Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Even Fat Wallets Closing

Nation's wealthiest aren't spending, signaling steep economic trouble

By Jim O'Neill, Newser User

Posted Nov 25, 2007 12:34 PM CST

(Newser) – Wealthy consumers, the 20% of the population responsible for nearly 40% of consumer spending, are closing their wallets, indicating an even rougher economic road ahead, reports Bloomberg. “When they begin to capitulate, that’s when we all head down,” said one economist. Blame... Read full story »

COMMENTS

Read the comment policy

You need to Log in to Newser to comment. Don't have an account yet? Sign up now!

There are no comments

A snapshot of the day's best news stories.

View Larger Grid

All Today Yesterday Pick a Date

What's Popular Now on Facebook

Cops Shoot Naked Guy Eating Man's Face on Highway

Japanese Artist Serves Up Own Cooked Genitals

Bloomberg (Source Grid »)

US consumer spending slowing
US News & World Report

The bright side to slowdowns
Salon

US • Lifestyle • Money

consumer confidence • consumer spending • US economy

More Newser Stories

Consumer Spending Stalls Again

Confidence is falling as inflation rises

(NEWSER) - Consumer spending rose more than expected in January—but only because prices did so as well, Bloomberg reports. Adjusted for inflation, spending remained flat for the second straight month. With fuel costs rising, banks restricting loans, and property values falling, “consumers are clearly hard-pressed to maintain their standard of living and are cutting back,” says an analyst. More»

Next 12 Months: No Recession, but Slow Growth

Risk of recession at 26%; unemployment likely 9% at year's end

(NEWSER) - Despite a bombardment of bad news in recent weeks, economists don’t expect another recession over the next 12 months—but economic growth will barely be perceptible in that period, an AP poll of top economists finds. They expect high unemployment and weak consumer spending to dog the US into next year. Overall, the outlook is poorer than it was in June: That month, the 43 economists surveyed saw a 15% chance of double-dip recession; now, they report a 26% chance. More»

Recession Worse Than Thought; GDP Growth Weak

Economy grew just 1.3% over past three months

(NEWSER) - We already knew the Great Recession was the worst in decades, but in fact we were even worse off than we thought, new figures show. The economy shrank 5.1% over the course of the recession, from 2007 to 2009—1 percentage point worse than the earlier estimate of 4.1%, the AP reports. Only two in the past 10 recessions saw a squeeze of more than 3%. And yes, the economy is now growing—but it expanded only 1.3% from April to June, the Commerce Department said, lower than expected. More»

Walmart: Gas Prices Hurting Our Shoppers

CEO says customers 'running out of money'

(NEWSER) - Walmart shoppers are running out of cash, pinched by high gas prices and unemployment, the company’s CEO said this week. “We’re seeing core consumers under a lot of pressure,” Mike Duke said at a retail industry gathering, according to CNN . “There’s no doubt that rising fuel prices are having an impact. … Purchases are really dropping off by the end of the month even more than last year.” More»

Economy Grew at 3.2% Rate in Q4

Consumer spending grew at fastest pace in 5 years

(NEWSER) - Spurred by consumer spending and a shrinking trade deficit, the economy grew at a 3.2% annual rate in the fourth quarter. That beats the previous quarter's 2.6% but falls short of analysts' expectations of 3.5%. Still, "a number above 3% should drive a stake through the heart of anyone who still thought that the economy was headed for a double-dip recession," said the chief strategist at Federated Investors. Fourth-quarter consumer spending grew at its fastest pace in almost 5 years, with an annual rate of 4.4%—nearly double the previous quarter’s figure, the New York Times reports. More»

NEWS FROM OUR PARTNERS

What is Newser?

Face it: there's too much news. At Newser, we choose the most thought-provoking and entertaining stories from hundreds of US and international sources and reduce them to a headline, picture, and two paragraphs. And we do it 24/7—you can come back morning, noon, night (and in between) for something new that matters. Read less, know more.

Learn more »

Partnering with: Slate

View Newser on the mobile website

Even Fat Wallets Closing

Nation's wealthiest aren't spending, signaling steep economic trouble

consumer confidence • consumer spending • US economy

MOST POPULAR STORIES

[ By Views ]

[ By Comments ]

More Newser Stories

Consumer Spending Stalls Again

Confidence is falling as inflation rises

Next 12 Months: No Recession, but Slow Growth

Risk of recession at 26%; unemployment likely 9% at year's end

Recession Worse Than Thought; GDP Growth Weak

Economy grew just 1.3% over past three months

Walmart: Gas Prices Hurting Our Shoppers

CEO says customers 'running out of money'

Economy Grew at 3.2% Rate in Q4

Consumer spending grew at fastest pace in 5 years

About Us

Site

Community

Site Maps

Tools

More News

What is Newser?