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The American shopping spree is losing steam
  + stars: | 2024-05-30 | by ( Bryan Mena | Nathaniel Meyersohn | ) edition.cnn.com   time to read: +5 min
CNN —It’s becoming tougher and tougher for Americans to carry on with their spending spree. Years of elevated inflation and the highest interest rates in almost a quarter century are wearing out the US consumer. Savings accumulated during the Covid-19 pandemic are drying up, borrowers continue to rack up debt and delinquencies are marching higher. A second estimate of gross domestic product, released Thursday, showed that consumer spending was weaker in the first three months of the year than initially reported. Economists polled by FactSet are expecting data to be released Friday to show that consumer spending slowed notably in April from March.
Persons: CNN —, they’ll, ” Carol Schleif, FactSet, Thomas Kingsbury, TJ Maxx Organizations: CNN, Savings, BMO Family Office, Employers, Walmart, Dollar, Goods, Abercrombie, Fitch
Read previewIsrael's ongoing war in Gaza — and President Joe Biden's continued support for it — has become a major issue in the 2024 election. After Hamas killed more than 1,200 people in its October 7 attack, Israel launched a counteroffensive aimed at eliminating the group. Here's a guide to where President Joe Biden and former President Donald Trump stand on Israel — and why some are threatening to stay home or cast protest votes in November. I mean, moving shots of bombs being dropped into buildings in Gaza… it's a very bad picture for the world." For these voters — some of whom may have even had family members killed in Gaza — they argue that the war outweighs all other considerations.
Persons: , Joe Biden's, That's, Joe Biden, Donald Trump, Israel —, Biden, he's, Nathan Howard, Israel Trump, Israel, Israel Hayom, Trump, Benjamin Netanyahu, Doug Mills, Syria —, we're, Biden's, it's, Abdullah Hammoud, Jill Stein, Cornel West Organizations: Service, Business, UN, United Nations Relief, Works Agency, GOP, Israeli, Washington Post, Muslim, Democratic, Biden, Trump, Green Party Locations: Gaza, Israel, Rafah, Tel Aviv, Jerusalem, Syria, Biden's Israel, Dearborn, Michigan
We laid 10,000 flowers — one for each civilian in both Israel and Gaza who had been killed at that point. I work for a House Democrat who has endorsed Biden's plan for a negotiated, two-sided cease-fire — but that's absolutely not far enough. But I'm almost positive that the lawmaker I work for doesn't know, and that if they did, there would be genuine repercussions. AdvertisementWhen it's constituents saying this, I understand: They don't understand exactly how congressional offices work and they don't know how Congress functions. Pro-ceasefire staffers marching toward the House steps ahead of a vote on an Israel aid-related bill on May 16.
Persons: , Israel, We've, who've, Joe Biden, they're, they've, Biden's, we've, it's, Andrew Derek Strachan, haven't, Kent Nishimura Organizations: Service, Congressional Staff, Capitol, Business, United Nations Relief, Works Agency, House Democrat, State Department Locations: Gaza, Israel, Rafah
Washington CNN —US economic data released Thursday was broadly disappointing. And mortgage rates inched higher this week, thrusting the average rate back above the psychological 7% threshold. HousingHousing data released Thursday mostly showed that the market remains tough, especially for first-time buyers. The Fed doesn’t directly set mortgage rates, but its actions, which influence yields, do. There were 219,000 first-time claims filed during the week ended May 25, according to Labor Department data released Thursday.
Persons: ” Oren Klachkin, it’s, Freddie Mac, They’re, ” Lawrence Yun, hasn’t Organizations: Washington CNN, Treasury, Federal, Nationwide, Commerce, Housing, Fed, National Association of Realtors, ” Jobs, Labor Department, Dow, Nasdaq Locations: American
I work for a House Democrat who has endorsed Biden's plan for a negotiated, two-sided cease-fire — but that's absolutely not far enough. AdvertisementWhen it's constituents saying this, I understand: They don't understand exactly how congressional offices work, they don't know how Congress functions. We have seen an unprecedented influx of constituent sentiment in support of a cease-fire, and in some lawmakers' offices, that sentiment is not being listened to at the most senior level. You don't know who's going to step in and replace you in that job. You don't know if they're going to hire someone who just does not believe in the humanity of the Palestinian people.
Persons: , Israel, We've, who've, Joe Biden, they've, Biden's, we've, it's, Andrew Derek Strachan, haven't, Kent Nishimura Organizations: Service, Congressional Staff, Capitol Hill, Business, Capitol, United Nations Relief, Works Agency, House Democrat, Congressional, State Department Locations: Gaza, Israel, Rafah, Palestine
Washington CNN —The Federal Reserve Bank of Cleveland announced Wednesday that Beth M. Hammack will be its next president and chief executive officer after current president Loretta Mester retires at the end of June. Hammack, 52, joins the Cleveland Fed after three decades at Goldman Sachs. She is slated to vote on monetary policy decisions as of August 21, when her term officially starts. For the July meeting of the Federal Open Market Committee, Cleveland Fed Vice President Mark S. Meder will be voting. The central bank is currently mulling when to begin cutting interest rates after raising them to a two-decade high last summer.
Persons: Beth M, Loretta Mester, Goldman Sachs, Mark S Organizations: Washington CNN, Federal Reserve Bank of Cleveland, Cleveland Fed, Federal, Market, Fed Locations: Hammack
US home prices hit another record high in March
  + stars: | 2024-05-28 | by ( Bryan Mena | ) edition.cnn.com   time to read: +3 min
Washington CNN —US home prices reached a record high in March, reflecting the housing market’s persistent affordability crisis. The S&P CoreLogic Case-Shiller US National Home Price Index, a measure of home prices across the country, jumped 6.5% in March from a year earlier to a record high. It is the sixth time the index has reached a new record high over the past year. Persistent challenges, but some slight improvementsHousing affordability, which factors in incomes, home prices and mortgage rates, remains in the doldrums. Annual home price growth is down from a record high of 20.8% in March 2022, but it has picked up steam in the past several months.
Persons: , Brian Luke, Dow, “ We’ve Organizations: Washington CNN, Dow Jones, Federal Reserve, Treasury, National Association of Realtors Locations: San Diego , New York, Cleveland, Los Angeles
Read previewIn recent years, Sen. Josh Hawley has sought to position himself as populist Republican and a staunch ally of organized labor. This story is available exclusively to Business Insider subscribers. Related stories"I'm honored to have the support of UAW in this race," Kunce said in a statement to Business Insider. AdvertisementThe Teamsters, one of the country's largest labor unions, contributed $5,000 to Hawley's reelection campaign in April. "I'm not a huge fan of the PRO Act," Hawley told Business Insider in September.
Persons: , Sen, Josh Hawley, That's, Lucas Kunce, Hawley, that's Lucas Kunce, Fred Jamison, I'm, Kunce, we'll, Let's, Donald Trump, they're Organizations: Service, Republican, National Labor Relations Board, Business, United Auto Workers, Missouri Republican, Senate, UAW, Cap Council, Observers, America, PRO, Teamsters, Republican National Committee, Democratic National Committee, Democratic, Kansas City Star Locations: Missouri
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As the 2024 race heats up, Trump is getting support from a variety of billionaires. download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . AdvertisementAs former President Donald Trump seeks a second term in the White House, he's increasingly turning to billionaires to power his campaign. Others may be relative newcomers, such as long-time GOP megadonors who backed his 2016 or 2024 rivals. This story is available exclusively to Business Insider subscribers.
Persons: Trump, , Donald Trump, he's Organizations: GOP, Trump, Service, Business
Analysts are expecting the Memorial Day weekend to usher in yet another summer of strong consumer spending on travel and other leisure activities. “We haven’t seen Memorial Day weekend travel numbers like these in almost 20 years,” Paula Twidale, senior vice president at AAA Travel, said in a release. Spending this summer will likely be a little softer than last year’s, they said, but still strong. The bank’s consumer travel survey showed that 72% of people said they’re planning to travel, with 36% saying they’ve already planned their trip. Even among respondents making less than $75,000 a year, more than 60% said they’re planning to travel this summer.
Persons: ” Paula Twidale, Royal Caribbean’s, ” David Tinsley, they’ve, Joelle, aren’t, Dogecoin, Shiba Inu “, Atsuko Sato, , Sato, ” Kabosu, Kabosu, Shiba, Loretta Mester, Neel Kashkari, Lisa Cook, Robin, John Williams, Raphael Bostic, Lorie Logan Organizations: CNN Business, Bell, Washington CNN —, Transportation Security Administration, AAA, AAA Travel, Bank of America Institute, Bank of America, Japan, Europe, New York Fed, Public Policy Research, Mizuho Financial, Federal, Global, Index, Board, HP, Dick’s Sporting Goods, Abercrombie, Fitch, Eagle Outfitters, Costco, Dell, Dollar, Hormel, US Commerce Department, US Labor Department, National Association of Realtors, China’s National Bureau of Statistics, Atlanta Fed Locations: Washington, Caribbean, South Korea, Switzerland, Colombia, Costa Rica, Canada, Mexico, Domestically , California, Florida, California, , Sakura, CAVA, Chewy, Burlington, Birkenstock, Nordstrom, Kohl’s
“Stay back,” she remembers him saying after he reached into a drawer for his gun and loaded it. He crept into a hallway in their home in Little Rock, Ark., and saw figures in the darkness. What made this different from many such confrontations was that Mr. Malinowski was a respected official in the community, the director of Little Rock’s airport. Mr. Malinowski shot an agent in the foot. As the agents fired back, a bullet struck Mr. Malinowski, 53, in the head, and two days later, he died in a hospital.
Persons: Bryan Malinowski, , , Malinowski, Little Organizations: Alcohol, Tobacco, Firearms, Explosives Locations: Little Rock, Little Rock’s, Arkansas
Washington CNN —Mortgage rates declined for the third consecutive week in a shred of good news for Americans dealing with a still-tough housing market. Mortgage rates track the benchmark 10-year US Treasury yield, which moves in anticipation of the Federal Reserve’s decisions on interest rates. Stubbornly high inflation this year has dashed hopes that the Fed could cut interest rates in the spring or in the summer. Some Fed officials said earlier this week that they likely won’t raise interest rates again and a few have said they expect to cut rates this year. With mortgage rates still elevated, some homeowners are deciding to stay put.
Persons: Freddie Mac, inflation’s cooldown, there’s, homebuyers, ” Sam Khater, Freddie Mac’s, That’s, ” Lawrence Yun, , Yun, Joe Biden Organizations: Washington CNN —, Treasury, National Association of Realtors, Fed, Housing Locations: San Diego, Chicago, Detroit
Super PACs, which can accept unlimited donations, are legally barred from coordinating with or donating directly to politicians' campaigns. Advertisement"I'm gratified that a bipartisan group at the FEC has rightly rejected this baseless, headline-seeking complaint," Luke Thompson, the executive director of the super PAC, told Business Insider. "This super PAC was keeping him afloat as a candidate with research, messaging ideas, and all of the stuff that basically allowed him to remain viable." In recent years, it's become increasingly common for campaigns and super PACs to use public websites to get around existing campaign finance laws. Those materials had been funded by Never Back Down, a super PAC supporting the Florida governor.
Persons: , Republican Sen, JD Vance's, Peter Thiel, Donald Trump, Vance, Ellen Weintraub, Luke Thompson, Jonas Edwards, Jenks, Saurav Ghosh, they're, Ghosh, who's, Tim Ryan, Thiel, David Sacks, Rebekah Mercer, it's, Ron DeSantis's Organizations: Service, Commission, Republican, PAC, Campaign, Citizens United, Business, Legal, Citizens, Democratic, FEC, End Citizens, GOP Senate, Florida Gov, Florida Locations: Ohio, Florida
Washington CNN —Rising US home prices are heightening the housing affordability crisis for Americans, especially first-time buyers. Housing affordability takes into account prices, household incomes and mortgage rates. Sales fell in April for the second month in a row as mortgage rates surged past 7%. Mortgage rates track the yield on the 10-year US Treasury note, which moves in anticipation of the Fed’s decisions on interest rates. Low housing affordability typically crimps demand.
Persons: it’s, , Lawrence Yun, Freddie Mac Organizations: Washington CNN —, National Association of Realtors, Global, NAR, Federal Reserve, Fed, Treasury Locations: San Diego, Chicago, Detroit, America,
Fed officials aren’t easing Wall Street’s nerves
  + stars: | 2024-05-22 | by ( Bryan Mena | ) edition.cnn.com   time to read: +4 min
Optimism spurred by the latest inflation data pushed all three major stock indexes to new record highs. But now Wall Street, eager for rate cuts, is on edge again. But some financial leaders remain doubtful that the Fed is feeling confident enough to cut rates soon. “I think we’re set up for stickier inflation.”Some Fed officials say another rate hike isn’t likelyFed officials have mostly sounded a little more optimistic about inflation recently, after the Consumer Price Index for April finally provided some welcome news. Cleveland Fed President Loretta Mester told Bloomberg on Monday that she also thinks interest rates are high enough to deal with inflation.
Persons: they’re, Dow, Christopher Waller, ” Waller, Goldman Sachs, David Solomon, “ I’m, , , Philip Jefferson, Mary Daly, Axios, Jerome Powell, Klaas Knot, Loretta Mester, Chris Larkin Organizations: Washington CNN, Federal Reserve, CNBC, , Peterson Institute for International Economics, Boston College, Mortgage, Association, ” San Francisco Fed, European Central Bank Governing, Cleveland Fed, Bloomberg, Locations: ” San
New York CNN —Even after years of inflation, geopolitical chaos and recession in Europe, the US economy remains robust and resilient. Unemployment rose to 3.9% last month, lower-income consumers are spending less and businesses are limiting employee hours and pay. A recent survey by Santander Bank of its customers found that while inflation fears have largely subsided, middle-income Americans are pessimistic about the economy. Those Americans could still be suffering, but their stories are obscured by data that paints a broad picture of a resilient economy. Piepszak, meanwhile, now leads the company’s newly combined commercial and investment bank with her co-CEO Troy Rohrbaugh.
Persons: , Gregory Daco, haven’t, Skyler Weinand, Regan, , ” Nanette Abuhoff Jacobson, Bryan Mena, What’s, Jamie Dimon, Here’s, Dimon, he’s, , ” Dimon, can’t, “ Dimon, Marianne Lake, Jennifer Piepszak, Piepszak, Troy Rohrbaugh, Rohrbaugh, Mary Erdoes, Jeremy Barnum, Daniel Pinto, COOs Gordon Smith, Smith, Satya Nadella, Bing Organizations: CNN Business, Bell, New York CNN, Regan Capital, Santander Bank, Hartford Funds, Bureau of Labor Statistics, Federal Reserve, JPMorgan, JPMorgan Chase, Bank of America, Microsoft Locations: New York, Europe, Redmond, Washington
Josh Hawley is writing his fourth book — while running for a second term in the Senate. It's called "The Awakenings: The Religious Revivals that Made America—and Why We Need Another One." Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. The Missouri Republican is working on a new book entitled "The Awakenings: The Religious Revivals that Made America — and Why We Need Another One," his publisher confirmed to Business Insider on Tuesday. This story is available exclusively to Business Insider subscribers.
Persons: Josh Hawley, It's, Theodore Roosevelt, , Sen, Hawley Organizations: Big Tech, Service, Missouri Republican, Business Locations: Missouri
Trump has yet to chose a VP candidate, but several names are in the mix. A new poll shows that Rep. Elise Stefanik would have the most negative impact on the ticket. Vivek Ramaswamy and Sen. Tim Scott would have the most positive effect, according to the poll. download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . This story is available exclusively to Business Insider subscribers.
Persons: Trump, Elise Stefanik, Vivek Ramaswamy, Sen, Tim Scott, , Donald Trump, Harris Organizations: Service, Harvard, Trump, Business
Read previewIn January 2025, Donald Trump may be sworn into office as the 47th President of the United States. Another Trump term, on the other hand, would likely entail a radical reversal from not just the previous four years, but even from Trump's first term in office. While not exhaustive, here's just some of what to expect in a second Trump administration. Miller told The New York Times that a second Trump administration would build "vast holding facilities that would function as staging centers" on "open land in Texas near the border." According to Bloomberg, Trump wants to extend those cuts in a second term.
Persons: , Donald Trump, Joe Biden, Biden, Trump, Trump's, That's, mifepristone, Stephen Miller, Miller, Alex Wong, Nixon, shouldn't, he's, Israel, there's Organizations: Service, Business, Trump, The New York Times, Heritage Foundation's, Senate, Federal Communications Commission, Federal Trade Commission, Federal Reserve, Congress, TIME, Republican, National Guard, United, Department of Justice, Capitol Police, Atlantic Treaty Organization, State Department, Pentagon, Bloomberg, American, Security, Social Security, CNBC Locations: United States, Texas, CPAC, China, Ukraine, Gaza, Israel, Europe, Washington ,
Wealthy Americans are starting to spend more carefully
  + stars: | 2024-05-19 | by ( Bryan Mena | ) edition.cnn.com   time to read: +7 min
A robust stock market coupled with rising home values have boosted Americans’ wealth from 2019 through 2022, according to a Federal Reserve report on household finances. There’s been some evidence of wealthy Americans growing cautious in the latest round of company earnings results. Federal Reserve officials Michael Barr, Christopher Waller, Philip Jefferson and Raphael Bostic deliver remarks. Federal Reserve officials Christopher Waller, John Williams, Raphael Bostic, Michael Barr, Loretta Mester and Susan Collins deliver remarks. The Federal Reserve release minutes from its May policymaking meeting.
Persons: they’ve, , ” Nanette Abuhoff Jacobson, There’s, ” Jonathan Akeroyd, Moet, The Beverly Hilton, Michael Kovac, LVMH Moët Hennessy Louis Vuitton, , Jacobson, ’ Ariel Barnes, Barnes, ” Barnes, Baby Boomer, Xers, Matt Egan, Read, Michael Barr, Christopher Waller, Philip Jefferson, Raphael Bostic, John Williams, Loretta Mester, Susan Collins, Robin, Ralph Lauren, Booz Allen Hamilton, Buckle Organizations: CNN Business, Bell, Washington CNN, Federal, Fed, Hartford Funds, CNN, Burberry, The Beverly, The Beverly Hilton Hotel, Walmart, Royal Caribbean Cruises, Jackson State University, Federal Reserve Bank of New, Palo Alto Networks, Urban Outfitters, NVIDIA, National Statistics, National Association of Realtors, Reserve, Intuit, US Labor Department, Chicago Fed, Global, US Commerce Department, Atlanta Fed, Booz, University of Michigan Locations: Washington, British, Americas, Beverly Hills , California, Jackson , Mississippi, Federal Reserve Bank of New York, Palo, Ross, Burlington
Two sitting House Republicans are dating each other — and one of them is getting a divorce. It's not the first time two lawmakers have dated while serving in Congress together. On Friday, Rep. Beth Van Duyne of Texas confirmed to the Daily Mail that she's "happily engaged in a relationship" with Rep. Rich McCormick of Georgia. That's appeared to cause some trouble back home for McCormick: according to the Daily Mail, his wife filed for divorce earlier this month. Van Duyne — who's been divorced for over a decade — told the outlet that the congressman's marriage has "been over for quite some time as I understand it."
Persons: It's, , Beth Van Duyne, Rich McCormick, That's, Van Duyne, who's Organizations: Republicans, Service, House Republican, Daily Mail, McCormick, Business Locations: Texas, Rich McCormick of Georgia
The House passed a resolution on Friday condemning calls to defund the police. 61 House Democrats voted against it. The resolution also blamed progressive policies for an uptick in violence against cops. AdvertisementThe House of Representatives easily passed a resolution by a 337-61 margin on Friday that condemned calls to defund the police and blamed progressive policies for an uptick in violence against officers. 61 House Democrats voted against the resolution, while 134 — along with other Republicans present — voted for it.
Persons: , Pete Stauber Organizations: Service, Republican Rep, Business Locations: Minnesota
Sen. Rick Scott was the first elected Republican to show up. He ended up missing a vote. Florida Sen. Rick Scott walks behind Trump at the trial on May 9. Jeenah Moon/Pool Photo via APOn Thursday, May 9, Sen. Rick Scott of Florida became the first elected Republican to show up to the trial. The Florida senator, who's up for reelection in November, ended up missing a procedural vote on the bill later that day.
Persons: Sen, Rick Scott, Florida Sen, Jeenah, Rick Scott of, Scott, who's, Debbie Mucarsel Powell Organizations: Republican, Trump, Federal Aviation Administration, Democratic Locations: Rick Scott of Florida, Florida
Read preview16 House Democrats on Thursday voted for a bill designed to force President Joe Biden to provide all military aid to Israel — or risk the defunding of crucial national security-related offices. AdvertisementRepublicans in particular have sought to hit Biden for that move, including Rep. Cory Mills of Florida, a Republican who voted against Israel aid but has now introduced articles of impeachment against Biden for withholding that aid. AdvertisementSince October 7, the House has taken a variety of Israel-related votes that have split House Democrats, including one that equated anti-Zionism with antisemitism and another that was designed to crack down on campus antisemitism but faced free speech-related criticism. Last month, 37 House Democrats voted against a bill to provide the military aid to Israel that Biden is now partially withholding. Here are the 16 House Democrats who voted for the bill:
Persons: , Joe Biden, Israel —, Thomas Massie of, Marjorie Taylor Greene, Warren Davidson, Ohio —, Biden, Cory Mills, I'm, nothing's, Jared Golden of, Greg Landsman, Ohio Organizations: Service, Democrats, Business, Republicans, Democratic, Republican, Department, Pentagon, Defense, State, National Security Council, White, . Jewish Democrats Locations: Thomas Massie of Kentucky, Marjorie Taylor Greene of Georgia, Ohio, Israel, Rafah, Gaza, Cory Mills of Florida, Jared Golden of Maine
Total: 25