Visa Says U.S. Spending Growth Slowed Amid Surge in Virus Cases
(Bloomberg) -- Visa Inc. said growth in spending on its cards in the U.S. slowed last month as coronavirus cases surged across the country.
Overall spending on the firm’s cards climbed 6% in the U.S. in November, compared with 10% growth in October, the firm said Tuesday in a regulatory filing. Spending growth slowed in every merchant category except retail goods, which benefited from a pickup in holiday shopping.
“As a result of Covid, the holiday season this year is likely to look different than prior years in terms of where, when and on what consumers spend,” Visa said in the filing. “The full impact is not expected to be clear until the end of the holiday season.”
Coronavirus cases surged again last month, with local governments instituting a raft of new measures to contain the spread of the pandemic. That’s hindered spending across the country.
Visa’s rival Mastercard Inc. said last week that spending on its cards has held relatively steady. Still, volume on its U.S. cards climbed just 6% in the week ended Nov. 21, compared with 8% in the week ended Oct. 21.
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