Executives may be talking about recession risks more. But if you look at what they're actually doing, things look a little different.

• The nation's biggest firms reported a record sum of capital expenditures (capex) — investments in buildings, new machinery or technology.

Why it matters: Restrained investment on the part of businesses is one way in which the Federal Reserve's aggressive interest rate hikes translate into slower activity.

• So far, that impact is not as prominent as one might expect.

By the numbers: In the third quarter, S&P 500 companies spent $222 billion on capital investments, according to S&P Dow Jones Indices.

• Last quarter, companies reported $197 billion in capex; this time last year, it was $176 billion.

Yes, but: Corporate borrowing has slowed on the back of higher interest rates. Investment-grade bond issuance is at $75 billion so far this month, compared to this year's peak of $231 billion in March, according to Pitchbook LCD.

• This suggests that while companies continue to invest at a brisk pace, they might not be borrowing as much to do so. Rather, they are relying on booming profits built up in recent years.
• "We can debate whether or not we are going into a recession. But there is no recession in corporate earnings. Cash flow is still there," says Howard Silverblatt, an analyst at S&P Dow Jones Indices.

How it works: Higher rates of capital spending is a vote of confidence in the economy.

• When companies invest in new equipment, or break ground on new factories and manufacturing plants, they are betting healthy consumption will ensure those investments pay off.

When profits do begin to shrink and the economy shows clear signs of slowing, economists expect businesses will pull back on investment.

The intrigue: In surveys, CEO confidence has deteriorated, pointing to a softer outlook for hiring and business investment. But that mood hasn't yet translated into substantially lower rates of employment. It also hasn't yet resulted in big capex pullbacks.

What to watch: In the latest manufacturing PMI survey, one machinery firm sounded the alarm on equipment spending: "We have seen a general pullback in available capital budgets from our customers, and that is having a significant impact on our sales in the fourth quarter."

Read more.

The home equity line of credit, or HELOC, was something of an endangered species at the beginning of this year. Now, it's showing signs of life.

Why it matters: Thanks to spiking interest rates and tighter credit conditions, total balances are higher than a year ago — something that hasn't happened since 2009.

• HELOC balances are now at $322 billion, up $5 billion in six months.

The big picture: After surging in popularity during the property boom of the mid-2000s, HELOCs fell out of favor in the 2010s.

• Total balances fell from $714 billion in the first quarter of 2009 to just $317 billion 13 years later.

What happened: The Fed slashed interest rates to zero, and kept them there.

• That caused mortgage rates to plunge, making cash-out refinances more attractive than more expensive home equity loans.
• The easy monetary policy also caused broadly easier credit conditions. As a result, many people just didn't want to go through the extensive hassle and paperwork of applying for a HELOC when money was so easily available elsewhere.

Be smart: We're in a new world now. For March through July of this year, HELOC rates were actually lower than 30-year mortgage rates, per Bankrate. That made HELOCs more attractive than a mortgage refinance.

• As homeowners find themselves locked into their current property on pain of losing their low mortgage rates, they also have every incentive to borrow via HELOC if they want to improve their living situation, or add space.
• "Existing homeowners are more likely to renovate rather than move, pulling equity from their homes to do so," says Odeta Kushi, an economist at First American.

The bottom line: HELOCs might be the one credit product that does well in a rising-rate environment.

The Macro family just got bigger! Neil and his wife, Sarah Halzack, welcomed a son into the world earlier this month.

• Young Christopher is single-handedly causing supply chain disruptions in the Washington, D.C.,-area diaper market, but Mom and Dad are hoping it proves transitory.
• Neil, though groggy, is back in newsletter-writing action but plans a longer parental leave in the spring.