Luke Gromen: U.S. consumer debt near $19 trillion raises banking risk concerns - Traders Union
Luke Gromen: U.S. consumer debt near $19 trillion raises banking risk concerns - Traders Union
Source: Traders Union
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DW NOTE
Gromen's call matters because $19 trillion in consumer debt sits under a rate structure that just reset. The Fed raised reserve rates to 3.90% in September and the 10-year yield is now 5.12% — 28% higher than a year ago. Consumer debt was priced for the 2021 environment; it now has to roll in this one.