Tag Archives: Inflation

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

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 Wednesday, November 17, 2021 Resilient demand, spending mean persistent inflation First, with the accumulation of so many dour headlines about the economy, credit should be given where it’s due. Tuesday’s news cycle saw Walmart (WMT) torch Wall Street’s third quarter earnings estimates as penny-counting shoppers flocked to the discount retail… Source link

The White House has made a pivot in recent weeks to frame the president’s current economic agenda as one that won’t exacerbate inflation and might even help ease the ongoing price pressures. Experts tend to back them up, noting that the just-signed infrastructure bill and the still-being-negotiated Build Back Better Act, Biden’s social policy legislation, are largely paid for and would not be expected to infuse a huge amount of money into the economy quickly. But that isn’t exactly true… 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 Monday, November 15, 2021 Full disclosure: I have never bought a turkey for Thanksgiving before.  Hang with me here because it’s not as weird as it sounds.  For the past 15 years I haven’t really had any Thanksgivings (don’t pity me, I bring this stuff on myself). Most of the time I was out in stores on Thanksgiving day either channel-checking… Source link

Warren Buffett saw inflation coming early on — 8 tips to help you come out ahead Rising prices and uncertainty about how long they’ll last are putting Americans in a bad mood. Inflation was significantly worse than expected in October, with consumer prices soaring 6.2% from a year ago. That inflation rate was the steepest in more than 30 years, with energy, housing, food and cars leading the way. When prices began accelerating earlier this year, some experts, including the “Oracle of… Source link