Barron's: Is a Recession Coming? Take a Look at Credit-Card Delinquencies
Article by Andrew Addison in Barron's
In the Nov. 15 issue of The Institutional View, I highlighted that the level of U.S. credit-card delinquencies overdue by 30+ days is signaling that a recession is on the horizon. So, too, are delinquencies overdue by 90+ days.
When the percentage of credit-card holders paying their outstanding balances late increases, it historically has foreshadowed an oncoming slowdown.
As consumers’ balance sheets become stretched, they cut back on their spending. The cutbacks could be ......