U.S. household wealth fell by $1.5 trillion in the second quarter, according to Federal Reserve data on Friday that showed the strain a slow-paced recovery and high unemployment are putting on Americans.
Household net worth fell to $53.5 trillion, well below the $64.2 trillion it had reached at the end of 2007 when the recession officially began, according to the central bank’s quarterly flow of funds report.
Declines in the value of financial assets — especially in stocks and mutual funds — accounted for much of the decline in second-quarter net worth. Stocks alone were down $1.9 trillion to $14.9 trillion, more than offsetting small gains in other areas like state and local government retirement funds.
Continue reading the article . . .
Catherine Austin Fitts’ Blog Commentaries
‘Social Explosion’ From World Jobs Crisis
(16 Sept 10)
Poverty and Income
(9 Sept 10)
Fed in Emergency Bid to Put Bailout Ruling on Hold
( 27 Aug 10)
More Than 40m Now Use Food Stamps
(3 June 10)