November spending fell by 0.4% as incomes dropped 1.1%, and the most important figure is the last one when all professionals thinking that financial market, Mnuchin comments and CNBC news reflects the full reality.
Consumer spending is being hit by two main factors. The first is that households have less money to spend compared with this summer, when federal-relief programs provided stimulus checks, enhanced unemployment benefits, and help for small businesses. Some of those programs have expired or are winding down. Household income fell in October.
The second factor is that consumers have fewer opportunities to spend after states and cities put in place a new round of business restrictions designed to combat another surge of virus infections.
All these facts to say that December should be worse and not sure that even 2000$ instead of 600$ will change something if households mistrust health policies…