MARKETS

US Economy is Better Than Many Think

Prices in most sectors of the US economy are showing signs of deflation.  According to UBS bank, it is “fictional prices for housing that are propping up inflation data – which means middle income homeowners have more spending power than consumer price numbers imply.”

“The US middle-income consumer is doing just fine, with July’s retail sales data showing little fear of unemployment and a willingness to indulge in the national pastime of spending money,” said UBS.

Key Takeaway:  While some people are feeling economic strain from ‘higher prices for groceries’, many people are financially stable – and expect to continue to do well in the near future.