Despite record customs revenue from tariffs, the US July budget deficit rose 20% this fiscal year, reaching $21 billion. Increased spending on interest payments and social security, among other factors, outweighs tariff income. Economists disagree on the long-term impact of tariffs on the deficit, with some predicting modest reductions...
Market volatility marked Tuesday's trading. United and Delta Air Lines surged on rising airfares and positive inflation data, while Spirit Airlines plummeted over 40% due to cash flow concerns. Paramount Global rallied after its UFC deal. Cardinal Health dropped after a disappointing earnings report, and Axon Enterprise...
Wall Street reacted calmly to the 90-day postponement of US-China tariff hikes, shifting focus to Tuesday's inflation data. This data will heavily influence the Federal Reserve's decision on interest rate cuts. The delay allows for continued trade negotiations. Meanwhile, Intel shares rose after Trump's meeting with its...
Australia's Reserve Bank (RBA) cut its benchmark interest rate by 0.25% to 3.6%, its lowest since April 2023, citing substantially decreased inflation (2.1% in Q2). While acknowledging the rate's impact on households, the RBA didn't rule out further cuts if needed. The RBA lowered its economic growth forecast...
The US and China have agreed to a 90-day pause on further tariff increases. This avoids a significant escalation in trade tensions, preventing tariffs on Chinese goods from rising to 54% and Chinese tariffs on US exports returning to 34%. The agreement follows recent negotiations and maintains existing...
July's Consumer Price Index (CPI) is projected to show a 2.8% annual increase, up from June's 2.7%, marking the highest inflation rate since February. This rise, partly attributed to tariffs increasing import costs passed onto consumers, puts the Federal Reserve in a difficult position. They must decide between lowering...
Goldman Sachs research indicates that the impact of President Trump's tariffs on US consumer prices is only beginning. While businesses initially absorbed most of the cost, economists predict consumers will increasingly bear the burden through price hikes. Currently, consumers have absorbed an estimated 22% of tariff costs, but this...
Changes in US immigration policies under the Trump administration have resulted in the loss of immigrant workers in various industries, particularly manufacturing. Thousands of immigrants from countries like Cuba, Haiti, Nicaragua, and Venezuela, previously granted temporary protected status or parole, have lost their work authorization, leaving companies scrambling to...
Global markets showed mixed results on Monday, anticipating President Trump's deadline for imposing higher tariffs on Chinese goods. European markets saw slight declines, while Asian markets mostly rose. The S&P 500 and Dow futures showed slight gains. Oil prices continued their decline due to increased OPEC+ output...
Despite Donald Trump's claims of "historic trade wins," economic indicators suggest his trade war is harming the US economy. Job growth has plummeted, inflation is rising, and economic growth is slowing. Trump's tariffs, projected to cost US households $2,400 by 2025, are overwhelmingly disapproved of by Americans. ...
