(CRON) — On today’s episode of Winners & Losers, financial expert Rob Black discusses rising stocks, Americans opening record numbers of credit cards and car dealerships having little to sell this July 4th.
Winner: Stocks Rise Despite Lingering Concerns
Shares rose, shaking off Tuesday’s losses as investors remained focused on growing signs of slowing U.S. economic growth.
Bitcoin fell and prices briefly fell below $20,000.
West Texas Intermediate crude oil futures rose above $113 a barrel for the first time in two weeks.
The US FCC commissioner wants Apple and Google to remove TikTok from their app stores. TikTok is not just another video app. It is the sheep’s clothing. It harvests swathes of sensitive data that new reports say are accessed in Beijing.
Crypto hedge fund Three Arrows Capital plunges into liquidation as crypto market crash takes its toll
Delta is offering free flight changes over the July 4 weekend ahead of possible “operational challenges.” The July 4 weekend is expected to be the busiest for air travel since before the pandemic.
Loser: Americans have opened a record number of credit cards
As Americans grapple with inflation, the number of new credit cards has surged as more Americans rely on them to cope with high prices.
Revolving credit (credit cards and lines of credit) increased by 19.6% over the previous year to reach $1.103 billion.
This number is an all-time high, breaking the pre-COVID-19 record of $1.092 trillion in 2019.
Americans received 11.5 million new bank credit cards through February 2022. This is a 31.4% increase from the previous year.
Total new credit limits increased by 59.2% over the previous year.
Total credit limits now stand at $4.12 trillion, $224 billion above the pre-pandemic level.
Household debt at the end of the quarter increased by $266 billion. Total household debt reached $15.84 trillion, up $1.7 trillion from the end of 2019.
Loser: 4th of July Car Sale Weekend
The 4th of July has always been a lucrative time for car buyers, but it’s still a seller’s market.
Instead of gearing up for the big Fourth of July hype, car dealerships face another year with little to sell.
Auto dealers with new cars for sale may try to charge $10,000 or more above the list price on popular models or take orders for cars that won’t be delivered for weeks.
Used car prices have fallen slightly, but it is still a seller’s market.
Car buyers are in shock. Forced to return to the office, motorists not only face shocking gas prices, but also rising interest rates when they go to replace worn-out vehicles.
CarMax, the nation’s largest used car dealership network, sold 11% fewer used cars than a year ago, but the average sale price rose by $6,300 per vehicle , or 28%, over the same period.
Sticker shock resulted in payment trauma. Buyers paid an average of $648 per month in the first quarter for a new car and $503 for a used car.
The average new car loan lasted 69.5 months.
Buy a vehicle that is likely to hold its value.
Jeep Wrangler, Toyota Tacoma and Tundra, Ford Mustang, Chevrolet Corvette and Camaro pickup trucks all fell less than 25% in value.