Top 10% Now Drives Nearly All U.S. Discretionary Spending

Bank of America Institute data published July 6, 2026, shows the wealthiest 10% of earners are the primary driver of discretionary spending. Lower and middle-income households face depleted savings and cumulative inflation, while high earners benefit from equity gains and locked-in mortgage rates. This concentration means headline retail strength masks a narrower demand base—one more exposed to asset prices than labor-market health.