Big Wipeout In US Household Net Wealth
By Michael Panzner on June 12, 2009 | More Posts By Michael Panzner | Author's Website
The Federal Reserve today announced that U.S. household net worth fell by $1.3 trillion in the first quarter, which sounds like a pretty big deal.
However, sometimes percentages and graphs tell a better story when it comes to numbers like this.
For example, since its peak in the third quarter of 2007, household wealth has decreased by 21.6%, or more than a fifth, which is the most dramatic fall in the series since reporting began more than a half century ago.
And just to emphasize how big of an economic shock this wipeout has been, take a look at the accompanying chart, which plots quarterly values of the 12-month change in net worth as a percentage of nominal gross domestic product.
How anyone could think that the effects of so much wealth destruction in such a short period of time could be quickly overcome is beyond me.
Forex Wrap-up: A Massive Short-Covering Rally In The US Dollar May Just Be Starting
The Message Of The 2-Year US Treasury Note, Deflation And Japan
Video: The Week Ahead
3 Steps To Becoming A More Successful Trader
The Transportation Sector: Here Are Three Investments In A Sector That Are Ready To Soar
Bay Street Stocks Slip Slightly Again - Canadian Commentary - 15 hrs ago
Stocks Close Mostly Lower Amid Disappointing Quarterly Results - U.S. Commentary - 16 hrs ago
Bay Street Stocks Linger Slightly Below Unchanged Level - Canadian Commentary - 17 hrs ago
Stocks Remain Stuck In The Red In Mid-Afternoon Trading - U.S Commentary - 18 hrs ago
European Markets Fall, Led By Banks, Oils - European Commentary - 19 hrs ago


