Federal Reserve Consumer Credit Report

by Mercator Advisory Group 0

The Federal Reserve released its G19 report on consumer credit on 7/8/11, and revolving credit (primarily credit cards) turned in a rare monthly increase in May, rising 5.1 percent or $3.3B. While a potentially positive indicator, monthly readings are subject to volatility, as well as ongoing revision.

The last monthly increase, December 2010, quickly reversed direction in January 2011 and continued its downward trend. Because these assets include transactions which will ultimately be paid off and accrue no finance charges, apparent gains in outstandings may not represent significant growth in card loans. Consumer revolving outstandings are down about 18 percent since their peak in 2008.

Click here for more: http://www.federalreserve.gov/releases/g19/current/default.htm