Tax expert warns over ‘ripple effects’ of Baltimore bridge collapse: Economic damage ‘hard to comprehend’
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The Francis Scott Key Bridge in Baltimore collapsed into the Patapsco River on Tuesday due to a ship strike, causing significant economic damage. Tax revenue expert and CEO Niko Spyridonos warns that the impact of the bridge collapse is 'hard to comprehend' and will have ripple effects on the local economy, governments, and the rest of the country. The port of Baltimore is the busiest in the US for car shipments, handling over 750,000 vehicles in 2023, and is also the largest US port for handling farm and construction machinery. The bridge collapse has completely cut off all five terminals of the Port of Baltimore, impacting the logistics of exports and imports. Redirecting ships and repairing the bridge will take months. The disaster also affects tax revenue going to Baltimore's government and the surrounding county, as property taxes fund local agencies and essential services. The government may consider measures such as tax discounts or exemptions for the affected area. Economists warn that the impact on the Baltimore economy will be substantial and may affect the overall supply chain. The economic effects may also be felt by the average American consumer, leading to higher grocery bills and gas prices. The longer it takes to rebuild the bridge, the worse the impact will be.
#Baltimore #BridgeCollapse #EconomicDamage #TaxRevenue #PortOfBaltimore
California leads nation in unemployment after slower job growth than anticipated
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California now has the highest unemployment rate in the nation at 5.3%. Federal data shows that California added only 50,000 jobs between September 2022 and September 2023, much less than the initially reported 300,000. The state lost 2.7 million jobs at the start of the pandemic but has since added 3 million. California is also facing a multibillion-dollar deficit, estimated to be as high as $73 billion. In contrast, conservative states like Florida and Texas have lower unemployment rates and budget surpluses.
#California #Unemployment #JobGrowth #StateBudget
Pride flags banned at US embassies as a result of $1.2 trillion spending package
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Pride flags can no longer be flown at U.S. embassies as a result of the $1.2 trillion spending package signed by President Biden. The ban was included in the 1,012-page package and states that none of the funds appropriated or otherwise made available by this Act may be obligated or expended to fly or display a flag over a facility of the United States Department of State. The flying of pride flags at U.S. embassies has been a topic of debate between Democrats and Republicans for years. They were first flown at U.S. embassies during President Obama's administration, then banned by the Trump administration in 2019, and reinstated by the Biden administration in 2021. The move did not come as a surprise to lawmakers or LGBTQ advocates. The White House said it would seek a way to repeal the ban.
#PrideFlags #UsEmbassies #SpendingPackage #Democrats #Republicans #PresidentBiden #PresidentObama #TrumpAdministration #BidenAdministration #LgbtqAdvocates
US economy riding on 'strong tailwind' of GDP growth: Scott Ladner
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Horizon Investments chief investment officer Scott Ladner predicts the Fed will cut rates three to five times throughout 2024.
#UsEconomy #GdpGrowth #InterestRates
Why people are 'worried' about the state of US economy
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Economist Steve Moore discusses an increase in credit card and auto loan delinquencies and McDonald's' inflated prices on 'The Bottom Line.'
CBO report says US deficit to skyrocket in next decade
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The Congressional Budget Office (CBO) released a report projecting that federal budget deficits will rise to over $2 trillion per year in the next decade. The baseline in the CBO's annual budget and economic outlook covers the 2024 to 2034 period and projects that the deficit will rise from about $1.6 trillion in 2024 to $2.6 trillion in 2034, with deficits topping $2 trillion each year after 2031. As a percentage of gross domestic product (GDP), the deficit rises from 5.6% of GDP in 2024 to 6.1% of GDP in 2034. The CBO notes that deficits at this level have only been seen during and shortly after World War II, the 2007-2009 financial crisis, and the coronavirus pandemic. The growth of net interest costs, which are incurred through servicing the national debt, is a major contributor to the deficit. Maya MacGuineas, president of the nonpartisan Committee for a Responsible Federal Budget, calls for meaningful steps to control the deficit and put the national debt on a more fiscally sustainable trajectory.
#UsDeficit #FederalBudget #Cbo #CongressionalBudgetOffice #Economy #NationalDebt
https://www.foxbusiness.com/politics/cbo-report-says-us-deficit-will-skyrocket-next-decade
This is a lot of good news to come for the US economy: Gargi Chaudhuri | Fox Business Video
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Gargi Chaudhuri, Head of iShares Investment Strategy, Americas at BlackRock, states that stocks are 'going to be just fine' for the US economy on 'The Claman Countdown'.
Stuart Varney: Voters don't trust Biden's economy, despite good news
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Stuart Varney argues that despite good news such as job growth, cooling inflation, and an expanding economy, voters don't trust Biden's economy. According to a recent NBC poll, voters trust Trump over Biden by 22 points when it comes to the economy. Varney believes that people focus on their own financial situations rather than big-picture numbers, such as economic growth or unemployment rates. The cost of living, unaffordable rents, and real estate unaffordability are the concerns that voters discuss at the kitchen table. Varney also points out that the wealthy, who tend to vote Democrat, are doing well with record-high asset values, while the wealth gap continues to expand. He suggests that voters remember Trump as the president who produced a spectacular economy and narrowed the income gap.
https://www.foxbusiness.com/politics/stuart-varney-voters-trust-bidens-economy-good-news
U.S. heads toward slow recovery with 353,000 jobs added in January
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The U.S. Bureau of Labor Statistics reported that nonfarm payroll employment rose by 353,000 in January, while the unemployment rate remained unchanged at 3.7%. Industries that saw the largest gains in jobs included business services, health care, retail, and social assistance. The professional and business services industry added 74,000 jobs, and healthcare jobs rose by 70,000. However, the mining, oil, and quarrying industries experienced a downward trend in jobs. Despite fears of a recession, the U.S. economy beat expectations in Q4 of 2023 with a 3.3% increase in real gross domestic product (GDP). Inflation has slowed, but prices remain high, and the Fed is still holding off on cutting interest rates. Home prices in the U.S. averaged over $400,000 and rose by 3.7% in December 2023.
#U.s.Economy #JobGrowth #Unemployment #Gdp #Inflation #InterestRates #HomePrices
https://www.foxbusiness.com/personal-finance/jobs-added-january-unemployment
The Fed sees the US economy is going into ‘extra innings’: Tom Gimbel
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Tom Gimbel, founder and CEO of LaSalle Network, discusses the state of the U.S. economy and reacts to the January jobs report. The Federal Reserve believes that the U.S. economy is entering a new phase, referred to as 'extra innings'.
#UsEconomy #FederalReserve #TomGimbel #JanuaryJobsReport
US job growth unexpectedly jumps in January as economy adds 353,000 new positions
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US job growth in January exceeded expectations as the economy added 353,000 new positions, according to the Labor Department. This figure surpassed the forecasted gain of 180,000 jobs. The unemployment rate remained steady at 3.7%. Average hourly earnings rose 0.6% last month, double what economists expected, and wages increased by 4.5% on an annual basis. The report also included upward revisions to job growth in November and December. The strong job market performance reduces the likelihood of an imminent rate cut by the Federal Reserve. The stock futures fell after the report, as investors' hopes for a March rate reduction were dashed. Job gains were seen across various sectors, including professional and business services, health care, retail trade, government, and manufacturing.
#UsJobGrowth #Economy #LaborDepartment #UnemploymentRate #WageGrowth #FederalReserve #InterestRates #Inflation #StockMarket
https://www.foxbusiness.com/economy/us-jobs-report-january-2024