7 min readWhen will “revenge spending” exhaust consumers’ pandemic-era savings? What does this mean for consumption and growth? Introduction Excess savings have become a marque piece of economic outlooks, attempting to estimate when consumers’ “revenge spending” will exhaust bank accounts leading to a drop in consumption. However, Q3 2023’s 4.9% annualized GDP growth, most of which was…
3 min readThe global economic landscape and cash investing have experienced sizeable market shifts in the past year due to the ongoing disruptions to supply chains, geopolitical tensions with the conflict in Ukraine, rising inflation across the globe and the Federal Reserve’s interest rate tightening cycle. Institutional cash investors will need to monitor all these ongoing disruptions…
6 min readBecause credit card asset-backed securities (ABS) are tied directly to the strength or weakness of consumer finances, economic downturns can be perilous to their health. Therefore, it’s no surprise that the high unemployment and low consumer spending in the current economic downturn are putting ABS under scrutiny. So far, however, this class of securities has…