Consumers Are Quickly Running Out of Excess Cash, While Household Savings Are Coming Under Pressure

Chris Watling, CEO of Longview Economics, warned that the U.S. consumer is nearing a financial crisis. Despite recent strong retail sales, household savings are depleting, and real income growth has been negative for three consecutive months. While recent data projects strong U.S. economic output, concerns grow about a potential recession. Watling believes the labor market will decline significantly, triggering this recession. Additionally, he advises caution regarding the stock market, predicting challenges ahead for the U.S. economy.