US stocks plunged! Chicago PMI unexpectedly big dump to pandemic low, US credit card default rate rose to a new high in 14 years

The four major indexes of U.S. stocks closed in the dark on Monday, hit by the unexpected sharp drop in the Chicago purchasing managers' index (PMI) to 36.9 in December, close to the lows of the coronavirus lockdown, while it is worth noting that the US credit card default rate has reached its highest level since the 2008 financial crisis, suggesting that the financial situation of low-income consumers is deteriorating after years of high inflation. (Summary: Wells Fargo warns: The disconnect between U.S. stocks and the real economy continues to widen, beware of short-term big dumps) (Background supplement: Buffett's "cash hoarding" indicates a U.S. stock crisis? Analyzing Berkshire's 20-year historical data gives you the answer) The US Chicago purchasing managers' index (PMI) for December unexpectedly fell sharply to 36.9 in December, far below the expected 43, and 40.2 before November, and the most pessimistic expectations among economists polled by the media also have 40, 50 is the dividing line between prosperity and decline. The index is close to the low point during the coronavirus lockdown, indicating a severe contraction in the Chicago area's manufacturing sector, and the analysis believes that this downward trend highlights the continued struggle of manufacturing companies in the Chicago area, which may be due to market fluctuations or other external economic pressures. Given the dismal Chicago PMI data, the ISM manufacturing PMI, which will be released this Friday, is also likely to underperform, a key indicator of the health of the US manufacturing sector. According to Zerohedge, the Chicago PMI results are consistent with the overall decline in "soft data" since Trump's election, but in stark contrast to the surge in confidence among small and large CEOs since Trump's victory. Affected by the unexpected sharp decline in the Chicago PMI in the United States, coupled with the impact of the poor performance of technology stocks, such as Apple and Microsoft fell 1.3%, Amazon fell 1.1%, TSLbig dump 3.3%, the final US stock major indexes closed in the dark: the Dow Jones Industrial Average fell 418.48 points or 0.97%, closing at 42573.73 points. The S&P fell 63.90 points, or 1.07%, to close at 5906.94. The Nasdaq fell 235.24 points or 1.19% to close at 19,486.79. The Philadelphia Semiconductor Index tumbled 96.46 points, or 1.88%, to close at 5,026.51. U.S. credit card defaults rise to highest level since 2010 And ahead of the Chicago PMI Big Dump, the Financial Times reported that the U.S. credit card default rate has reached its highest level since the 2008 financial crisis, suggesting that the financial situation of low-income consumers is deteriorating after years of high inflation. BankRegData compiled data shows that in the first nine months of 2024, credit card lenders resold $46 billion in severely delinquent loan balances, up 50% from the same period last year and hitting a 14-year high, and when lenders believe borrowers are unlikely to repay their debts, they resell as bad loans, a notable indicator of loan distress that has been closely followed. Mark Zandi, chief economist at Moody's Analytics, said high-income households are doing well, but the bottom third of U.S. consumers are financially exhausted. Their current savings rate is zero. The sharp rise in default rates suggests that consumers' personal finances are becoming increasingly tight after years of high inflation and the Fed keeping borrowing costs high, and although banks have yet to release fourth-quarter figures, early signs suggest that more and more consumers are seriously defaulting. Odysseas Papadimitriou, head of consumer credit research firm WalletHub, said credit card defaults portend more pain in the future, and Trump's threat to impose wide-ranging tariffs after taking office could push up inflation and Intrerest Rate, which will be two major problems for consumers next year. Related reports Stock currency double kill! Fed is expected to cut interest rates by only 2 yards next year, TSL plunges 8% U.S. stocks surge What will happen if the United States recessions next year? Analyst: BTCbig dump to $45,000, U.S. stocks plunge 30% Japan's exchange Coincheck listed on the Nasdaq, 2025 is expected to welcome the wave of encryption corporate IPOs 〈U.S. stocks tumbled! Chicago PMI unexpectedly big dump to epidemic low, US credit card default rate rose to a 14-year high" This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Block Chain News Media".