Consumer Credit Better Than Expected (SBUX, HOG, TIF)

Consumer Credit declined $1.8 billion in December after falling $21.8 billion in November. The consensus estimate called for consumer credit to decline by $10.0 billion.

If consumers are cutting their credit use less than previously expected, they may be feeling better about their consumption outlook. This bodes well for consumer discretionary names such as Starbucks (NASDAQ: SBUX), Harley Davidson (NYSE: HOG) and Tiffany & Co. (NYSE: TIF).