal Reserve announced that U.S. household wealth has risen above $100 trillion in the first quarter of 2018, for the first time in history.
In the “Financial Accounts of the United States – Z.1” report, the Federal Reserve announced that the net worth of the nations’ citizens and non-profit organizations has breached the $100 trillion dollar line. The first quarter of 2018 brought totals up by more than another trillion dollars; from $99.7 trillion, up to $100.8 trillion. In fact, America’s wealth increased by more than $6 trillion in just the first year of the Trump presidency.
These trends have been in place for some time, however. The United States has steadily grown its wealth since emerging from the 2007-09 financial crisis, and the U.S. labor market has been slowly gaining lost ground for several years. It looks as if that will continue. Stock prices have risen more than 30% since President Donald Trump’s election, encouraged by corporate faith in Trump’s policy decisions. Real estate has also risen in value by nearly half a trillion dollars.
Americans’ memories remain sharp, however. Since the aforementioned financial crisis, much less of that money is being flagrantly spent. While people once spent about three to five cents per dollar of additional accumulated wealth, now the Federal Reserve estimates they only spend about one.
Best of all, economic experts predict that 2019 will be just as good for Americans’ bottom line, with continued and steady growth through the next year.