Personal Savings Rate - Consumer Spending to DeclineAs the Pandemic progressed, Consumers began to spending on
Durable Goods, Home Improvement, Electronics and a host of
additional Products to improve their nesting conditions.
This dynamic applied to Americans who remained employed
through "Stay at Home" Measures.
Lower Income Consumers paid down Debt and began Investing
via WeBull, CoinBase and Robin Hood. Online gambling began to
increase markedly.
Rents were abated through moratoriums on Real Estate.
Stimulus measures provided Income substitution effects, why
work when you are assure $600 per week for one year.
Demand was brought forward for a number of Sectors.
It is now declining.
Consumers purchased new Computers, Phones, Tablets and
peripherals.
White goods and Construction Materials were extremely strong
for 16 months.
Demand has been sated, the Economy has been contracting for
a number of months.
On sector Watch:
XLE
XLU
XLK
XLB
XLP
XLY
XLI
XLC
XLV
XLF
XLRE
Breadth should be closely monitored in each of these Sectors
as it is in decline once again.
