US consumer credit for August 2020
- consumer credit falls by $-7.22 billion. That is a big miss from the $14 billion gain expected
- prior month was revised higher to $14.67 billion from $12.25 billion
- revolving credit fell $-9.4 billion to $0.985 trillion. That is the lowest since June 2017
- nonrevolving credit rose $2.2 billion to $3.159 trillion
- total consumer credit for the month fell at an annualized pace of -2.1% vs. 4.3% gain in July.
Credit card balances decline for the 6th consecutive month with the coronavirus pandemic continue to limit some purchases. The drop indicates consumer spending is moderating. The expiration of $600 weekly supplemental benefits have also played a key role in spending.
The consumer credit report does not track debt secured by real estate such as home mortgages.
