Credit and debit card spending rose 6.3% in June, its fastest growth in four years, spanning all income groups and both services and retail. Bank of America Institute head Liz Everett Krisberg noted that lower-income wage growth jumped a full percentage point to 4.1%, effectively closing the gap with higher-income earners at 4.2%. Job-switching is the main engine behind that wage gain, since changing employers typically delivers a compounding pay premium beyond the baseline annual raise.
Bank of America CorpArticle reports strong consumer spending growth, which is positive for Bank of America's card processing and lending businesses.