Bank of America’s customers are spending freely on various experiences, including dining and entertainment, which has resulted in indirectly helping boost employment in the United States.
According to Bank of America’s CEO Brian Moynihan, the bank's customers increased their spending by 8% in the first three months of this year compared to the same period last year.The current trend is part of a cycle that supports employment, as opposed to an earlier trend of hard goods that primarily benefited foreign producers. On Tuesday, Bank of America reported first-quarter earnings that were better than anticipated figures because of increased interest rates.
Moynihan stated that the economists at his bank anticipate a mild recession in the second half of this year.
“It would be a heck of an accomplishment,” he said if the Federal Reserve can control inflation while keeping the unemployment rate at 4.5% or lower.
