Trading Concept
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
No Result
View All Result
Trading Concept
No Result
View All Result
Home Trading News

Household debt total passes $15 trillion for the first time

by
November 9, 2021
in Trading News
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter

RELATED POSTS

The stock-market rally survived a confusing week. Here’s what comes next.

Nvidia and 5 Other Stocks at High Risk for Short Selling

U.S. dollar banknotes are seen in this photo illustration.

Jose Luis Gonzalez | Illustration | Reuters

Household debt passed $15 trillion for the first time in the third quarter, as rising prices pushed up balances for homes and autos, the New York Federal Reserve reported Tuesday.

Mortgages rose 2.2% to nearly $10.7 trillion, and autos increased $28 billion as part of an overall $286 billion increase in debt that brought the total household burden to $15.24 trillion. That’s up 1.9%, or $286 billion, from the second quarter.

The household debt growth represented a 6.2% gain from the same period a year ago.

The report covered the July to September period, part of a time when U.S. economic growth slowed to a 2% annualized pace amid worries over surging inflation and a pandemic-induced slowdown.

Housing debt accelerated with $1.11 trillion in newly originated mortgages, more than two-thirds of which came from those with credit scores above 760 and just 2% to subprime borrowers, the Fed report said. The trend comes with median housing prices up 19.9% for the quarter to more than $404,700, according to the Census Bureau.

Education loan debt crept higher by $14 billion to $1.58 trillion as students went back to college, according to the report. Just 5.3% of the loans were in serious delinquent or default status as a government forbearance program extends through Jan. 31.

Despite worries over growth, credit card balances increased by $17 billion to around $800 billion for the quarter, reversing a trend that began with the pandemic as consumers paid down revolving debt.

“As pandemic relief efforts wind down, we are beginning to see the reversal of some of the credit card balance trends seen during the pandemic, namely reduced consumption and the paying down of balances,” New York Fed research officer Donghoon Lee said. “At the same time, as pandemic restrictions are lifted and consumption normalizes, credit card usage and balances are resuming their pre-pandemic trends, although from lower levels.”

Officials stressed that even with the rising debt loads, delinquency rates remain low and are declining, due in large part to an influx of government payments that have led to elevated levels of saving and personal income.

Credit scores for mortgage originations “remain very high,” the report said, even though they have declined slightly since the early days of the pandemic.

Newly originated auto loans totaled $199 billion, a slight decline from the previous quarter’s pace and reflective of higher loan amounts rather than a greater volume. New auto prices rose 8.7% in September from a year ago, while used car and truck prices climbed 24.4%, according to Labor Department data.

Consumers see escalating inflation ahead.

A separate report Monday from the New York Fed showed that while inflation expectations over the three-month horizon were unchanged at 4.2%, the one-year outlook sees prices rising 5.7%, the highest in a data series that goes back to 2013.

ShareTweetPin

Related Posts

The stock-market rally survived a confusing week. Here’s what comes next.

by
February 4, 2023
0

Despite a Friday stumble, stocks ended a turbulent week with another round of solid gains, keeping 2023’s young but robust...

Nvidia and 5 Other Stocks at High Risk for Short Selling

by
February 4, 2023
0

Nvidia and 5 Other Stocks at High Risk for Short Selling | Barron's Stocks have rallied in recent months, with...

Stock Market Rally Signals It’s No Bear Run; Tesla CEO Elon Musk Not Liable For ‘Funding Secured’ Tweets

by
February 4, 2023
0

Post Content

Some Medicare beneficiaries are surprised with premium surcharges, which can triple premiums. Here’s how to appeal and avoid them

by
February 4, 2023
0

S&P 500 4,136.48 -43.28(-1.04%)   Dow 30 33,926.01 -127.93(-0.38%)   Nasdaq 12,006.96 -193.86(-1.59%)   Russell 2000 1,985.53 -15.69(-0.78%)   Crude...

COVID Feb 3, 2023: Update on Cases, Hospitalizations and Deaths

by
February 4, 2023
0

by Calculated Risk on 2/03/2023 09:24:00 PM Note: Mortgage rates are from MortgageNewsDaily.com and are for top tier scenarios. On...

Next Post

Biden rolls out multibillion-dollar plan to upgrade U.S. ports after passage of infrastructure bill

There's still firepower in these stocks to take the market higher as the economy reopens

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

email

Get the daily email about stock.

Please Enter Your Email Address:



By opting in you agree to our Privacy Policy. You also agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!

MOST VIEWED

  • WHO says Covid vaccine booster programs will prolong pandemic

    0 shares
    Share 0 Tweet 0
  • Forget Tesla — this auto stock is the one to buy right now, analyst says

    0 shares
    Share 0 Tweet 0
  • Spin or Split? AT&T Has a Big Decision to Make on Discovery Stake.

    0 shares
    Share 0 Tweet 0
  • Here’s how Carl Icahn is positioning for a possible recession in America

    0 shares
    Share 0 Tweet 0
  • Some lawmakers and their families are betting thousands of dollars on crypto

    0 shares
    Share 0 Tweet 0
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
All rights reserved by tradingconcept.net
No Result
View All Result
  • Email Whitelisting
  • Home
  • Privacy Policy

All rights reserved by www.tradingconcept.net