Posts from the economiccollapse
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The Buffett indicator doesn’t look so great, either.
AI has pushed everything much higher. No one knows what effect it should really have on valuations and at some point a bubble does form. Not predicting it because no one really knows but there are warning signs.
finance.yahoo.com/news/warren-buffett-indicator-sounds-alarm-220009350.html
Americans added more than $11 billion of consumer debt in May
The tally is in for consumer credit; that’s borrowing and paying interest, when we spend money now and pay it back later.
In May, according to the Federal Reserve, American consumers added $11.3 billion to what they owe on credit cards, auto and student loans. The increase in consumer credit was higher than economists expected, and nearly double the $6.5 billion debt added back in April.
With an economy that’s gradually slowing down in the face of high interest rates, consumers taking on more debt is a bit of a surprise.
“Credit card balances rising again — this is a pretty sharp increase,” said Ted Rossman, a senior industry analyst at Bankrate.
“People are definitely spending,” he added. “That’s supporting the economy. But it’s not good to the extent that many of these cardholders are paying an average interest rate of over 20%.”
www.marketplace.org/2024/07/09/americans-added-more-than-11-billion-of-consumer-debt-in-may/