The U.S. Bureau of Economic Analysis released more concerning data for US consumers. In what was the most significant drop in almost four years.

Personal incomes decreased $109.6 billion (0.4 percent at a monthly rate) in May. Meaning US consumers had less access to income to purchase goods.

With continued apprehension over softening job markets, US consumers are feeling the impact of recent cuts in government transfers and fewer prospects for income generation. The decline in personal income was primarily attributed to a decrease in current personal transfer receipts (government benefits) and a drop in proprietors’ income. 

The drop in personal income, not surprisingly, also affected consumers’ disposable personal income – which decreased by $125.0 billion (0.6 percent).

Dropping income ultimately determines how much individuals can spend on consumption. The decreases resulted in personal consumption expenditures falling by $29.3 billion (0.1 percent).

Additionally, the personal savings rate in the United States also fell to 4.5% in May – people are spending less and saving less.

Not a good sign for the overall economy.

However, the Administration is in denial.

Taking to Truth Social today, Trump touted America as the ‘Hottest Country anywhere in the World’ right now, stating:

“… unleashing our American Economy, dominating the Energy Market, creating Jobs, and getting money back to American Families. The House of Representatives must be ready to send it to my desk before July 4th. We can get it done. It will be a wonderful Celebration for our Country, which is right now, “The Hottest Country anywhere in the World” — And to think, just last year, we were a laughingstock. Thank you for your attention to this matter!”    

Unleashing the American Economy?

Creating Jobs?

Getting money back to American Families?

That is not what the data show – the data indicate that American families are worse off today than they were even just a few months ago, with lower income, less job stability, continued rising prices, and unpredictable government policy.

Perhaps the President would be better served by focusing on the declining incomes and expenditures facing American households, rather than continuing with campaign-style rhetoric not based in reality.