May credit spending hits pre-recession level
Americans put more on their credit cards in May than in any single month since November 2007, one month before the Great Recession began.
But overall credit card use is still well below where it was just before the downturn. Economists say May’s increase was likely a temporary response to weaker hiring and poor wage growth and not a sign of sustained confidence in the economy. Consumer borrowing rose by $17.1 billion in May from April, the Federal Reserve said Monday. The gain drove total borrowing to a seasonally adjusted $2.57 trillion.
