Canada’s inflation falls to 7% in August as gas prices fall but food costs continue to rise

Canada’s annual inflation rate fell for the second consecutive month in August, a sign that the Bank of Canada’s campaign to curb price growth through much higher lending rates is having its intended effect. The consumer price index (CPI) rose 7 percent in August from a year earlier, Statistics Canada said in a report on … Read more

Fed must raise interest rates by 150 basis points: Wells Fargo

It’s a move that would likely cause panic on Wall Street. But Michael Schumacher of Wells Fargo Securities suggests the Federal Reserve is raising interest rates too slowly, telling CNBC’s “Fast Money” that he would seriously consider a 150 basis point hike this week if he were chairman Jerome Powell. “The Fed knows the destination. … Read more

Some Millennials, Gen Zers Are Leaving Investment Accounts Due To Inflation

According to a recent survey by Ally Financial, it has been a difficult year for the stock market, with some consumers closing investment accounts due to inflation and volatility issues. As investors brace for another significant Federal Reserve rate hike, inflation is still hovering around its 40-year high and the S&P 500 is down nearly … Read more

Layoffs are on the horizon, some economists say

From soaring inflation to a red-hot job market and negative gross domestic product in between, economists are divided on the health of the U.S. economy. “There’s been a lot of talk lately that we’re in a recession. We’ve got two quarters of GDP falling, which often happens with the recession. … But we’ve got job … Read more

2-Year Treasury Yields Hit New 15-Year High

Treasury yields rose Tuesday as traders await the Federal Reserve’s decision on rate hikes, expected to be announced Wednesday. The policy-sensitive 2-year Treasury gained about 3 basis points, reaching 3.977% – a level it hadn’t reached since late 2007. The 10-year Treasury yield rose 5 basis points to 3.539% at 6:15 a.m. ET, trading near … Read more

Elon Musk warns again about future problems

Elon Musk is concerned about the future of the economy. The CEO of electric car maker Tesla (TSLA) has in recent days reiterated its fears about what lies ahead for the economy as the Federal Reserve prepares to raise interest rates again in hopes of curbing inflation to its 40-year high. The central bank is … Read more

CNBC’s Joe Kernan criticizes Biden adviser for painting ‘beautiful picture’ about struggling economy

CNBC host Joe Kernen called on Biden’s economic adviser Heather Boushey on Monday during a heated discussion over government messages about the struggling US economy. The exchange on CNBC’s “Squawk Box” came after Boushey, a member of the White House Council of Economic Advisers, championed the government’s progress in fighting inflation. Kernan claimed the Biden … Read more

Westpac now expects an additional rate hike next year, bringing the February spot rate to 3.6 percent

Borrowers are in for even more bad news as Westpac expects an additional interest rate next year to tackle its worst inflation in three decades. The bank’s chief economist Bill Evans has revised Westpac’s forecasts to ensure that the Reserve Bank of Australia will raise its spot interest rate to a 10-year high of 3.6 … Read more

Biden declares the pandemic over. People behave like this too

CNN — President Joe Biden made several unequivocal and controversial statements in an interview with “60 Minutes” that aired Sunday. Amongst them: There was some ambiguity about a number of other topics. His plan is to be re-elected in 2024, but no final decision has been made yet. About the classified documents found at Mar-a-Lago, … Read more

With inflation still high, the Fed may be a long way from stopping rate hikes

Rising interest rates have only moderately dented inflation so far and may need to move significantly higher, according to Morgan Stanley. Falling gasoline prices over the past two months have helped keep top-line inflation under control. But that trend has masked the rises in the cost of living that have spread to other areas. For … Read more