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Americans have racked up a trillion dollars in credit card debt. That's actually OK

·1 min

Americans have accumulated a record amount of credit card debt, surpassing a trillion dollars in 2023. However, economists suggest that there is unlikely to be a significant decrease in consumer spending, which is a crucial driver of the US economy, this year. Factors supporting this view include robust wage gains for workers, a stable stock market, improved attitudes toward the economy, and healthy consumer spending during the holiday season. While credit card debt has increased, experts believe that consumers have enough disposable income to manage their balances. The broader US credit picture is not a cause for alarm, despite the rise in credit growth and new delinquency rates. Additionally, the job market remains strong, which enables Americans to pay down their debts and continue spending. The article also mentions that credit is vital for powering spending, and the economy naturally grows as a result. Despite some economic challenges, such as inflation, high housing affordability, and high-interest rates, the overall health of the American economy remains positive. In a separate report, Huawei has been named a top competitor by Nvidia in several areas, including the production of processors for artificial intelligence systems. Other companies listed as rivals include AMD, Amazon, Microsoft, and Broadcom.