Connect with us

Business

US Inflation Cools to Slowest Pace in a Year

Published

on

Housing prices continued to rise in June but at a slower pace
US Inflation Cools to Slowest Pace in a Year

In June, the US experienced a slowdown in price increases, with inflation rising by 3% over the past 12 months, marking the slowest rate in a year, according to the Labor Department. Lower petrol prices contributed to this decrease, marking the third consecutive month of easing inflationary pressures.

The Federal Reserve, which has kept its key lending rate at a high of more than 5.3% since last year, may now consider cutting interest rates as early as September. Fed officials believe that these high borrowing costs have helped to temper inflationary forces and support the economy.

The recent report suggests progress in addressing inflation concerns, potentially paving the way for a rate cut. Analysts are optimistic, with Seema Shah from Principal Asset Management stating, “The latest inflation numbers put us firmly on the path for a September Fed rate cut.”

Advertisement

This development is welcomed news for the White House amidst economic challenges, including rising living costs and interest rates impacting households. While some prices have fallen, such as petrol and certain consumer goods, other essentials like groceries and housing continue to see modest increases.

Greg McBride, an analyst at Bankrate.com, noted improvements in rental and service costs, indicating a potential turning point in inflation readings. Federal Reserve Chairman Jerome Powell, while cautious about timing, acknowledged the likelihood of a rate cut, emphasizing the Fed’s commitment to balancing economic risks.

Despite concerns raised by Republican lawmakers about the timing of rate cuts, Powell stressed the Fed’s independence and commitment to data-driven decisions. He highlighted the need for continued positive inflation data and a strong labor market.

Advertisement

Looking ahead, economic indicators including consumer spending and corporate earnings will be closely monitored for further signs of economic health and stability.

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Iceland Demands Supermarket Rivals Stop Selling Prawn Rings

Published

on

Iceland Demands Supermarket Rivals Stop Selling Prawn Rings

Supermarket chain Iceland has filed a trademark application for its well-known “King Prawn Rings,” urging rival supermarkets to stop selling similar products. Iceland, headquartered in Flintshire, claims it has faced increasing imitation since introducing its prawn rings in 1991.

In a bold open letter shared on social media platform X (formerly Twitter), Iceland called out major competitors Aldi, Tesco, Lidl, and Asda, accusing them of selling “copy crustaceans.” The letter cheekily asserted, “The King Prawn Ring is ours, and we won’t be letting you off the hook.”

Lidl humorously responded, “Here was us thinking it was a classic 1970s party dish.”

Advertisement

Iceland’s letter, signed by “Iceland Foods,” warned other retailers to cease selling prawn rings, especially ahead of Christmas. The chain emphasized its intent to pursue legal action if competitors don’t comply, declaring, “Our lawyers are more than ready to dive into legal waters.”

The prawn ring battle has sparked social media buzz, with consumers eagerly watching how rival supermarkets will respond to Iceland’s trademark claim.

Advertisement
Continue Reading

Business

Boeing Workers Reject Latest Pay Offer Despite 30% Rise, Union Says

Published

on

Boeing Workers Reject Latest Pay Offer Despite 30% Rise, Union Says

The union representing striking Boeing workers has stated that its members are not interested in the company’s latest pay proposal, which includes a 30% raise over four years. According to the International Association of Machinists and Aerospace Workers (IAM), a survey revealed overwhelming dissatisfaction with the offer, labeling it as “inadequate.”

This rejection follows Boeing’s new “best and final” offer, which also included a performance bonus reinstatement, improved retirement benefits, and a one-time $6,000 signing bonus. The company set a deadline for the deal to be ratified by union members by midnight on September 27.

However, IAM criticized Boeing for sending the offer directly to workers and the media without consulting union leaders and stated that the time frame was insufficient to organize a proper vote. Boeing has denied the union’s claims and said it would allow more time and provide support to facilitate the vote.

Advertisement
Continue Reading

Business

China Unveils Bold Measures to Revive Economy Amid Growth Concerns

Published

on

China Unveils Bold Measures to Revive Economy Amid Growth Concerns

China’s central bank, the People’s Bank of China (PBOC), has launched a significant package of measures aimed at revitalizing its struggling economy. PBOC Governor Pan Gongsheng announced plans to lower borrowing costs and allow banks to expand lending to stimulate economic activity.

With recent economic data raising concerns that China may miss its 5% growth target this year, the central bank will cut the reserve requirement ratio (RRR)—the amount of cash banks must hold in reserve—by half a percentage point, releasing around 1 trillion yuan ($142 billion) into the economy. Additional cuts may follow later in the year.

The package also addresses China’s property market crisis by cutting interest rates for existing mortgages and reducing minimum down payments for all homes to 15%.

Advertisement

Asian stock markets responded positively to the news, seeing a boost after Mr. Pan’s announcement, which came during a rare joint press conference with officials from two other financial regulators.

Continue Reading

Trending