The Philly Fed this morning reports that the number of credit card accounts with payments 90 or more late are at a 12 year high. It’s only 0.90% of accounts, but the number has been rising each year since 2022. Additionally, 11.12% of all cards receive only the bare minimum payment each month; a number which has also been steadily increasing since 2022 when interest rates started rising.
The White House is calling for the Fed to lower rates right this very minute. Trump also called Jerome Powell (A.K.A: “Mr. Too Late”) a “major loser” and the President’s staff are investigating whether The Donald can quip “you’re fired” to the Chair of the Federal Reserve before his term is officially up in May 2026. Most experts believe that stocks will tank if the coup is realized, which will certainly not be good for the U.S. President’s already waning approval rating.
Political chaos ordinarily leads to lower interest rates naturally, so this may work out as Mr. Trump hopes even without Mr. Powell’s ejection. But it’ll take some time; today rates are up and stocks are down.
