We are coming up on 3 years since the pause on federal student loans began. How come nobody talks about the effect this has had on the stock market?
For three years, Americans have had a major financial obligation taken off their plates. No payments required. It's hard to imagine this hasn't had a strong impact on household balance sheets and overall corporate earnings.
It appears that there will soon be a decision on the $10k/$20k student loan cancellation. While that would obviously help people, it doesn't change the fact that millions of people will still have to resume payments in June (assuming the pause isn't extended). Safe to say it will be more than the $0 they're paying now.
Is this baked into earnings projections already? Am I overestimating the impacts?
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