Five interesting things that Hodges Capital research analysts discovered this week...

#1 CHARGE IT: According to a report from the Federal Reserve Bank of New York, Americans collectively owe $1.08 trillion on their credit cards. Credit card balances spiked in the third quarter by $154 billion (16.6%) year over year, marking the largest increase since 1999. Credit card delinquency rates also rose across the board, especially among millennials, or borrowers between the ages of 30 and 39, burdened by high levels of student loan debt.

#2 EARNINGS UPDATE: With 81% of S&P 500 companies having reported earnings thus far, the blended earnings growth rate for the quarter is 3.7%. Also, nearly 80% of firms that have reported have outperformed consensus earnings estimates, significantly above the long-term average. (Capital Wealth Planning)

#3 TOO MUCH TIME ON MY HANDS: According to a new Gallup poll, over half of U.S. teenagers (ages 13-19) say they spend at least four hours a day on social media sites and apps such as TikTok, YouTube, and Instagram. Overall, the average time spent per day is 4.8 hours. By age, 13-year-olds report spending the lowest average time at 4.1 hours and 17-year-olds the most at 5.8 hours. (Hedgeye)

#4 WE’RE GOING STREAKING: After October 27th, the S&P 500 had eight successive up days for performance. A 9-day run has happened 31 times in the last 95 years (every 1.5 years), but not since 2004. Winning streaks from 9 to 12 days double in rarity with each additional day, while streaks of 13 and 14 have each only occurred once. (Deutsche Bank)

#5 HIGH AND TIGHT: Banks tightened lending standards for U.S. businesses and households in the third quarter, but the pace of change appeared to ease, and demand for loans fell broadly in a sign of the impact higher interest rates are having on the economy, the Federal Reserve reported on Monday. While more than half of banks reported tightening business lending standards in the second quarter, only 35% said they tightened further in the third quarter, with about 62% keeping standards the same. The tightening of standards for business loans applied to firms of all sizes, while consumers faced tighter credit for home and home equity loans, credit cards, and tougher terms on auto loans. The average rate for a 30-year fixed-rate home mortgage rose sharply through the summer and fall and, at more than 7.7%, has hit levels not seen in nearly a quarter of a century. (Reuters)

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