Household Absorption
Indicator Study | Active | As of 2026-01-02 | Freshness 65d
Household Absorption is 'active' with a composite score of 62.6. The hottest components are Debt-service pressure 69.9, Income strain 61.8.
62.60
Score
65 day(s)
Freshness
2026-01-02
As Of
Component Scores
| Component | Score |
|---|---|
| Income strain | 61.82 |
| Spending strain | 57.16 |
| Debt-service pressure | 69.85 |
Current Drivers
| Driver | Component | Score | Raw | Transformed |
|---|---|---|---|---|
| Household debt service ratio | Debt-service pressure | 69.85 | 11.26 | 11.26 |
| Consumer sentiment | Income strain | 68.80 | 56.40 | -56.40 |
| Real personal consumption expenditures | Spending strain | 59.13 | 16699.50 | -2.35 |
| Real retail sales | Spending strain | 55.19 | 224606.00 | -0.75 |
| Real disposable personal income | Income strain | 54.85 | 18032.20 | -0.80 |
Metrics
| Metric | Value |
|---|---|
| Score | 62.60 |
| Freshness Days | 65 |
| Panel As Of Date | 2026-01-02 |
| Source As Of Date | 2026-01-01 |
Charts
Component contribution bars
Higher scores indicate more replacement pressure or fragility for this study.
Normalized history panel
All lines are scored on the same 0-100 scale using trailing z-scores on a weekly Friday panel.
Notes
- Higher scores mean households are absorbing less of the shock through income and spending, and more through strain.
- This study deliberately scores fragility, not resilience, so that it rolls cleanly into the fragility composite.
- Mechanism note: If AI-linked disruption is becoming macro-relevant, it should eventually leak into slower real income growth, weaker spending follow-through, and tighter household cash-flow tolerance.
- Freshness: the stalest source series in this study is 65 day(s) old.
Commentary
Household Absorption is active with a composite score of 62.6, driven by high debt‑service pressure (69.9) and moderate income strain (61.8).
- Composite score: 62.6 (as of 2026‑01‑02; 65‑day freshness).
- Debt‑service pressure: 69.9 – the strongest component, indicating elevated debt‑service ratios.
- Income strain: 61.8 – still elevated, reflecting pressure on household earnings.
Caveat: The index aggregates a limited set of leading indicators and is subject to data revisions, so the composite figure should be viewed alongside broader household‑finance trends.