Interest Rates for Personal Loans and Credit Cards Diverge Due to the growing spread, many borrowers take out personal loans to pay off credit card debt. Image: Axios
Distribution of Student Loan Borrowers by Balance Interesting chart showing that most student loan debts range between $10,000 and $25,000. You may also like “America’s Student Debt by State.” Image: ValuePenguin
U.S. Leveraged Loan Index Rating Breakdown: 2008 vs. 2019 Since 2008, this chart shows that U.S. leveraged loans are getting lower ratings. Any drop in the credit ratings could also amplify the next recession. Image: Standard & Poor’s Leveraged Commentary & Data, UBS
Commercial and Industrial Loans Continue to Accelerate in the U.S. That’s a positive sign for the U.S. economy. Indeed, U.S. banks wouldn’t be lending if they were concerned about the economic situation. Past three recessions saw bank loans negative year over year.
Leveraged loans pose risks as corporate debt increases A leveraged loan is debt issued by a company that has below investment grade credit ratings and a considerable amount of debt with high interest rates. In this video, Brian Cheung of Yahoo Finance, explains why leveraged loans pose risks as corporate debt increases.
China Credit Impulse and Corporate Financing Index China credit impulse is weakening as Beijing orders banks to limit loan growth for rest of the year. Image: Alpine Macro
Performance – FANG+ Index vs. S&P 500 and U.S. Banks The FANG+ index climbs higher, while banks slump again over fears of job losses and bad loans. Image: J.P. Morgan
U.S. and Euro Area Composition of Corporate Credit Great chart showing that the U.S. is a market-based financial system, while the Euro Area is a bank-based system with 80% of bank loans. Image: Deutsche Bank Global Research
Zombie Companies on the Rise Investor demand for leveraged loans and artificially low interest rates have created zombie firms. Image: Quick Factset
America’s Student Debt by State Student loan debt has more than tripled over the last decade to $1.5 trillion. You may also like “Distribution of Student Loan Borrowers by Balance.” Image: howmuch.net