### Summary
📉 Americans could run out of savings as early as this quarter, according to a Fed study. Excess savings are likely to be depleted during the third quarter of 2023.
### Facts
- 💸 As of June, US households held less than $190 billion of aggregate excess savings.
- 💰 Excess savings refer to the difference between actual savings and the pre-recession trend.
- 🔎 San Francisco Fed researchers Hamza Abdelrahman and Luiz Oliveira estimate that these excess savings will be exhausted by the end of the third quarter of 2023.
- 💳 Americans are using their credit cards more, accumulating nearly $1 trillion of debt.
- 📉 The downbeat forecast raises concerns about the US economy as consumer spending is crucial for growth.
Goldman Sachs analysts predict that the U.S. government is "more likely than not" to shut down later this year due to spending disagreements, which could temporarily impact economic growth by reducing it by 0.15-0.2 percentage points per week, with past shutdowns having minimal impact on equity markets.
Americans are growing increasingly anxious about the possibility of another government shutdown, with concerns about the impact on the economy and essential programs such as child care and fishing quotas.
### Summary
The impending government shutdown due to a funding dispute between hard-right lawmakers in the House and Democrats could affect various government functions and services, causing delays and closures in areas such as air travel, national parks, and food safety inspections.
The potential government shutdown threatens to deprive the Federal Reserve of crucial data on the labor market and inflation, which could hinder its ability to make informed decisions about the economy and interest rates.
Goldman Sachs warns that three factors - the resumption of student loan payments, the autoworkers' strike, and a potential government shutdown - could lead to a significant slowdown in US GDP growth during the fourth quarter of 2023.
Potential risks including an autoworkers strike, a possible government shutdown, and the resumption of student loan repayments are posing challenges to the Federal Reserve's goal of controlling inflation without causing a recession. These disruptions could dampen consumer spending, lead to higher car prices, and negatively impact business and consumer confidence, potentially pushing the economy off course.
The White House warns that a government shutdown at the end of the month could have damaging consequences for the economy, national security, and the American public.
The US government faces a potential shutdown if Congress fails to agree on funding past September 30, which would be the first shutdown since December 2018 and could result in a longer standoff between parties.
Millions of federal employees and military personnel face the prospect of a government shutdown, which would result in financial hardships for American families, disruptions in services, and potential harm to the economy.
The looming government shutdown may disrupt the return of student loan payments on October 1, as loan servicers struggle to handle the influx of borrowers seeking assistance.
The federal government is likely to face a shutdown that will affect various services, disrupt workers' pay, and create political turmoil as Republicans demand deep spending cuts.
A potential government shutdown in Washington could have far-reaching consequences, causing financial losses for millions of people, disrupting medical research and food access, delaying regulatory efforts, and hampering the Biden administration's agenda on energy, climate, and infrastructure.
The federal government is at risk of shutting down on October 1 if a last-minute spending deal is not reached, potentially leading to delayed paychecks for millions of federal workers and negative effects on the economy, according to the AP.
Google searches about the potential government shutdown in the US are increasing, with a particular interest in how it would affect Social Security, veterans' benefits, and the US dollar.
A potential government shutdown in the U.S. could negatively impact the country's credit rating, highlighting weaknesses in institutional and governance strength, according to Moody's Investors Service. The economic impacts would be concentrated in areas with significant government presence, and the severity of the effects would depend on its duration. If prolonged, it could have a more pronounced effect on business and consumer confidence as well as financial markets.
The U.S. is on the verge of a government shutdown as Congress debates spending levels and aid to Ukraine, which could potentially affect government operations and federal workers' paychecks.
A brief government shutdown is unlikely to significantly slow down the economy, but a prolonged shutdown could hurt growth and potentially impact President Biden's re-election prospects.
A government shutdown due to a short-term spending bill will cause financial hardship for federal employees and contractors, but there are steps they can take such as contacting their landlord or mortgage loan servicer for assistance.
Lower income households and Black and Latino communities will face significant economic hardships due to the expiration of COVID-19 federal support programs, a potential government shutdown, the end of federal funding for childcare, and the resumption of student loan debt repayments.
Summarizing the text given, the US is preparing for a government shutdown as the funding deadline approaches, with potential consequences including delays in work authorizations for migrants, impacts on the Federal Aviation Administration, uncertainty in the House regarding a procedural vote, and concerns about the effects on small businesses and border security.
A potential US government shutdown could disrupt the release of important economic data, leading to market volatility and forcing investors to rely on alternative sources of information, potentially impacting monetary policy decisions and delaying key reports such as the October 6 payroll report.
A potential government shutdown in the United States could lead to furloughs, paused paychecks, and a significant economic impact, potentially costing upwards of $1 billion a week, while the stock market and interest rates may not be heavily affected.
US Treasury Secretary Janet Yellen warns that a government shutdown could lead to a recession, with immediate harm and long-term repercussions for the economy.
The US may be at risk of a recession due to factors such as a potential auto strike, the resumption of student-loan repayments, rising oil prices, and a global economic slowdown.
The recurring government shutdowns in the United States, a uniquely American phenomenon, are a result of the country's federal system of government and the strict interpretation of spending laws, which allow different political parties to control different branches of government and often lead to a lack of compromise.
The resumption of payments on federal student loans in the US after a pandemic-era pause is raising concerns about its impact on the economy, with experts predicting higher delinquencies, decreased consumer spending, and potential declines in GDP growth.
The depletion of pandemic savings and government aid in the US is leading to financial strain for low- and moderate-income households, potentially putting the nation at risk of recession by early 2024. Americans are cutting back on spending and using loans to make ends meet as stimulus checks and other forms of assistance run out.
