Tag Archives: Inflation

U.S. consumer prices rose at the fastest clip in nearly four decades last month, underscoring the persistently elevated inflationary pressures in the recovering economy.  The Labor Department’s Consumer Price Index (CPI) climbed by 6.8% in November compared to last year, marking the fastest annual increase since June 1982. This rate matched consensus economists’ estimates, according to Bloomberg data, but accelerated compared to the 6.2% year-over-year rate from the prior month.  Even… Source link

Stock futures opened higher Thursday evening as investors awaited a key inflation report ahead of the Federal Reserve’s final policy-setting meeting of the year next week.  Contracts on the S&P 500 gained. Earlier, the blue-chip index closed out the regular session in the red after three consecutive days of gains, with concerns over Omicron beginning to ease as new developments suggested the variant may not cause as severe of infections as previously feared. The Nasdaq dropped 1.7% during… Source link

Sundar Pichai, chief executive officer of Google Inc., speaks during the Google I/O Developers Conference in Mountain View, California, U.S., on Tuesday, May 8, 2018. David Paul Morris | Bloomberg | Getty Images Google executives are acknowledging employee concerns about rising inflation, but say they have no plans to respond with a companywide pay increase. The topic of workforce pay was addressed at a special meeting on Tuesday that was intended to focus on Google’s 2022 strategy. Ahead of… Source link

Warren Buffett says these are the best stocks to own when inflation spikes — with high prices no longer ‘transitory,’ it might be time to follow his lead After months of rising prices, the Fed’s claim that high inflation rates would be “transitory” is looking a bit transitory itself. “It’s probably a good time to retire that word and try to explain more clearly what we mean,” Fed Chairman Jerome Powell said Tuesday. “I think the risk of higher inflation has increased.” A… Source link

The nation’s economic steward said it will back off of using the word “transitory” to describe the fast pace of price increases, as Federal Reserve policymakers acknowledge the increasing risk of more persistent inflation. “We tend to use [the word transitory] to mean that it won’t leave a permanent mark in the form of higher inflation,” Fed Chairman Jerome Powell told Congress on Tuesday. “I think it’s probably a good time to retire that word and try to explain more clearly… Source link

Stock futures dipped Tuesday evening, holding lower following an extended rout in technology stocks. Investors also anxiously awaited a packed slate of economic data results out Wednesday before a holiday market closure.  Rising interest rates coincided with a selloff in tech and growth stocks for a second day this week, with the Nasdaq dropping another 0.5% after Monday’s more than 1% decline. The Dow held up strongly and added nearly 200 points, with energy and financials stocks… Source link

Mohamed El-Erian says the Fed’s inflation screwup will ‘go down in history’ — but he’s using these 3 stocks to take advantage If a prominent economist is right, the Federal Reserve’s reaction to skyrocketing inflation is “going to go down in history as one of the worst inflation calls.” The Fed has said for months that inflation is a “transitory” trend triggered by the COVID-19 pandemic. Mohamed El-Erian, chief economic adviser at asset management firm Allianz SE, doesn’t… Source link

Restaurant operators and workers across the U.S. are struggling to rebound from the pandemic, and are battered by a lack of staff, skyrocketing prices and supply shortages. Paula Tejeda is one of them.  Even after mass vaccinations, customer traffic is “still very shaky,” Tejeda, the owner and founder of Chile Lindo, a deli and coffee shop in San Francisco, said in an interview with Yahoo Finance. “The hospitality business, which is restaurants, small coffee shops and bars, are not back…. Source link

Watching inflation erode purchasing power is frustrating. From consumer products to housing and gasoline — products and services are going up in price in this inflationary environment. Yahoo Finance asked several stock market experts: How can investors hedge against inflation? These are some of the strategies they highlighted:  Equities “Equities are traditionally viewed as an inflation hedge because it is expected that a company will be able to offset rising input costs by charging more… Source link

This article first appeared in the Morning Brief. Get the Morning Brief sent directly to your inbox every Monday to Friday by 6:30 a.m. ET. Subscribe Thursday, November 18, 2021 A link between fatter paychecks, bargain hunting and plastic  It’s common knowledge that inflation is eating away at consumers’ ability to spend, as the most basic necessities like groceries and energy extend a relentless spike. Less understood, however, is exactly why consumers keep opening their wallets as prices… Source link