US household wealth rose in the fourth quarter to a fresh record as the stock market continued to rally as the year drew to a close.
Household net worth climbed $2.2 trillion from the prior quarter to $184.1 trillion, a Federal Reserve report showed Thursday. The value of Americans' equity holdings increased $1.6 trillion.
The S&P 500 extended gains in the fourth quarter, hitting a record and boosting wealth for investors. Stock prices were
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The Fed's report also showed the value of household real estate holdings fell roughly $347 billion, reflecting a sluggish housing market.
Meanwhile, consumer borrowing rose at a 3.3% annualized pace, the slowest since the first three months of 2025. Growth in consumer non-mortgage credit picked up, while the pace of mortgage debt growth slowed notably.
Business debt outstanding climbed at a 2.4% annualized rate, the slowest in a year. In the public sector, state and local government debt barely rose. Federal government borrowing increased at a robust pace.
Deposits held by households and nonprofit organizations, which include savings and checking accounts and money market funds, rose 3.3% to a record high $20.5 trillion.
