Household Debt Looks Better Than It Is
The aging of the population leads naturally to deleveraging.
Here’s an excellent chart from BoA via Daily Chartbook. It's unfortunate that this data is not available for the 40 years before the start of the graph. (I checked, and this is all the Federal Reserve provides.) It's clear that aging Baby Boomers have been deleveraging since the Great Recession and are now back on their post-lockdown pace. They are in retirement or preparing for it, and the next generation is heading that way as well.
That accounts for the seemingly good eonomic news. It is very probably a generational change and not a positive indicator of current economic conditions.
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