United States faces rising consumer debt and dollar volatility

U.S. household financial stability is facing pressure as credit card and auto loan delinquencies rise. Data from the Federal Reserve Bank of New York shows that while the global delinquency volume stands at 4.7%, new defaults in credit cards and vehicle financing are weighing on consumer balances.

Specifically, serious delinquencies (90 days or more) for credit cards rose to 6.97% in the second quarter of 2026, up from 6.93% the previous year. Auto loan serious delinquencies increased from 2.93% to 3%, and mortgage delinquencies rose from 1.29% to 1.52%. Delinquencies of 30 days or more are highest in credit cards at approximately 9%.

Simultaneously, the U.S. dollar faces potential downward pressure due to slowing consumption and rising public debt. Societe Generale projects the DXY index to trade in a weak lateral range between 95 and 100 points. Analysts suggest that rising sovereign debt yields may not support the currency if investors perceive the increases as a result of fiscal imbalances or persistent inflation rather than solid economic growth.