logo
#

Latest news with #JPMorganChaseInstitute

New research explains US economic cash surge
New research explains US economic cash surge

Qatar Tribune

timea day ago

  • Business
  • Qatar Tribune

New research explains US economic cash surge

Agencies New research finds that more Americans are shifting their money from checking and savings accounts into financial vehicles that pay an investment income — a trend that helps to explain the resilience of the U.S. economy after a bout of high inflation and recent uncertainty due to tariffs. The analysis by JPMorganChase Institute examined the accounts of 4.7 million households and found that people's total cash reserves are increasing when including new amounts going into brokerage accounts, money market funds and certificates of deposit to assess people's cash balances in checking and savings accounts 'remain low with a flat-growth trajectory,' but since the middle of 2024 total cash reserves have been increasing and approaching historical growth trends once the additional accounts are included, the analysis said.'Families across many income bands are now seeing a turnaround in their total cash,' said Chris Wheat, president of the institute.

More Americans shift money from checking and savings to accounts with investment income, study says
More Americans shift money from checking and savings to accounts with investment income, study says

NBC News

timea day ago

  • Business
  • NBC News

More Americans shift money from checking and savings to accounts with investment income, study says

New research finds that more Americans are shifting their money from checking and savings accounts into financial vehicles that pay an investment income — a trend that helps to explain the resilience of the U.S. economy after a bout of high inflation and recent uncertainty due to tariffs. The analysis by JPMorganChase Institute examined the accounts of 4.7 million households and found that people's total cash reserves are increasing when including new amounts going into brokerage accounts, money market funds and certificates of deposit to assess people's well-being. Inflation-adjusted cash balances in checking and savings accounts 'remain low with a flat-growth trajectory,' but since the middle of 2024 total cash reserves have been increasing and approaching historical growth trends once the additional accounts are included, the analysis said. 'Families across many income bands are now seeing a turnaround in their total cash,' said Chris Wheat, president of the institute. Wheat said it had been 'hard to square the circle' of consumer spending staying strong despite the lack of growth in checking and savings accounts, an issue that can now be explained by people in a higher-interest rate environment shifting more money into accounts that yield investment returns. He said people appear to be using the other accounts to manage their cash, rather than simply making long-term investments. Wheat cautioned, however, that the trend might be short term and that the institute doesn't have a basis yet as to whether it will continue. The analysis also found that households with incomes generally lower than $35,000 had their total cash balances increase at an annual rate of 5% to 6%. The lowest income quartile tend to have checking and savings account balance of just over $1,000, while the median balances of the highest income quartile are above $8,000.

More Americans shift money from checking and savings to accounts with investment income, study says
More Americans shift money from checking and savings to accounts with investment income, study says

Mint

time2 days ago

  • Business
  • Mint

More Americans shift money from checking and savings to accounts with investment income, study says

New research finds that more Americans are shifting their money from checking and savings accounts into financial vehicles that pay an investment income — a trend that helps to explain the resilience of the U.S. economy after a bout of high inflation and recent uncertainty due to tariffs. The analysis by JPMorganChase Institute examined the accounts of 4.7 million households and found that people's total cash reserves are increasing when including new amounts going into brokerage accounts, money market funds and certificates of deposit to assess people's well-being. Inflation-adjusted cash balances in checking and savings accounts 'remain low with a flat-growth trajectory,' but since the middle of 2024 total cash reserves have been increasing and approaching historical growth trends once the additional accounts are included, the analysis said. 'Families across many income bands are now seeing a turnaround in their total cash,' said Chris Wheat, president of the institute. Wheat said it had been 'hard to square the circle' of consumer spending staying strong despite the lack of growth in checking and savings accounts, an issue that can now be explained by people in a higher-interest rate environment shifting more money into accounts that yield investment returns. He said people appear to be using the other accounts to manage their cash, rather than simply making long-term investments. Wheat cautioned, however, that the trend might be short term and that the institute doesn't have a basis yet as to whether it will continue. The analysis also found that households with incomes generally lower than $35,000 had their total cash balances increase at an annual rate of 5% to 6%. The lowest income quartile tend to have checking and savings account balance of just over $1,000, while the median balances of the highest income quartile are above $8,000.

More Americans shift money from checking and savings to accounts with investment income, study says
More Americans shift money from checking and savings to accounts with investment income, study says

Yahoo

time2 days ago

  • Business
  • Yahoo

More Americans shift money from checking and savings to accounts with investment income, study says

WASHINGTON (AP) — New research finds that more Americans are shifting their money from checking and savings accounts into financial vehicles that pay an investment income — a trend that helps to explain the resilience of the U.S. economy after a bout of high inflation and recent uncertainty due to tariffs. The analysis by JPMorganChase Institute examined the accounts of 4.7 million households and found that people's total cash reserves are increasing when including new amounts going into brokerage accounts, money market funds and certificates of deposit to assess people's well-being. Inflation-adjusted cash balances in checking and savings accounts 'remain low with a flat-growth trajectory,' but since the middle of 2024 total cash reserves have been increasing and approaching historical growth trends once the additional accounts are included, the analysis said. 'Families across many income bands are now seeing a turnaround in their total cash,' said Chris Wheat, president of the institute. Wheat said it had been 'hard to square the circle' of consumer spending staying strong despite the lack of growth in checking and savings accounts, an issue that can now be explained by people in a higher-interest rate environment shifting more money into accounts that yield investment returns. He said people appear to be using the other accounts to manage their cash, rather than simply making long-term investments. Wheat cautioned, however, that the trend might be short term and that the institute doesn't have a basis yet as to whether it will continue. The analysis also found that households with incomes generally lower than $35,000 had their total cash balances increase at an annual rate of 5% to 6%. The lowest income quartile tend to have checking and savings account balance of just over $1,000, while the median balances of the highest income quartile are above $8,000. Josh Boak, The Associated Press

More Americans shift money from checking and savings to accounts with investment income, study says
More Americans shift money from checking and savings to accounts with investment income, study says

Winnipeg Free Press

time2 days ago

  • Business
  • Winnipeg Free Press

More Americans shift money from checking and savings to accounts with investment income, study says

WASHINGTON (AP) — New research finds that more Americans are shifting their money from checking and savings accounts into financial vehicles that pay an investment income — a trend that helps to explain the resilience of the U.S. economy after a bout of high inflation and recent uncertainty due to tariffs. The analysis by JPMorganChase Institute examined the accounts of 4.7 million households and found that people's total cash reserves are increasing when including new amounts going into brokerage accounts, money market funds and certificates of deposit to assess people's well-being. Inflation-adjusted cash balances in checking and savings accounts 'remain low with a flat-growth trajectory,' but since the middle of 2024 total cash reserves have been increasing and approaching historical growth trends once the additional accounts are included, the analysis said. 'Families across many income bands are now seeing a turnaround in their total cash,' said Chris Wheat, president of the institute. Wheat said it had been 'hard to square the circle' of consumer spending staying strong despite the lack of growth in checking and savings accounts, an issue that can now be explained by people in a higher-interest rate environment shifting more money into accounts that yield investment returns. He said people appear to be using the other accounts to manage their cash, rather than simply making long-term investments. Monday Mornings The latest local business news and a lookahead to the coming week. Wheat cautioned, however, that the trend might be short term and that the institute doesn't have a basis yet as to whether it will continue. The analysis also found that households with incomes generally lower than $35,000 had their total cash balances increase at an annual rate of 5% to 6%. The lowest income quartile tend to have checking and savings account balance of just over $1,000, while the median balances of the highest income quartile are above $8,000.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store