On Friday, October 9, 2026, The Kobeissi Letter, a prominent markets commentary publication, announced that total consumer credit in the United States reached a new record. The post on X detailed, "BREAKING: Total consumer credit rose +$8.3 billion in August, to a record $5.19 trillion. This marks the 14th consecutive monthly increase, totalling +$154 billion. Since the start of 2022, consumer credit has risen +$684 billion. Non-revolving credit, covering auto and student loans, rose +$13.1 billion in August, to $3.84 trillion, an all-time high. Meanwhile, revolving credit, which includes credit cards, fell -$4.8 billion, to $1.35 trillion, its 4th-highest level on record. US consumers are still borrowing."
This update on consumer borrowing comes as market participants monitor various economic indicators. Recent Gokhshtein Media coverage has highlighted specific sector movements, such as Wingstop defying a 'Sell' rating ahead of earnings and Arena hitting a $3.1 billion valuation on its revenue run rate. While these suggest pockets of strength, the overall consumer credit trend provides a broader perspective on household financial behavior, particularly regarding discretionary spending and debt accumulation across different credit types.
The Kobeissi Letter's data suggests that US consumers continue to rely on borrowing despite the slight decline in revolving credit. This sustained increase in non-revolving credit, particularly auto and student loans, indicates ongoing demand for larger purchases or education financing. What to watch, according to the publication's implicit view, is the persistence of this borrowing trend and its potential implications for future economic growth, inflation, and the Federal Reserve's monetary policy decisions.
