Consumer Credit posted a gain for the month of August according to a Federal Reserve report. Not only that, this $18.1 billion gain was the biggest jump in three months. Today's report is not likely to be a major market moving report but it is more support that the public is hanging in there for the economy.

The report showed an expansion in credit to $2.726 trillion, making the gain come in at a seasonally adjusted 8.03% in the month. Dow Jones was looking for a gain of $7.3 billion and Bloomberg was calling for a gain of $7.8 billion for the month.

Today's big gain was in non-revolving credit which includes auto loans and student loans. Revolving credit, which includes credit cards, rose by 5.9% or $4.2 billion to $854.9 billion.

If you trust the 7.8% released for unemployment this morning then chances are higher that the next month will have shown a gain as well in credit after mixed reports from retail and auto sales in September.


Increase your money and finance knowledge from home

Introduction to Economic Indicators

Measure the performance of the economy.

View Course »

Asset Allocation

Learn the most important step in structuring an investment portfolio.

View Course »

Add a Comment

*0 / 3000 Character Maximum