Consumer Delinquencies remain at comfortable levels. Consumer spending comprises 68%-70% of US GDP. When the consumer is in trouble is when we are likely to enter recession on any given shock. Consumer delinquency rates remain well below the thresholds indicating financial fragility in the past. Both credit card and consumer loan delinquencies have been trending lower. The recent small rise in loan delinquencies is likely due to student loans now requiring payments after a post-COVID period of deferral.
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