K-Shaped Economy Begins to Converge | Raleigh News

Raleigh News Today | 2 Min News | The Daily News Now! · Aug 12, 2026 · 2m

The U.S. economy’s long-standing K-shaped divide is starting to narrow, as Bank of America reveals a surprising shift: lower-income households are now outspending middle-income ones, fueled by stronger wage growth. While top earners still lead in spending thanks to soaring stock markets, overall consumer growth has slowed — from 6% in June to 5% in July — as temporary boosts fade and essentials like gas eat into budgets. This emerging “Great Convergence” signals a more balanced recovery, but the very wealthy remain insulated, riding the equity wave with bigger splurges on goods and lodging…