Thursday, May 26, 2016

Fed Highlights Rising Delinquencies In Oil Producing Regions

by: otterwood
The Federal Reserve Bank of New York released its quarterly report on household debt and credit which showed growing stress in oil producing regions. The long duration of the oil price collapse has hurt households with the highest levels of employment in the oil-and-gas industry. Notably auto loans more than 90 days delinquent have spiked significantly to levels seen just after the financial crisis. Mortgage delinquencies have managed to remain flat however the national average has continued to decline, see charts below.

The report only focused on counties whose employment comprised at least 6% jobs in oil and gas employment as of the end of 2014. This amounted to only 1.7% of total US population however the analysis does show the real hardship in these counties.
See the WSJ article here and the supplement to the report here.

No comments:

Post a Comment