Americans have almost no savings left, and the economy is now leaning on the richest 10% to stay out of recession — bad news for workers and for the stock market.

• The US personal savings rate has fallen to a four-year low, leaving the average person with almost nothing in reserve.
• Real wages are falling, and the bottom half of consumers are already in financial distress.
• Only the top 10% of earners are still spending enough to keep the economy from shrinking.
• Companies are automating to boost profits while paying workers less, using AI as the stated reason for layoffs.
• The steady flow of paycheck money into stocks that companies like SpaceX, OpenAI, and Anthropic count on for their share offerings depends on workers still having paychecks to invest.

Outlook: If wages keep falling and savings stay drained, consumer spending and the money flowing into stocks could both weaken, raising the odds of a recession.