The richest 20% of U.S. households now account for 60% of personal outlays, up from 50% during the dot-com era, according to Moody's chief economist Mark Zandi. In the year ending Q1 2026, spending by households earning $200,000 or more grew 6.5% nominally, or 4% after inflation, while outlays for the bottom 80% were flat in real terms. Zandi notes this K-shaped dynamic has persisted since the pandemic, with the top 20% increasing spending by 8.3% versus 4.5% for the bottom 80%, barely ahead of 3.9% inflation. Nearly 90% of corporate equities and mutual funds are held by the top income quintile, making their spending highly sensitive to stock prices, which Zandi says are overvalued and bordering on speculative. He warns that a market stumble could cause wealthy consumers to pull back, threatening the broader economy.