NY Fed Report: Total household debt rose by $85 billion to $14.64 trillion in Q1

Eren Sengezer FXStreet

In a recently published report, the Federal Reserve Bank of New York said that the total household debt in the US increased by $85 billion to $14.64 trillion in the first quarter of 2021, as reported by Reuters.

Additional takeaways

"Mortgage balances rose by $117 billion in Q1 of 2021 to $10.16 trillion."

"Credit card balances declined by $49 billion in Q1, the second-largest quarterly decline since Q2 2020."

"Mortgage originations, including refinances, reached $1.1 trillion, only slightly below the record reached in Q4 2020."

"Auto and student loan balances increased by $8 billion and $29 billion, respectively."

"Only 15% of the $153 billion of new auto loans were to borrowers with credit scores below 620, the lowest in the history of the data."

Market reaction

The US Dollar Index continues to push higher in the American trading hours and was last seen gaining 0.55% on the day at 90.65.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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