Replies to post #601034 on *SCALPSWINGSTRADDLE* ($$$)

[Zephyr]

Consumer Credit- major beat
Released On 7/8/2013 3:00:00 PM For May, 2013
Prior Prior Revised Consensus Consensus Range Actual
Consumer Credit - M/M change $11.1 B $10.9 B $13.0 B $8.0 B to $16.0 B $19.6 B
Market Consensus before announcement
Consumer credit outstanding continues to be a tale of two components -- revolving credit which is going nowhere and non-revolving credit which is going straight up. Total credit outstanding gained $11.1 billion in April, which is strong and in trend. But strength is not coming from revolving credit which, since 2007, has been up and down, up $0.7 billion in April and down $0.9 billion in March. Credit cards are the heart of this component. Non-revolving credit is another story. A strong increase in motor vehicle sales during April helped make for another strong increase for this component which rose $10.4 billion to make up the vast bulk of the headline increase. But also a factor behind the increase in non-revolving credit, which has been going up for the last three years, is the government's ongoing acquisition of student loans from private lenders, a factor that does not necessarily point to an ongoing increase in student borrowing.