The consumer has moved past the Fed's 2025 snapshot

The 2025 Survey of Consumer Finances shows real median income and net worth increased modestly since 2022, while household balance sheets remained solid overall. However, gains were uneven across the income and wealth distribution. Parts of the SCF are already dated: the wage and spending "K" that emerged in late 2024 has recently narrowed, while household wealth has risen further amid surging equity markets, though gains remain concentrated at the top. Debt looks manageable relative to assets, but burdens have risen relative to income, pointing to pockets of financial strain, particularly among lower-income families. In the past week, CPI and PPI inflation surprised meaningfully to the upside, with both core goods and core services accelerating;