Kamala Harris should be very worried about consumer sentiment. Unless she can inspire a sharp increase in economic confidence, she is likely to lose the presidential election in November.
Spending and income are solid and inflation is still above target, calling into question the arguments for an urgent rate cut.
US consumer sentiment dropped in July to its lowest level in eight months as persistent high prices and stubbornly high inflation continued to erode confidence in personal finances. According to the University of Michigan, the final July sentiment index fell
Economic growth picked up more than expected in the spring, not only undermining the case for rate cuts but also raising the possibility that the Federal Reserve still has not done enough to cool the economy off to bring inflation down to its two percent target.
The stronger-than-expected growth indicates that the economy has continued to expand despite high interest rates, calling into question the need for a rate cut from the Federal Reserve in the near term.
The resurgence of claims that Donald Trump’s proposal for a 10 percent across-the-board tariff amounts to a tax on the American middle class calls for a deeper dive into why these assertions miss the mark.
Democrats hope voters will forget the critical role Kamala Harris played in passing the legislation that fueled the worst price increases in four decades.
Kamala Harris has been a fervent supporter of Joe Biden’s unpopular economic policies, which makes it hard to convince Americans that things will change if they vote for her.
The fourth consecutive monthly decline as home affordability continues to be a major problem.
The announcement that President Biden has halted his campaign to seek a second term puts pressure on the Federal Reserve to hold off on interest rate hikes until after the election.
What is it going to take to move the market off its conviction that the Federal Reserve will cut interest rates in September?
Trump’s record on manufacturing jobs far outshines the Biden-Harris record.
In an act of political expediency veiled as economic policy, the Biden administration this week announced its support for national rent control.
The indexes for new orders, employment, and shipments all turned positive in July.
The labor market has cooled in recent months.
President Joe Biden on Tuesday unveiled a national rent control scheme capping annual rent increases at $55.
Summer heat boosted utility production but factory output remains sluggish.
High interest rates are still weighing down building in the single-family home market.
The federal funds futures market now implies a near certainty—a 98 percent chance—that the Fed cuts at its September meeting and then over a 90 percent chance that it cuts again in either November or December.
The Dow Jones Industrial Average soared to new record highs on Tuesday after Donald Trump appeared at the Republican National Convention on Monday night. The Dow rose by 730 points, or 1.8 percent, its best day since June of last
Inflation may not be dead after all.
The strength of consumer spending undermines the case for a Fed rate cut before election day.
Republicans focused their attention on inflation and President Joe Biden’s economy on Monday night at the Republican National Convention.
There was a brief explosion of interest on Monday morning in the idea that the Federal Reserve might cut interest rates at its July meeting. Fed Chairman Jerome Powell effectively shot down the idea on Monday afternoon.
The Dow hit a record high on Monday morning while the other major indexes rose close to previous highs.
An inflation election highly favors Republicans.
Inflation is still a big weight on consumer views about economy.
Bidenflation is not done with America yet.
A Fed rate cut on the eve of the election would inevitably be seen as a partisan political gift to incumbent Joe Biden and would invite backlash from Republicans.
After the June decline, prices are up 18.8 percent since Biden took office. During the same three-and-a-half-year period of Donald Trump’s presidency, prices rose just 5.3 percent. Prior to the pandemic period, prices rose 6.2 percent under Donald Trump.
Federal Reserve Chair Jerome Powell explicitly refused to offer forward guidance about interest rate policy in his Capitol Hill testimony this week, which we think is an indication that a rate cut in September is unlikely.
The Biden administration is finally cracking down on Mexican imports that use steel or aluminum from China by imposing tariffs.
A sign of confidence in growth for the second half of the year.
The latest polling indicates that Republicans are well-positioned to take advantage of voter unhappiness about inflation and the U.S. economy and that these issues may be decisive in November.
Most Americans consider inflation a very serious problem and think it will play a major role in the upcoming election.
Is the U.S. manufacturing sector expanding or contracting? It depends who you ask.
U.S. construction spending took a hit in May, as businesses and homebuilders pulled back on projects due to stubbornly high interest rates.
President Biden demonstrated again last night that he is completely untethered from the truth about the American economy and unprepared to discuss the nation’s economic challenges.
Year to date, shares of the athletic apparel company are down 29 percent.
The Supreme Court on Thursday ruled a person accused by the Securities and Exchange Commission of civil fraud has a right to a trial by jury before a federal judge, rejecting the agency’s authority to bring enforcement actions and assess fines through internal tribunals.
