Federal Reserve data reveals that total consumer credit increased by $7.3 billion during May (1.8% annualized), the slowest growth since November 2020. Nonrevolving consumer credit, which includes auto and student loans, declined by -0.4% (annualized...
Read MoreAfter three years of relatively low loan defaults, the negative effects of inflation and higher interest rates are weighing on borrowers. Bloomberg expects the six largest U.S. banks to write off $5 billion in loans...
Read MoreAccording to the Wall Street Journal, U.S. banks are expected to see an increase in unrealized losses on bonds and loans for the second quarter, as long-term yields continue to rise. The continued decline in market values...
Read MoreAccording to the Wall Street Journal (WSJ), corporate debt financing in below BBB-grade is moving away from unsecured bonds and into secured bonds, which accounted for 62% of recent issuance. These bonds also show shorter...
Read MoreThe $1.4 trillion market for collateralized loan obligations (CLOs) is experiencing a slowdown as borrowers face challenges arising from tighter financial conditions. CLOs—which hold about two-thirds of low-rated U.S. corporate loans—are reducing their activity due...
Read MoreDespite facing higher home prices and borrowing costs, below-median family income households have seen a 5.4% increase in homeownership since 2016. Comparatively, the above median-family income homeownership rose only 0.8%. Freddie Mac predicts a 2.9%...
Read MoreAccording to the Wall Street Journal, across ten major metro areas, office buildings are operating at only 50% capacity compared to pre-pandemic levels, and public transportation ridership rates have plummeted by 70%, primarily due to...
Read MoreNew lease asking prices in the U.S. have risen by just under 2% during the last 12 months, marking a slowdown from the double-digit increases seen a year prior. Demand among renters is weakening amidst...
Read MoreThe Wall Street Journal reports that investors, encouraged by the debt-ceiling deal and improved banking news, are more enthusiastic about consumer ABS. Yields have declined on these asset classes relative to Treasuries amid strong stock index performance,...
Read MoreA recent report by the Department of Commerce shows that consumer spending in the U.S. rose by 0.8% in April, following recent decline. With personal income also rising 0.4% in April, the report illustrated consumer...
Read MoreThe Federal Housing Finance Agency (FHFA) has released their House Price Index Report, revealing a rise in U.S. house prices by 4.3% between the first quarter of 2022 and 2023. Notable increases occurred in 43...
Read MoreOn May 22, the Federal Reserve released its Economic Well-Being of U.S. Households in 2022. The report, revealed a decline in people’s financial well-being over the past year, to its lowest level since 2016. Out...
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