The Consumer loans in the United States in January unexpectedly increased by $ 5 billion or an annual rate of 2.4 percent. With the largest contribution to growth is the increase in loans to buy cars. The data of the Federal Reserve (U.S. central bank) for December were revised down. In the last month of last year loans fell 4.6 billion dollars instead of the original estimate of a decline of 1,7 billion. After initial assessment in December, economists predicted a decline in January amounted to 4,5 billion dollars. This is the first increase in loans last year and shows that consumer confidence in the U.S. economy growing. “This is a sign that the economy is on the bottom and consumers begin to spend again,” said Chris Rapkey, an economist at Bank of Tokyo-Mitsubishi. “The increase in loans kicks prospects for the economy this year.” Consumer spending represents 70% of GDP.
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The Argentine court ordered the governor of the Argentine Central Bank Martin Redrado be restored to the position and block plan of the country’s president Cristina Fernandez de Kirchner to use foreign reserves to pay external debt, reported BBC. The court decided the emergency decree of the President for the release of Redrado be suspended until the vote on the country’s parliament. The court also held that the government can not pass 6.6 billion by the central bank in a special fund. Redrado angered the president by refusing to transfer to the reserves. He said he would wait for parliament to ratify the measure. Argentina must meet the 13 billion dollar international debt this year and has a budget deficit of between 2 and 7 billion dollars. In two rulings on Friday Judge Maria Jose Sarmiento thwart the efforts of the President to use forex reserves for the payment of Argentina’s debt and its decision to dismiss Redrado. Sarmiento agreed with lawyers Redrado under which the president has no power needed.
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