Spending Down 15% ????

[La Jolla Renter]

Amex just reported:

Cardholders spent 15% less in 2nd Qrt 2007 than 2006.

Also, the company boosted its provisions for losses in its U.S. cards division by 85% to protect against losses from delinquencies.

[GoUSC]

This article says there was record spending at AMEX but increase shirking of paying bills.

http://biz.yahoo.com/ap/070724/wall_street.html?.v=22

[GoUSC]

This article says there was record spending at AMEX but increase shirking of paying bills.

http://biz.yahoo.com/ap/070724/wall_street.html?.v=22

[La Jolla Renter]

radelow,

You are correct, I miss read a different article. Spending was up 15%.

What does that say about the economy? Confidence spending or Desperate spending?

I guess amex thinks it is Desperate spending and that is why they are boosting reserves to cover delinquencies.

[La Jolla Renter]

radelow,

You are correct, I miss read a different article. Spending was up 15%.

What does that say about the economy? Confidence spending or Desperate spending?

I guess amex thinks it is Desperate spending and that is why they are boosting reserves to cover delinquencies.

[GoUSC]

Peoples mortgage payments have gone up, they can’t pull money out of the HELOC, so the only way they can pay for food, gas, etc. is with the credit card. At the same time they aren’t paying off their credit card bills either.

What a situation.

[GoUSC]

Peoples mortgage payments have gone up, they can’t pull money out of the HELOC, so the only way they can pay for food, gas, etc. is with the credit card. At the same time they aren’t paying off their credit card bills either.

What a situation.

[patientrenter]

I sure won’t make fun of you, vrudny, for betting heavily on the market going down. Let’s face it, no one here actually knows with any certainty which way the market is going. I don’t. It’s tough to find yourself depending on the vagaries of the stock market, either up or down.

I avoided the stock market almost completely until 1 3/4 years ago. Now I am probably 2/3 – 3/4 invested in it. Recent increases have helped me sleep better at night, but every day I think about how fragile that gain is. (I invested in a diverse group of dividend-paying stocks, and try to stick to measuring my success by the income they generate, not the market value gains, but it still feels all very fragile.)

I’m still rooting for a huge recession, preferably focused on So Cal, so that I can use my (money market) savings to buy a decent place for me to live at a halfway reasonable price. Yeah, it’ll murder my stocks, but I’m sick and tired of looking at home prices that are ridiculous.

Patient renter in OC

[patientrenter]

I sure won’t make fun of you, vrudny, for betting heavily on the market going down. Let’s face it, no one here actually knows with any certainty which way the market is going. I don’t. It’s tough to find yourself depending on the vagaries of the stock market, either up or down.

I avoided the stock market almost completely until 1 3/4 years ago. Now I am probably 2/3 – 3/4 invested in it. Recent increases have helped me sleep better at night, but every day I think about how fragile that gain is. (I invested in a diverse group of dividend-paying stocks, and try to stick to measuring my success by the income they generate, not the market value gains, but it still feels all very fragile.)

I’m still rooting for a huge recession, preferably focused on So Cal, so that I can use my (money market) savings to buy a decent place for me to live at a halfway reasonable price. Yeah, it’ll murder my stocks, but I’m sick and tired of looking at home prices that are ridiculous.

Patient renter in OC

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