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US inflation continues to slow, opening the door for Fed rate cuts.
(VOR News) – Considering that prices stopped rising more than expected in June, the inflation Federal Reserve may be able to lower interest rates.
These rates affect many financial goods, such as mortgages and credit card payments. We now have yet another sign that inflation has stopped.
There was a 3% year-over-year rise in the Consumer Price Index in June. This was less than the 3.3% annual rate seen in the previous month. Prices fell by 0.1% from May to June.
This is the first time the monthly number has dropped by a large amount since May 2020, when the epidemic was just starting.
There are more whispers that the Federal Reserve will lower interest rates in September after a report from the Bureau of Labor Statistics on Thursday.
Voters would feel a little better about this before the election in November, which both parties think could be affected by how people feel about the economy.
Before the report came out on Thursday, Federal Reserve Chair Jerome Powell spoke to Congress this week. Before he made any changes, he was aware of the risks that came with keeping interest rates high for a long time. He did say, though, that he wanted to get “more good data” on inflation.
The report that came out on Thursday and was surprisingly strong may be able to do this.
“Core” inflation between May and June.
Which doesn’t include changes in food and energy inflation prices, which rose by just 0.1%, which was the smallest monthly gain since January 2021.
The price of gas went down by 3.8% and the price of used cars went down by 1.5%. It was only a 0.2% rise in the cost of living in June, even though it has been a major cause of rising prices for several months.
At its annual meeting in Jackson Hole, Wyoming, in August, the Federal Reserve may hint at an upcoming policy change. This is true even though it is very unlikely that officials from the Federal Reserve will make any changes to the interest rate when they meet later this month.
The Federal Reserve has been under pressure to lower inflation and interest rates for a while now, even though the job market has been slowly getting worse. At 4.1%, the jobless rate is the highest it has been since the end of the epidemic.
This number hasn’t been seen since February 2018, except for when more jobs are expected to be lost in 2020.
Even though the jobless rate is still at an all-time low, the fact that it has been going up for three months in a row is causing more and more worry, even though many economists have been less worried about a recession since last year.
In a note posted on Substack last week, Guy Berger, director of economic research at the Burning Glass Institute (a research firm that studies how people can move up in the economy), said that the job market has been going down since the spring of 2022 without going into a recession.
“We’re not at the tipping point into recession yet, but I don’t have a lot of confidence about the distance from that tipping point.”
Interest rates are one way that the Federal Reserve can control the rate of inflation economic growth. The federal funds rate is about 5.5% right now, which is the highest it has been since before the 2008 financial crisis. By keeping interest rates high, the Federal Reserve has tried to lower the general demand for borrowing money to buy goods and services.
This has prevented prices from going up too much. In most cases, the higher rates have worked out correctly.
The inflation rate reached 9.1% in June 2022.
Since then, it has dropped significantly, but it has stayed around 3% throughout the year. Powell told Congress this week that people’s views about inflation are still “anchored,” which means there is only a small chance that prices will start to rise again. Furthermore, he said that “modest” work has been made toward the 2% goal.
Economists think that the fact that many customers’ financial situations have gotten worse since the start of the epidemic recovery is a big reason.
As the report is set to come out on Thursday, Sarah House, an economist at Wells Fargo, said in a note released this week that “increasingly cost-conscious consumers are also likely to limit the extent of price increases across the service sector.”
Reason for this is that it is getting harder to keep prices from going up because input costs, especially labor, are going up less quickly.
Some experts and lawmakers on the left say that the Federal Reserve has already put off lowering interest rates for too long. Ian Shepherdson, the Chief Economist at Pantheon Macroeconomics, warned in a recent report that the central bank “will be rushing to stop a major downturn.”
SOURCE | NBC
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Cases Of The US Flu Season Are Rising, While Vaccinations Are Behind Schedule.
(VOR News) – The U.S. flu season has begun, according to health experts, who also noted a sharp rise in cases countrywide on Friday.
Significant increases were noted by the Centres for Disease Control and Prevention in a number of indicators, such as laboratory tests and ED visits. “For the past few weeks, it has been increasing steadily.” “Yes, we are in flu season right now,” CDC’s Alicia Budd said.
Last week, flu-like sickness was reported at elevated or very elevated levels in 13 states, roughly twice as many as the week before. Dr. William Schaffner, an infectious disease specialist at Vanderbilt University, says Tennessee is seeing a spike in sickness in the Nashville area.
Schaffner said, “Influenza cases have been increasing, but they have increased significantly in the last week.” He noted that up to 25% of patients in a nearby clinic, which is a gauge of illness trends, have flu-like symptoms.
An early focal point was Louisiana.
Our Lady of the Lake Regional Medical Centre, the largest private hospital in the state, in Baton Rouge, has infectious diseases specialist Dr. Catherine O’Neal, who said, “This week is a significant turning point as individuals are affected by the flu.” “Parents frequently say, ‘I have the flu and can’t go to work,’ and ‘Where can I get a flu test?'”
Fever, cough, sore throat, and other influenza-like symptoms are caused by a variety of viruses. COVID-19 is one of them. Another flu season common disease that causes cold-like symptoms but poses serious hazards to infants and the elderly is respiratory syncytial virus (RSV).
Recent CDC numbers indicate a decline in COVID-19 hospitalisations since the summer. According to CDC wastewater data, COVID-19 activity is modest nationwide but elevated in the Midwest.
Although RSV hospitalisations are still marginally more common than flu admissions, they started to rise before flu season cases and currently show signs of perhaps stabilising. RSV activity is low nationwide, but wastewater data shows that it is high in the South.
Based on a number of indicators, such as laboratory results from hospitalised patients and outpatient clinics, as well as the percentage of ED visits that resulted in an influenza diagnosis at discharge, the CDC declared the start of the flu season.
According to Budd, it is too early in the season to determine the effectiveness of the influenza vaccine, and no type of virus seems to be more common.
The flu season last winter was classified as “moderate” overall, but it continued for 21 weeks, and the CDC estimates that 28,000 people died from the virus. With 205 paediatric deaths reported, the situation was particularly dangerous for kids. It was the largest number ever recorded for a conventional influenza season.
The prolonged flu season was probably one of the reasons, Budd added.
The lack of influenza vaccinations was one of the contributing factors. The CDC reports that 80% of children who passed away and had verified vaccination status and were of the right age for flu shots were not completely immunised.
Children’s immunisation rates are drastically lower this year. About 41% of people had a flu shot as of December 7, which is similar to the percentage at the same time last year. For youngsters, the figure is steady, although it is lower than in the previous year, when 44% received an influenza vaccination, according to CDC data.
About 21% of adults and 11% of children are fully vaccinated against COVID-19, which is still a poor vaccination rate.
Influenza experts advise everyone to get vaccinated, especially as people get ready for holiday gatherings where respiratory diseases could spread widely.
“This virus also has the potential to spread from person to person at all those happy, pleasant, and heartwarming events,” Schaffner said. “flu season Vaccination remains a viable option.”
However, Louisiana’s health department announced on Friday that it was rescinding its COVID-19 and flu vaccination recommendations. According to an official, the department’s current position is that people should speak with their doctors about whether the immunisations are suitable for their situation.
The department’s spokesperson, Emma Herrock, did not respond to follow-up questions regarding the policy. Dr. Ralph Abraham, the state’s surgeon general, has expressed concerns in the past regarding the COVID-19 vaccine’s effectiveness and safety.
SOURCE: AP
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Social Security Change Approved By Senate Despite Fiscal Concerns
(VOR News) – On Saturday, the U.S. Congress passed a plan to increase Social Security retirement payouts for some retirees who receive public pensions, a move that critics say will further erode the program’s financial stability. Among these pensioners are former firefighters and police officers.
The Social Security Fairness Act was passed by the Senate on a bipartisan vote of 76-20 just after midnight. The act may lower payments for those receiving pensions and aims to repeal provisions that have existed for 20 years.
The House of Representatives passed the bill last month by a vote of 327-75, meaning that if the Senate also approves it, it would be delivered to Democratic President Joe Biden to become law.
The White House dodged enquiries regarding Social Security’s objectives.
In order to limit government benefits for certain higher-paid employees who are also getting pensions, the measure will reverse a long-standing change to the program. It has become increasingly common in recent years for municipal employees, such as postal workers and firefighters, to face pay limitations.
The vast majority of Americans do not take part in pension plans that provide a fixed return on investment, instead relying on their own savings and Social Security. According to data from the Department of Labour, only 10% of private sector employees in the US are covered by pension plans.
The new rules apply to about 3 percent of Social Security users, or more than 2.5 million people in the United States. Legislators are heavily influenced by the workers and retirees impacted by these rules, and the powerful advocacy organisations that speak for them have been using the legislative process to push for a legislative cure.
According to retirement experts, some retirees may be able to earn hundreds of dollars more in government benefits each month as a result of the move.
According to a Congressional Budget Office analysis, the bill is expected to cost approximately $196 billion over the next 10 years. As a result, federal budget experts are worried that the change could negatively affect the program’s already fragile financial status.
In an interview with the Bipartisan Policy Centre, Emerson Sprick, associate director of economic policy, said he was frustrated by “the overwhelming support in Congress for the contrary of what policy researchers concur on is quite frustrating.”
Instead of eliminating current formulas, we could improve them.
Among these changes is the Social Security Administration’s increased disclosure of the anticipated monetary benefits for these public sector workers.
The Committee for a Responsible Federal Budget, a nonpartisan fiscal think tank, has voiced concerns that the additional cost will impact the program’s ability to continue.
Maya MacGuineas, the organization’s leader, made the declaration, saying, “We are hastening towards our own fiscal ruin.”
“It is noteworthy that lawmakers are in a position to shorten the timeframe by six months, as there are just nine years left before the trust fund for the biggest program in the country runs out.”
Senator Ted Cruz, a Republican, said on the Senate floor on Wednesday that the bill in its current form would “throw granny over the cliff.”
According to what he stated, “every senator who votes to impose a burden of $200 billion on the Social Security Trust Fund is opting to put the interests of senior citizens who have contributed to Social Security and earned those benefits in jeopardy.”
Those who favoured the legislation said that the question of what would happen to Social Security could be settled later.
“Those are significantly longer-term concerns that we must collaboratively address,” a supporter of the idea Senator Michael Bennett told Reuters when asked if the move would affect the government’s capacity to be viable.
SOURCE: BR
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King Charles Could Millions Annually from Renting His Properties
A recent analysis suggests that King Charles might earn over £1 million each year by renting out royal properties to holidaymakers.
The Royal Family’s historic houses and mansions are popular holiday rentals, contributing significantly to the Palace’s revenue.
Pikl Insurance estimates that the royals may earn up to £118,775.85 per month, or around £1,425,310.20 per year, from their holiday rental portfolio. Even after accounting for cancellations, the monarchy is anticipated to generate a net annual income of somewhat more over £1.4 million.
Estimated Annual Rental Income of £1.4 Million
The four primary royal properties accepting public bookings are Balmoral Castle, Castle of Mey’s Captain House, Restormel Manor, and Dumfries House, according to Express.co.uk. Cottages at Balmoral Castle in Scotland are expected to generate £36,798.30 per month after accounting for cancellations.
According to the numbers, the 500-year-old Restormel Manor in Cornwall is the most profitable of them all, earning a solid £47,082 every month. The resort, located in the Fowey Valley, has four booking spaces and six converted barns.
Dumfries House in Ayrshire, Scotland, adds an estimated £31,185.63 and offers 25 rooms for booking. The Castle of Mey’s Captain House in the Scottish Highlands is estimated to generate a more modest £3,709.92 per month, despite the fact that the entire property is available for booking.
The analysts stated, “While the Royal Family’s primary role is undoubtedly to serve the nation, it is clear that their properties are also a valuable asset.” These estimates highlight the royal estate’s considerable financial potential and provide an intriguing peek into the monarchy’s corporate operations.”
Royal Family received £86.3 million from the taxpayer-funded Sovereign Grant in the previous fiscal year, according to official numbers released in July.
All revenues from the Crown Estate, which includes royal households, forestry, agriculture, and offshore wind, are paid directly to the Treasury, with a portion of this money, now 12%, returned to the Royal Family to finance their tasks.
The records also cover a period of jubilation, including the coronation and festivities surrounding the King and Queen’s crowning in May of last year.
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