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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: Elroy Jetson who wrote (24187)1/7/2005 8:02:30 PM
From: Tommaso  Read Replies (1) | Respond to of 110194
 
>>>On a national level, the Fed has allegedly been raising short-term interest rates,<<<

Allegedly?

That's not exactly a matter of alleging. It's a perfectly definite arithmetic figure.



To: Elroy Jetson who wrote (24187)1/7/2005 8:56:30 PM
From: Ramsey Su  Read Replies (2) | Respond to of 110194
 
regarding consumer credit, my first reaction? it got to be a mistake.

After thinking about it, I still cannot find any reason for this big swing. So I can only assume that consumers are indeed wising up and not borrowing more.

This should be welcomed news for the economy in the long run. I was looking at these delinquency and charge-off rates:
federalreserve.gov
federalreserve.gov

Compare today (thru 3rd qtr of 2004) to the peak years of 1991-92. We are at all time lows. Assuming delinquencies cannot stay at this low level forever, when is it going to break?