US Household Net Worth Hits All-Time High in Q3

This year, the U.S. stock market surged, causing the net worth of American households to reach an all-time high in the third quarter.

On the 12th (local time), Bloomberg cited data from the U.S. central bank, the Federal Reserve (Fed), reporting that the net worth of American households in the third quarter rose to $168.8 trillion, an increase of $4.8 trillion (2.9%) compared to the previous quarter.

Among this, the value of stock holdings increased by $3.8 trillion, accounting for 80% of the net worth increase. Ahead of the presidential election, the S&P 500 index, centered on large-cap stocks, and the Nasdaq index, focused on tech stocks, rose by 5.5% and 2.4%, respectively, in the third quarter.

In September, the Fed cut the benchmark interest rate for the first time in four and a half years, and expectations that Trump's return to the White House would lead to more business-friendly policies drove investment sentiment. Real estate values, which had shown an upward trend in the first half of the year, decreased by about $200 billion in the third quarter.

American households are considered a main driver of economic growth. However, Bloomberg reported that household consumption demand is expected to ease due to still high loan interest rates and living expenses.

According to the Fed report, corporate loans decreased in the third quarter, but consumer loans grew at a faster pace. Consumer credit loans increased by 2.5%, and mortgages (home-secured loans) rose by 3.1% in the third quarter.

This content was produced with the assistance of AI translation services.