When Yuppies Stop Paying
The DOW lost 7 and the S&P lost almost 3.
Lately one might call that a good day on Wall Street, where 300 to 400 drops are all the rage.
The news that people are defaulting in greater numbers on their American Express Card payments, turned what was shaping up to be an OK day into a loser.
Around this household, credit cards are floating in tiny pieces in the septic tank. I do understand the need to use them when there is no other choice. Its better to go into debt than starve. I've been there.
Virtually every Wall Street article contains a phrase like - "concerns over how the government will fix the banking system." This is riding on investor's minds and its a common mantra and we are sick of reading it.
So day one of a telling week, has begun with a slight blip. Its your call...
Reuters: American Express robs Wall St of fifth day of gains
American Express, which caters to wealthier consumers that are viewed as more credit worthy, said its credit card default rates rose to 8.7 percent in February.