AUGUST 29, 2022 – POWELL SPEAKS AT JACKSON HOLE; RATES STILL TO RISE Citing the inflation experience 40 years ago, Fed Chair Powell spoke of the Fed’s intentions at the annual Jackson Hole economic conference. There are three lessons to heed: The Fed is responsible for managing inflation, expectations are critical, and they must keep at it until the job …
August 22, 2022 — Retail Spending Holds Steady in July
AUGUST 22, 2022 – RETAIL SPENDING HOLDS STEADY IN JULY US retail spending was up 0.7 percent in July, indicating the consumers still have the capacity to spend despite rising inflation. In June retail spending was up 0.8 percent. Falling gas prices have put more money into consumers’ hands during the last nine weeks. Shoppers have kept up spending despite …
August 15, 2022 — Inflation Eases from 40-Year Highs
AUGUST 15, 2022 – INFLATION EASES FROM 40-YEAR HIGHS US inflation in July came in at 8.5 percent, down slightly from its 4-decade high of 9.1 percent in June. Monthly CPI was flat in July after rising for 25 consecutive months, mostly as a result of cheaper energy prices. Core CPI fell to a 0.3 percent increase from a 0.7 …
August 8, 2022 — Job Numbers Roar with over 500,000 New Gains in July
AUGUST 8, 2022 – JOB NUMBERS ROAR WITH OVER 500,000 NEW GAINS IN JULY The US economy added 528,000 jobs in July, twice the number expected, with the country having regained all 22 million jobs lost since the beginning of the pandemic. Unemployment fell from 3.6 percent to 3.5 percent; the unemployment number is the lowest since February 2020 and …
August 1, 2022 — Fed Raises Rates, Inflation Holds Steady, GDP Falls
AUGUST 1, 2022 –- FED RAISE RATES, INFLATION HOLDS STEADY, GDP FALLS Last week was very newsworthy. The Fed raised interest rates by 0.75 percent for a second month in a row. The personal consumptions expenditures index (PPE) rose to the highest level since 1982, with a 6.8 percent increase in June. The PPE is followed closely by the Fed …
July 25, 2022 — Upcoming Week of Big Economic News and Fed Meeting
JULY 25, 2022 – UPCOMING WEEK OF BIG ECONOMIC NEWS AND FED MEETING The Federal Reserve meets this week and there will be an increase in the interest rate, the expectations are it will go up by 0.75 percent. In addition, several major economic indicators for the last month and last quarter will be released, which will give us a …
July 18, 2022 –Inflation Keeps Climbing
JULY 18, 2022 – INFLATION KEEPS CLIMBING US inflation rose again last month hitting a 41-year high of 9.1 percent, up from 8.6 percent last month. The primary drivers were gasoline, shelter and food. Analysts are now debating whether the Fed will raise rates at their next meeting by 1 percent, rather than the 0.75 percent that was expected. The …
July 11, 2022 — Employment Holds Steady in the Face of a Slowing Economy
JULY 11, 2022 – EMPLOYMENT HOLDS STEADY IN THE FACE OF A SLOWING ECONOMY The US economy added 372,000 jobs in June extending a strong streak of gains despite the signs of a slowing economy. The average rate of new jobs added for the last three months is 400,000. The unemployment rate remained at 3.6%, holding at that level for …
July 5, 2022 — Consumer Spending Slows
JULY 5, 2022 – CONSUMER SPENDING SLOWS US consumer spending slowed in May, increasing by 0.2 percent; the smallest gain seen in 2022; down from a revised 0.6 percent gain in April. The Federal Reserve Bank of Atlanta is estimating output contracted 1 percent during the second quarter, following a 1.6 percent contraction experienced in Q1. Two consecutive quarters of …
June 27, 2022 — Fed Chair Says Controlling Inflation is Critical
JUNE 27, 2022 – FED CHAIR SAYS CONTROLLING INFLATION IS CRITICAL Federal Reserve Chairman Jerome Powell says getting inflation back down to the Fed’s 2 percent target is of prime importance, even if it tips the economy into recession. As of May, inflation sat at 8.6 percent, a 40-year high. He said the soft-landing the have been aiming for could …