US household wealth increases by $12.8 trillion in the second quarter
The net worth of households and non-profit organizations in the United States recorded a historic increase as of the second quarter.
According to Federal Reserve data, the net worth of households and non-profit organizations in the country showed significant growth in the second quarter of the year.
Wealth Increase in the Second Quarter
Household net worth in the United States reached a magnitude of $195.9 trillion in the second quarter of this year.
According to the Financial Accounts report published by the Federal Reserve, total wealth gained significant momentum.
Distribution of Net Worth
The net worth of households and non-profit organizations increased by $12.8 trillion compared to the previous quarter.
In the first quarter of the year, the total wealth of households stood at $183.1 trillion, and this figure was revised upwards.
Factors Behind the Increase
Net transactions and market revaluations played a decisive role in this massive increase during the second quarter.
During this period, the value of equities held by households increased by $10.7 trillion.
Real Estate and Debt Status
Alongside equities, the value of real estate owned by households also rose by $1.1 trillion.
During the same period, the value of deposits decreased by $0.1 trillion, while total liabilities increased by 5 percent on an annualized basis.