Subprime Auto-Loan Delinquencies Rise to 2019 Levels: a Dive into Subprime Lending and Securitizations by Wolf Richter • Jan 23, 2023 • 67 Comments Surge of delinquencies not caused by unemployment, but by taking Big Risks, hoping for Big Profits, and getting slapped, just as in 2019.
Consumer Spending on Services Blows Past Inflation, Fuels Services Inflation Further. Spending on Goods Fizzles by Wolf Richter • Dec 23, 2022 • 61 Comments Inflation isn’t going to just vanish: 62% of consumer spending went to services where demand is growing and where inflation is raging.
How Strung-Out Are Households with their Debt Service & Financial Obligations as the Miracle of Free-Money Fades? by Wolf Richter • Dec 22, 2022 • 138 Comments Looks like households have lots of fuel left to throw on inflation, if they’re in the mood.
Fed Tightening Reduces Horrendous Wealth Disparity that QE and Interest Rate Repression Have Wrought: Fed Data by Wolf Richter • Dec 21, 2022 • 172 Comments The vast wealth of the top 1% households declined, the minuscule “wealth” of the bottom 50% increased a tad.
In No Mood for Soft Landing, Americans Keep Splurging, Outspend Inflation, No Problem by Wolf Richter • Dec 1, 2022 • 175 Comments With this kind of demand, it’s hard to imagine that inflation will just vanish.
Consumer Bankruptcies, Foreclosures, Delinquencies, and Collections: Free Money Still Doing the Job by Wolf Richter • Nov 25, 2022 • 227 Comments Powell said many times consumers can take tightening because loan distress is at historic lows. What consumers cannot take for long is raging inflation.
Era of Stimulus-Distorted Consumer Credit Ends: Auto Loans, Delinquencies, Prime & Subprime by Wolf Richter • Nov 17, 2022 • 93 Comments Auto-loan balances surge on sky-high prices, despite sales plunge. Delinquencies rise to pre-pandemic lows, subprime delinquencies return to 2016-2019 levels.
Credit Card Balances, Burden, Delinquencies & Collections in Q3: Consumers Still in Great Shape with their Cards by Wolf Richter • Nov 15, 2022 • 111 Comments Credit cards mostly a payment method, paid off monthly. Importance for borrowing declined over the years.
GDP Looked Good, No “Landing” (Soft or Otherwise), But Wasn’t as Good as it Looked due to Reversal of Q1 “Freak Event.” Consumers Still Refused to Throw in the Towel by Wolf Richter • Oct 27, 2022 • 100 Comments And after five months of declines, government consumption and investment rose again.
Flush with Pandemic Cash & Tax Revenues, States, Cities Throw Money Around. Congress too. Is it a Surprise Consumers Outspent this Raging Inflation? by Wolf Richter • Sep 30, 2022 • 131 Comments The Fed, which is trying to slow demand to tamp down on consumer price inflation, gnashes its teeth.
