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There’s one area of finance that’s doing well, and that’s retail finance.American Express is at a 52-week high, and a quick look at its earnings report takes away any mystery of that.
The headline: American Express Second Quarter EPS from Continuing Operations up 27% to $1.07; Revenues Rise 12% on Record Cardmember Spending
From the report:
“Cardmember spending was at an all-time high, growing 18 per cent (15 per cent adjusted for foreign exchange conversions) and we saw broad-based strength across the consumer, small business and corporate sectors globally. While net interest income was down from last year because of a lower yield on our portfolio, cardmember borrowing rose 2 per cent, reversing the pattern of the past couple of years.