deleveraging

Robin Harding

There are some signs that companies and consumers are starting to borrow again in the latest flow of funds and that supports what we have seen in the GDP data. But there is little sign that the financial sector has stopped running down its balance sheet and the federal government is still the only real borrower in town.

Robin Harding

The latest flow of funds data show that, while the pace of private deleveraging may be slowing down a little, the process continues. Diverting part of their income to reduce leverage slows the speed at which companies and consumers can increase their consumption and investment. Read more >>

Daniel Pimlott of the Financial Times reviews the day’s economic news Read more >>