Credit card delinquencies have reached a 14-year high, raising alarms about potential impacts on consumer spending and economic growth. The Federal Reserve's rate hikes, aimed at curbing inflation, have made borrowing more expensive. Those in their 20s and 30s are struggling the most. While the labor market remains strong, any weakening could exacerbate household financial instability. Retailers like Walmart and Starbucks are already seeing signs of consumer fatigue. The Fed faces a tough challenge in balancing inflation control with economic stability.
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