US economy faces concerns as pandemic savings dwindle

A recent Federal Reserve study shows that the bottom 80% of Americans by wealth have depleted their pandemic savings and now have less cash on hand than before the pandemic. Personal savings have declined across all income groups, with the bottom two-fifths of earners experiencing an 8% decrease compared to an 8% increase among the top 20%. These declining savings come at a time of rising interest rates, which have increased the cost of borrowing in the US.