On Friday, the government reported that consumer spending in April plunged 13.6 percent from the month prior, which Bloomberg says is "the sharpest drop in Commerce Department records back to 1959." Meanwhile, the personal savings rate, which describes the amount of a person's disposable income that they are putting into savings, hit 33 percent in April, "by far the highest since the department started tracking in the 1960's, and [surpassing the] consumer savings during the Global Financial Crisis," CNBC reports. The high personal savings rate, combined with the extremely low consumer spending, reflects Americans' jitters about spending money during the pandemic. Personal income, meanwhile, rose 10.5 percent in April, a record boost due to the federal stimulus payments and unemployment benefits, while economists had expected a decrease of 2.1 percent.
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