John Carney 8 Jul 2020
Consumer borrowing fell at a much slower pace in May after an enormous decline in April.
Consumer borrowing declined at a 5.3 percent annual pace in May, compared with the 20 percent decline the prior month, according to Federal Reserve data released Wednesday. Revolving credit, mostly credit cards, fell at an annual rate of 28.6 percent, a slower decline than the 64.8 percent decline in April.
Total consumer credit dropped by an annual rate of $18.2 billion in May, compared to a $70.2 billion nosedive in April.
Declines in consumer credit are associated with economic contractions as consumers rein in spending and attempt to save for hard economic times.
But consumer spending rose 8.2 percent in May, even as both income and borrowing fell, a very unusual pattern.
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https://www.breitbart.com/economy/2020/07/08/consumer-credit/
