U.S. household debt down in 4th quarter
Household debt in the United States declined 1.1 percent during the fourth quarter as real-estate borrowing fell, according to a Federal Reserve Bank of New York survey.
Consumer indebtedness shrank $126 billion from the end of September to $11.53 trillion on Dec. 31, according to a quarterly report on household debt and credit released yesterday by the New York Fed.
Mortgages and home-equity lines of credit declined a combined $146 billion, and total delinquency rates dropped to 9.8 percent of outstanding debt "in some stage of delinquency," from 10 percent at the end of September. Non-real-estate borrowing climbed $20 billion, or 0.8 percent, to $2.635 trillion, according to the report.
"Overall, it appears that delinquency rates are stabilizing at levels that remain significantly higher than pre-crisis levels," said Andrew Haughwout, vice president and economist at the New York Fed.
Three straight months of faster job growth coupled with a stock market rally since late 2011 are helping make Americans more optimistic about an economic recovery that U.S. Federal Reserve Chairman Ben S. Bernanke said has been slowed by weakness in the housing market. -- Bloomberg News
'It's depressing, it's frustrating' A Newsday investigation revealed that Grumman Aerospace knew toxic chemicals were leaking into the ground in Bethpage. Newsday Associate Editor Paul LaRocco and Deputy Editor David Schwartz explain.
'It's depressing, it's frustrating' A Newsday investigation revealed that Grumman Aerospace knew toxic chemicals were leaking into the ground in Bethpage. Newsday Associate Editor Paul LaRocco and Deputy Editor David Schwartz explain.
