FINWIRES · TerminalLIVE
FINWIRES

Bank of America CEO Says Consumer Spending, Credit Remain Healthy

By

Bank of America Corp (BAC) CEO Brian Moynihan said the bank's data shows consumer spending and credit remain healthy despite rising gasoline prices, CNBC reported Wednesday, citing Moynihan's comments on the network's "Mad Money."

Consumers spent about 4% more in August than a year earlier, down from 5% growth last quarter, which is "consistent with a strong growing economy," Moynihan said, according to the report.

"Everything we see is fine," Moynihan said, adding that "credit statistics are as good as they've been for years," the report said.

Moynihan pushed back on concerns about record credit-card balances, saying the increase looks less alarming compared with growth of the overall economy, and noted businesses continue to borrow, invest and use credit lines, though higher rates have raised costs particularly for small and midsize businesses, according to the report.

Related Articles

International

South Korea Government Partners Woori Bank to Support 45 Mid-Sized Firms with KRW548 Billion in Loans

South Korea's Ministry of Trade, Industry and Energy and Woori Bank have selected 45 mid-sized companies for the second-half Rising Leaders 300 loan program, providing a total of 548 billion won in financial support.The number of supported companies increased from 35 in the first half to 45, while the loan scale rose from 466 billion won to 548 billion won, according to the ministry's statement on Wednesday.Selected companies include Kolmar (KRX:024720), Lion Chemtech (KOSDAQ:A171120), and Stats ChipPAC Korea, chosen through recommendations from specialized institutions in export, technology, ESG, and AI transformation.Each company is eligible for loans of up to 30 billion won and interest rate discounts of up to 1.0 percentage point, along with customized non-financial consulting services.Minister Kim Jeong-kwan noted that mid-sized firms, though just 1.5% of all companies, account for 17.9% of Korea's exports, underscoring their critical role in the economy.

KOSPIKOSDAQ:A171120KRX:024720
International

China Car Retail Sales Slump For 11th Straight Month

Retail sales of passenger cars in China fell for the 11th straight month in August, down 24% year over year to 1.5 million units, according to data from the China Passenger Car Association on Tuesday.Domestic brand sales slid 19% year over year to 1.1 million units despite market share rising 4.1 percentage points to about 70%, while mainstream joint venture brand sales fell 35% to 310,000 units, and luxury car sales declined 26% to 150,000 units.Exports jumped 78% to 888,000 units, equivalent to 38% of passenger sales.Production slipped 4.5% to 2.3 million units.

Shanghai Composite^SZSE
International

ANZ Reverses Second-Quarter Contraction Forecast for New Zealand's Economy to a Slight Expansion

New Zealand's economy likely grew 0.1% in the second quarter from the linked three-month period, ANZ said in a Wednesday report as it revised its preliminary forecast of a 0.2% contraction.While higher fuel prices weighed on discretionary spending and broader confidence in the second quarter, relative strength in other areas of the economy, particularly construction, appears to have prevented overall gross domestic product from shrinking, the bank said."Timely data suggests reasonable GDP growth has resumed in recent months," ANZ said, noting that its 0.1% growth estimate compares with a flat forecast from the Reserve Bank of New Zealand (RBNZ).The RBNZ has hinted it might be able to put off the next interest rate hike until December. A GDP print slightly above the central bank's forecast may reassure policymakers about the recovery "but would not be a material enough surprise to meaningfully shift their view," ANZ said.The bank also expects the annual current account deficit to widen by 0.3 percentage point to 3.9% of GDP due to higher fuel import costs.Second-quarter GDP data is due for release on Sept. 17, and balance of payments data a day prior.

^NZ50