Consumer bankruptcies soaringBankruptcy filings by U.S. consumers jumped 47.7% in April vs. a year earlier as families coped with the subprime mortgage crisis, the American Bankruptcy Institute said. The 92,291 filings were 7% higher than in March. The group expects bankruptcies to top 1 mil this year. In 2007, bankruptcy filings rose 38% to 850,912. Filings skyrocketed above 2 mil in 2005 ahead of a new, tougher bankruptcy law.
ECRI index still signals recession
The Economic Cycle Research Institute's leading U.S. index slipped to 131.9 in the week ended April 25, from 132.1 the week before. The 4-week annualized growth rate improved to -8.7% from 9.8% in the prior week and a near-record low of -11.1% in the March 28 week. But that's still in recession territory, ECRI says. In the latest week, rising jobless claims and weak housing data offset lower interest rates.
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