Thread: Household Net Worth Drops $5.1 Trillion

Household Net Worth Drops $5.1 Trillion

Thursday, March 12, 2009 11:12 AM

WASHINGTON -- U.S. households suffered a record-large 9 percent drop in wealth and curbed borrowing in the fourth quarter as a deepening recession battered confidence and finances, Federal Reserve data showed Thursday.

Household net worth dropped by $5.1 trillion from the prior quarter to $51.5 trillion. For the full year, net worth dropped by $11.2 trillion, reflecting steep declines in the housing and stock markets.

The U.S. central bank's quarterly Flow of Funds report also showed that household borrowing contracted at a 2 percent annual rate in the fourth quarter, after increasing at a 0.2 percent pace in the previous period. Home mortgage debt fell at a 1.6 percent pace -- the third consecutive quarter of declines -- and consumer credit dropped at a 3.2 percent rate.

http://moneynews.newsmax.com/economy/ho ... 91213.html

I'm STILL waiting for the boom from REGAN.....not exactly the one to talk to!!!!!