BofA Institute reports March credit and debit card spending per household up 0.1% Y/Y (slowest growth since February 2021) and down 1.5% M/M; weakness was broad-based across retail and services
- Households still have financial buffers based of lower credit car utilisation rates vs 2019.
- Bank's data shows higher income households saw wages contracting by 0.5% Y/Y in March 2023, the first negative growth reading since May 2020, which BofA suggests could be in part to hiring freezes in tech and financial services, placing downward pressure on wages.
- Bank's card data through March 31st suggests lower-income households, particularly those with earnings below USD 20k/yr, might have turned to personal credit and debit cards for food purchases.
Analysis details (12:13)
- US CPI is due later Wednesday ahead of retail sales and Uni of Michigan prelim survey both on Friday.
12 Apr 2023 - 12:08- Data- Source: Newsquawk contacts
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