This is The Takeaway from today's Morning Brief, which you can sign up to receive in your inbox every morning along with: What we're watching What we're reading Economic data releases and earnings United Airlines (UAL) is shaking up its rewards program in the latest move to win over credit card customers at the center of an escalating perks war. But it's going about it in a counterintuitive way, with both the carrot and the stick. Rather than focusing on just adding perks for loyalty members and c ...

Economic Overview - The US economy is primarily supported by affluent consumers, with a significant disparity in spending habits between the wealthiest and the majority of the population, who are struggling to keep up with inflation [1] - The spending habits of the top 10% of income earners account for nearly half of all consumer spending, highlighting the economic divide [5] Credit Card Market Dynamics - American Express (Amex) has introduced a revamped Platinum credit card with enhanced travel and dining benefits, raising the annual fee to $895, reflecting a trend towards luxury credit offerings [4][7] - The competition among credit card companies is intensifying, with Amex and JPMorgan Chase both enhancing their luxury cards and increasing fees, indicating a focus on affluent customers [5][7] Consumer Behavior and Spending - The luxury credit card market is characterized by high annual fees and significant spending potential, with some cardholders able to extract up to $3,500 in value from their cards [5] - Despite the high costs, the demand for luxury credit cards remains strong, driven by consumers seeking status symbols and premium benefits [8]