Business News Roundup, June 8

Credit card spending growth slowed, while borrowing gains for school and autos also cooled.

Credit card borrowing increased $1.5 billion, or 1.8 percent.

Consumer borrowing is closely watched by economists to determine people’s willingness to take on more debt to support their spending.

Consumer spending accounts for 70 percent of U.S. economic activity.

Economists believe growth in consumer credit will remain strong this year, reflecting low unemployment and strong consumer confidence.

The Federal Reserve Bank of New York reported last month that U.S. household debt had reached a record high in the first quarter of 2017, topping the previous peak reached in 2008, when the financial crisis plunged the economy into a deep recession.

Even with debt levels back to record heights, analysts say that household borrowing appears more sustainable now than it did nearly a decade ago.

The nature of what Americans owe has changed since the recession, with student and auto loans making up a larger portion of household debt.

Mortgages — the epicenter of the financial crisis — and credit card debt remain below prerecession levels.

The home-improvement retailer informed affected employees Wednesday morning through early afternoon, according to people familiar with the matter.

In a memo to IT workers Wednesday, Chief Information Officer Paul Ramsay said the staffing reductions are part of planning effort that began “several years ago” to build a more diverse, global team to respond better “in this highly competitive 24/7 retail environment” and more quickly to “evolving consumer needs.”

[...] Chief Financial Officer Karen Hoguet warned Tuesday that second-quarter gross margins have contracted a percentage point from a year earlier, sending the shares to their biggest dive in almost a month.