December 18, 2013 |
WASHINGTON - The Federal Reserve took its first step toward curtailing its unprecedented efforts to boost the economic recovery - a sea change in policy that over time will result in interest rates drifting higher for businesses and consumers alike. After months of skittishness among policymakers and intense anticipation across the globe, the central bank said Wednesday that it would pare its large bond-buying stimulus program by $10 billion a month, beginning next month. The decision marks what is expected to be the start of a gradual unwinding of the Fed's historic efforts to revive an economy debilitated by the financial crisis six years ago. The announcement was greeted with cheers on Wall Street and by many others in the financial industry.
December 16, 2013 |
WASHINGTON - After six years of a gloomy recession and shaky recovery, the U.S. economy looks poised to regain its glow next year with stronger job growth, bigger income gains for more people and a resurgence of homeowners moving up into new digs. The overall economic outlook for the U.S. has improved sharply in recent weeks amid a string of surprisingly robust economic data: Businesses have stepped up hiring, new factory orders from abroad are at a two-year high and consumers have been flocking to car lots and restaurants.
December 5, 2013 |
WASHINGTON -- The economy grew at a surprisingly robust 3.6% annual rate from July through September, much faster than initially reported, the Commerce Department said Thursday. But much of the improvement was driven by a large buildup in inventories by businesses that is unlikely to continue. The growth in total economic output, or gross domestic product, in the third quarter of the year was the best since the first quarter of 2012. It was much higher than the 2.8% annual rate originally reported by the Commerce Department last month.
December 4, 2013 |
Regional economies throughout the country got a boost from manufacturing and the housing recovery this fall, but overall the nation's economic growth was modest to moderate. Manufacturing, which expanded in most regions of the country, was led by gains in motor vehicle and high-tech production, according to a survey released Wednesday by the Federal Reserve. The survey, the so-called beige book, covers the nation's 12 regional Federal Reserve banks. The survey time period covered early October to mid-November.
November 19, 2013 |
WASHINGTON - A leading international group on Tuesday cut its forecast for global economic growth through next year, warning that fiscal and monetary policy decisions looming in the U.S. could derail the recovery. The Organization for Economic Cooperation and Development said world economic output would expand 2.7% this year and 3.6% in 2014. Those figures are down from the group's May forecast of 3.1% growth this year and 4% next year. The forecast for U.S. growth also was cut, to 1.7% this year from May's 1.8%.
October 22, 2013 |
WASHINGTON - A top Federal Reserve policymaker said the central bank was unlikely to start reducing a key stimulus program for "a few months" because the partial government shutdown has muddied the economic picture. Charles Evans, president of the Federal Reserve Bank of Chicago, said Monday that he would need to see strong jobs reports and signs that the nation's economic output, or gross domestic product, was on the upswing before he would support tapering the monthly $85-billion bond-buying program.
October 22, 2013 |
There are few things the good people of Shanghai love more than shopping. And there were few shopping centers as luxurious as the city's Jinjiang Dickson Center. When it opened in 1994, the Jinjiang was China's first luxury retail mall, well situated among the leafy London plane trees of the former French Concession along the auspiciously named Changle Lu, the Street of Eternal Happiness. Across the street from the mall stood the hotel where, in 1972, President Nixon and Chinese Premier Chou En-lai signed the treaty that would formally open trade between what are now the two largest economies on the planet.
October 14, 2013 |
There are so many to choose from, but these four take the cake. In no particular order: 1. The Vitter amendment. Concocted by David Vitter (R-La.), this majestically cynical measure is based on the common misconception that members of Congress and their staffs are "exempted" from the Affordable Care Act. It would prohibit the government from paying for any part of the health insurance for federal legislators or their staff. The facts of the "exemption" are these: During the 2010 debate over the ACA, Sen. Chuck Grassley (R-Iowa)
September 30, 2013 |
WASHINGTON - The last time the federal government shut down, for three weeks in the winter of 1995-96, the American economy felt a jolt but recovered quickly. Things don't look anywhere near as promising this time around. The nation is currently more than four years into an economic expansion with some momentum behind it. That also was the case in 1995. But this time, things are a lot more fragile. Shutdown Q&A: How long? What's the impact? Americans continue to suffer from a relatively high unemployment rate of 7.3%, which is about 2 percentage points higher than in December 1995.
September 27, 2013 |
WASHINGTON -- Americans' incomes rose the most since February last month, helping increase the pace of consumer spending and providing a positive sign for economic growth this fall. Personal income increased 0.4% in August compared with an upwardly revised 0.2% the previous month, the Commerce Department said Friday. Consumer spending rose 0.2% in August compared with a 0.1% rise in July. The income growth was in line with analyst expectations; consumer spending was slightly below forecasts of a 0.3% increase.