New York Fed survey sees household debt at $11.85 trillion

  • Household debt up $2 in Q2 overall
  • Mortgage balances decline $55 billion, foreclosures at 16-year low
  • Auto loan balances rise $38B
  • Student loan balances up $1B
  • Credit card balances up $19B

The lack of any kind of acceleration in borrowing gives the Fed time to breathe on raising rates. There's no need to cool off borrowing markets.