Overall Consumer Credit Soft, Revolving Credit Shows Strong Gain

Headline consumer credit, up $12.3 billion in June, was soft but not revolving credit which posted an outsized $7.7 billion gain. Non-revolving credit, which is usually the much stronger of the two components, rose $4.6 billion in the month. Spending has been strong but the consumer hasn't been tapping credit cards to fund the spree, though extending gains for revolving credit would not disappoint the nation's retailers.

Recent History Of This Indicator:
Consumer credit is expected to rise $15.5 billion in June following May's sizable $18.6 billion gain. Growth in revolving credit, where credit-card debt is tracked and which had shown life earlier this year, was weak in both May and April. Non-revolving credit has been the strength of this report, underpinned by student loans but also reflecting strong demand for vehicle financing.