Consumer Credit Rises Again In July

Boosted by another gain for revolving credit, consumer credit rose $19.1 billion in July. Revolving credit, where credit cards are tracked, rose $4.3 billion for a fifth straight gain and the best run of the recovery. Non-revolving credit rose $14.8 billion reflecting strength for vehicle sales and also student loans which are tracked in this component. The news on credit cards is good, pointing to consumer willingness to take on debt in what is a plus ahead for the holiday shopping season.

Recent History Of This Indicator:
Consumer credit is expected to pull back from June's outsized rise of $20.7 billion, to a consensus $18.0 billion in July. Revolving credit has been showing some life recently suggesting that consumers are growing less reluctant to run up their credit cards.