Americans spent more than they earned again in September.
Personal income climbed 0.2% month-over-month, missing the 0.3% forecast. Meanwhile, spending rose 0.5%—slower than August's 0.9% surge, but still outpacing income growth.
This gap keeps widening. People are either drawing down savings, leaning on credit, or both. It's not sustainable forever, but it does explain why the economy hasn't rolled over yet. Consumers are still spending through the friction.
The question isn't whether this can continue. It's how long before the math catches up.
Personal income climbed 0.2% month-over-month, missing the 0.3% forecast. Meanwhile, spending rose 0.5%—slower than August's 0.9% surge, but still outpacing income growth.
This gap keeps widening. People are either drawing down savings, leaning on credit, or both. It's not sustainable forever, but it does explain why the economy hasn't rolled over yet. Consumers are still spending through the friction.
The question isn't whether this can continue. It's how long before the math catches up.