Reuters US Economy

By Michael S. Derby (Reuters) – In another setback for the Federal Reserve’s inflation fight, data showing inflationary pressures cooling in recent months were in fact a mirage, and show underlying price pressures actually have been accelerating. The new findings out Thursday from the New York Fed add a fresh complication to the monetary policy …

New York Fed model finds inflation pressures more persistent than thought Read More »

(Reuters) – Chile’s rejection of a tax reform put forward by leftist President Gabriel Boric will complicate the country’s process of fiscal consolidation and gradually push up the country’s debt, a Moody’s executive said on Thursday. The country’s congress on Wednesday refused to move forward with a proposed tax reform meant to finance the president’s …

Chile’s tax reform rejection could raise debt, Moody’s says Read More »

WASHINGTON (Reuters) – The U.S. Treasury Department on Thursday said it has proposed raising the effective minimum rate that U.S. corporations pay on overseas income to 21% from about 10.5% as it aims to bring the United States into compliance with a global corporate minimum tax deal. The changes to the current “GILTI” minimum tax …

US Treasury eyes effective hike in overseas corporate minimum tax to 21% Read More »

By Sinéad Carew (Reuters) – The S&P 500 bank index tumbled nearly 6% on Thursday in its biggest one-day drop in over two years as investors fled the industry following SVB Financial Group’s share sale announcement and crypto bank Silvergate’s decision to wind down operations. Shares of SVB, whose operating segments include Silicon Valley Bank, …

Banks tumble as SVB ignites capitalization fears Read More »

By David Randall NEW YORK (Reuters) -Renewed hawkishness from the Federal Reserve is pushing investors to game out how a regime of “higher for longer” interest rates could weigh on U.S. stocks. Some believe they may be in for a slog. While stocks have managed to advance during periods when rates were around current levels, …

Investors fear inflation, higher yields may make U.S. equities ‘dead money’ Read More »

(Reuters) -Rising stock market prices pumped wealth back into Americans’ pockets at the end of last year, but declining property values, slowed credit growth, and a drop in corporate profits may show the influence of Federal Reserve rate hikes beginning to take hold. Household net worth rose 2% to $147.71 trillion in the fourth quarter …

U.S. household wealth rebounded to $147.7 trillion in 4th quarter Read More »

By Jamie McGeever ORLANDO, Florida (Reuters) -The U.S. Federal Reserve looks set to go full throttle again with its interest rate drive, leaving other central banks in a dilemma over whether to follow slavishly or risk another dollar surge. The history books suggest the latter. The Fed’s peers have been unwilling or unable to match …

In global rate race, few central banks ever lap the Fed: McGeever Read More »

(Reuters) – Canada’s Finance Minister Chrystia Freeland said on Wednesday she is preparing a budget, expected sometime this spring, with fiscal constraint in mind and a goal to avoid fueling inflation. “I am very conscious that we’re putting together this budget at a time of meaningful fiscal constraint and that fiscal constraint is exacerbated by …

Canada’s finance minister says she is preparing budget with fiscal constraint in mind Read More »

By Michael S. Derby NEW YORK (Reuters) – U.S. small businesses continued to mend from the coronavirus pandemic last year even as these firms faced considerable challenges from high inflation and scarce labor, a report released by the Cleveland Federal Reserve on behalf of the 12 regional central banks, said Wednesday. But even as these …

Fed report finds small firms continue recovery from pandemic hit Read More »

By Maria Martinez BERLIN (Reuters) – When Spanish Economy Minister Nadia Calvino found out she would be the only woman lined up for a photo call to promote the high-profile Madrid Leaders Forum last May, she walked out. “We can no longer consider it normal that 50% of our population is not present,” said Calvino, …

In economics, women’s voices still struggle to be heard Read More »