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NY Fed: Household Deleveraging is Decelerating

The NY Fed has a nice new report on the pace of household deleveraging. ย The Balance Sheet Recession has come to a close right on schedule:

“Rising nonmortgage balances, combined with diminishing effects of mortgage pay-down, suggest that household deleveraging is decelerating. Indeed, when we combine the green line from the mortgage chart with the red and blue lines from the nonmortgage chart, we find that the sum is getting quite close to positive territory. Weโ€™ll watch the upcoming data closely for conclusive evidence that household deleveraging is complete. “

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