Banking on Millennials? A Special Report

Consumer credit increased at a seasonally adjusted annual rate of 2.2% in October. Revolving credit, largely a reflection of credit card debt, increased at an annual rate of 4.9%.

Volatility measures began rising in late October after Fed Chair Powell stated that a rate cut in December was not a foregone conclusion.

While the outlook for credit conditions over the next six months has improved, bank economists expect continued softening in credit quality and availability given the prospect of persistent labor market headwinds, according to ABA’s latest Credit Conditions Index.

Personal income increased 0.4%, or $94.5 billion, in September, the Commerce Department said. The personal savings rate was 4.7%.

The University of Michigan Consumer Sentiment Index rose 4.5% in December compared to the month prior, landing at 53.3, according to preliminary results for the month.

While most changes to bank products or services are driven by profitability, the vast majority of bankers said their institutions are willing to introduce a new product or service that does not present an immediate profit opportunity, according...