Consumer borrowing fell again in February, declining by $11.5 billion.
There was no extension of January’s positive number, when borrowing rose by $10.6 billion, a gain that had broken a record 11 consecutive declines.
The economy and final demand is being driven by government spending.
As long as the government keeps spending, it will keep the market afloat.
But, in the end, I don't think there is going to be such a happy ending.
I also think the next crisis is forming worldwide at the government level.
Whether governments stop spending, or try to print their way out of the mess, remains to be seen. However, I tend to think the second alternative is the most probable.
Europe is in similar trouble. They are borrowing and spending into oblivion.
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