Bank of America (BAC) Consumer Checkpoint says consumer spending showed solid resilience in January, with total card spending +2.6% Y/Y, strongest in nearly two years, despite weather‑related disruptions

Income‑based divergence in spending and wage growth persists, BofA said, and it said it was concerned that a “K” shape is opening up between higher-income households and middle-income households, alongside the existing gap with lower-income households. BofA says households remain adaptive and financially stable overall in the face of significant affordability challenges, supported by trading‑down behaviours, elevated savings and “dry powder” to borrow.  Moreover, BofA thinks higher tax refunds may provide a significant support for consumers.