Data recently released by the Federal Reserve shows a $2 trillion increase in the 2nd quarter, up to $53.1 trillion, in the first positive move since 2007, Financial Soultions has been informed.
The swell in assets came at a time that saw the first increase in household real estate assets since the 4th quarter of 2006, and vast increases in global financial markets.
Even with the $2 trillion rise, domestic net worth was still substantially lower than the 65.3 trillion peak recorded in the third quarter of 2007, just before the start of the recession in December 2007, according to information available to Financial Soultions.
That sharp drop in assets has significantly slowed consumer spending, which usually accounts for around 70% of U.S. economic movement, and has encouraged households to increase savings.
A definite indication that savings were on the increase, household ownership of U.S. Treasury securities rose to $605.9 billion in the second quarter from $576.4 billion in the preceding period, Financial Soultions understands, with the most recent figure up about 65 percent from a year earlier, and is the highest since the first quarter of 2006, according to the Fed report.
