Connect with us

Published

on

The US economy’s strength and continued tight labor markets could warrant further Federal Reserve interest rate increases, Fed Chair Jerome Powell said on Thursday in remarks that appeared to push back against market expectations that the central bank’s rate hikes had reached an end.

“We are attentive to recent data showing the resilience of economic growth and demand for labor. Additional evidence of persistently above-trend growth, or that tightness in the labor market is no longer easing, could put further progress on inflation at risk and could warrant further tightening of monetary policy,” Powell said in remarks to the Economic Club of New York.

For inflation to durably return to the Fed’s 2% target, it “is likely to require a period of below-trend growth and some further softening in labor market conditions,” Powell said.

Since the Fed began raising interest rates in March of 2022 the unemployment rate has varied little from the current 3.8%, below the level most Fed officials feel is noninflationary, and overall economic growth has generally remained above the 1.8% annual growth rate Fed officials see as the economy’s underlying potential.

The Fed is “proceeding carefully” in evaluating the need for any further rate increases, Powell said, likely leaving intact current expectations that the Fed will leave its benchmark policy rate steady at the current 5.25% to 5.5% range at the upcoming Oct. 31-Nov. 1 meeting.

There is evidence the labor market is cooling, Powell said, with some important measures approaching levels seen even before the pandemic.

Powell also noted a number of fresh “uncertainties and risks” that need to be accounted for as the Fed tries to balance the threat of allowing inflation to rekindle against the threat of leaning on the economy more than is necessary.

Those include new geopolitical risks to the economy from the “horrifying” attack on Israel by the Palestinian militant Hamas group, Powell said.

“Our institutional role at the Federal Reserve is to monitor these developments for their economic implications, which remain highly uncertain,” Powell said. “Speaking for myself, I found the attack on Israel horrifying, as is the prospect for more loss of innocent lives.”

He also noted recent market-driven increases in bond yields that have helped to “significantly” tighten overall financial conditions.

“Persistent changes in financial conditions can have implications for the path of monetary policy,” Powell said, with higher market-based interest rates, if sustained, doing the same job as Fed rate increases.

But the Fed chair also voiced what has become a lingering theme at the central bank: That despite steady progress on lowering inflation, the battle isn’t over, with further rate increases still a possibility and the duration of tight monetary conditions still to be determined.

“Inflation is still too high, and a few months of good data are only the beginning of what it will take to build confidence that inflation is moving down sustainably toward our goal,” Powell said, citing the progress made since inflation peaked last year but also noting that one of the Fed’s main measures of inflation remained at 3.7% through September, nearly twice the central bank’s target.

“We cannot yet know how long these lower readings will persist, or where inflation will settle over coming quarters,” Powell said. “The path is likely to be bumpy and take some time…My colleagues and I are united in our commitment to bringing inflation down sustainably to 2%.”

The weeks since the Fed’s September meeting have been unusually turbulent, with worries about regional war in the Middle East rising and bond markets driving market interest rates higher, tightening the financial conditions faced by businesses and households somewhat independent of the Fed.

Data since the Fed’s last meeting also has shown US job growth reaccelerating unexpectedly, retail sales defying predictions of a slowdown and varying measures of prices offering inconsistent signals about whether inflation is on track to return to the Fed’s 2% target in a timely manner.

Powell’s appearance comes less than 48 hours before the beginning of the traditional quiet period ahead of the rate-setting Federal Open Market Committee’s meeting on Oct. 31-Nov. 1. While a handful of other Fed officials have appearances later on Thursday and Friday before blackout begins on Saturday, it is Powell’s remarks that will set the tone for policy expectations heading into that meeting.

Should they leave rates unchanged in two weeks as is now widely expected, it would mark the first back-to-back meetings with no rate increase since the Fed kicked off its hiking campaign in March 2022.

A Reuters poll of more than 100 economists published on Wednesday showed more than 80% expect no rate hike at the next meeting, and most also believe the Fed is done with rate hikes even though a majority of policymakers at their September meeting projected one more quarter-point increase was likely to be needed by year end.

Many in the poll offered the caveat that if progress on inflation stalls out or reverses, the Fed would not hesitate to resume raising rates.

Continue Reading

Sports

College Football Playoff impact: Players who stuck around

Published

on

By

College Football Playoff impact: Players who stuck around

Following two transfer portal windows and the NFL draft, college football fans might need Apple AirTags to track where their favorite players wound up.

This space is dedicated to those who decided to stay — commitments who boosted their teams’ College Football Playoff hopes. Penn State’s 2022 recruiting class could take up half the list: quarterback Drew Allar, running backs Nicholas Singleton and Kaytron Allen, defensive end Dani Dennis-Sutton and defensive tackle Zane Durant are all back from the Nittany Lions’ CFP semifinal run.

“When we all committed here coming out of our ’22 class, that was one of our goals coming in as Penn Staters, we wanted to compete for championships, both Big Ten and obviously national championships,” Allar said. “And obviously we had a taste of that last year, and we know how close you are, so it’s just building off that and trying to make another run at it.”

Here’s a look at 13 players from 11 schools and representing five different leagues whose decisions to either forgo the NFL draft or sidestep the portal have beefed up their respective teams’ playoff chances.

The decision: Forgo the 2025 NFL draft

What his return means: Nussmeier, a fifth-year senior, and offensive coordinator Joe Sloan are entering their second season together and aiming to improve upon a stellar debut, which will help the Tigers contend for the SEC title. Nussmeier threw for 4,052 passing yards last year, 29 touchdowns and 12 interceptions. Even if LSU can’t win the league, Nussmeier’s return can help the Tigers earn an at-large CFP bid — especially if he makes a similar jump to his predecessors, Joe Burrow and Jayden Daniels, who both won the Heisman Trophy in their second seasons in Baton Rouge. Nussmeier’s dad, Doug, will be nearby as the Saints’ offensive coordinator after winning a Super Bowl as the Eagles’ quarterbacks coach. With four new starters on the Tigers’ offensive line, there’s going to be an adjustment period, but if the “Nuss Bus” gets the time he needs, this should be a breakout season and his draft stock will rise with LSU’s playoff chances.


2. Drew Allar, QB, Penn State

The decision: Forgo the 2025 NFL draft

What his return means: Penn State has something Ohio State and Oregon don’t — a starting quarterback with playoff experience. The Nittany Lions might finally have the pieces in place to return to the top of the Big Ten and contend for a national title. Allar, who’s entering his third season as the starter, will be surrounded by NFL talent on the offensive line and in the running game, and could make a case to be Penn State’s first Heisman Trophy winner since John Cappelletti in 1973. Last season, he had 3,327 passing yards, the third most in a season in school history. With a second season under coordinator Andy Kotelnicki, and more options at wide receiver — plus a still-loaded tight end room — there will be no shortage of options for Allar to push the ball downfield more.


The decision: Forgo the 2025 NFL draft

What his return means: On paper, Clemson has enough offensive firepower returning to elevate the Tigers into a deeper CFP run than their first-round exit in 2024 and they should have the Heisman-contending quarterback the program has desperately missed. Klubnik leads a Clemson offense that is No. 1 in the FBS in returning production (81%), according to ESPN’s Bill Connelly. Klubnik reestablished himself as one of the top quarterbacks in the country following a down season in 2023. Last year, his 308 completions, 3,639 passing yards and 36 passing touchdowns all ranked among the best seasons in program history. As he enters his third season as a starter under offensive coordinator Garrett Riley, Klubnik’s understanding of the offense and his relationship with Riley has grown, positioning Klubnik for what should be his best season with the Tigers.


4. Nicholas Singleton/Kaytron Allen, RBs, Penn State

The decision: Forgo the 2025 NFL draft

What their return means: The nation’s best running back duo returns intact, and they’ve got playoff experience along with familiarity and knowledge of the offense in coordinator Andy Kotelnicki’s second season, all of which should boost the Nittany Lions’ hopes of winning the Big Ten and returning to the CFP. Singleton and Allen were projected by ESPN’s Mel Kiper Jr. to be the Nos. 5 and 6 running backs available in the 2025 draft after becoming the first combo in Penn State history to each have at least 1,000 rushing yards in the same season. Penn State ran for more than 200 yards in 10 games last season, and the Nittany Lions led all Power 4 teams and Notre Dame in rushing with 3,237 yards. Of course, it helps to have 6-foot-4, 350-pound offensive guard Olaivavega Ioane blocking.


The decision: Avoid the transfer portal

What his return means: Sellers absolutely drew interest from other teams in November and December, but he re-signed quickly with the Gamecocks — and his commitment could be the difference between receiving or not receiving a CFP bid. The same can be said for edge rusher Dylan Stewart, who also attracted attention after 10.5 TFLs and 6.5 sacks last year. South Carolina made a playoff case with Sellers leading the offense last year, but the CFP selection committee didn’t rank the No. 15 Gamecocks high enough for inclusion. He improved throughout the season last fall, increasing his Total QBR from 52 in his first six games to 81 over the last six. This year, he’ll be working with Mike Shula, the son of Pro Football Hall of Fame coach Don Shula.


The decision: Avoid the transfer portal (twice)

What his return means: Illinois can be a CFP sleeper team by competing for the Big Ten title and earning an at-large bid if it doesn’t win the league. The importance of Illinois retaining its starting quarterback after a strong spring push from Tennessee can’t be understated. The Illini have a chance to be this year’s Indiana — a Big Ten contender with a manageable schedule that can play its way into the selection committee’s rankings with a standout quarterback and his supporting cast. After public speculation he might transfer for his final year of eligibility, Altmyer announced in December he would return to the team. He did it again in April, following the drama at Tennessee. Altmyer passed for 2,543 yards, 21 touchdowns and only five interceptions last year, leading Illinois to a 9-3 regular season and a top-20 ranking in the Associated Press poll.


The decision: Avoid the transfer portal

What his return means: K-State can win another wide-open Big 12 race and earn an automatic bid into the playoff as one of the five highest-ranked conference champions. Johnson never entered the transfer portal, but he attracted interest, especially after Tennessee lost Nico Iamaleava. “We got a damned wall built around him,” a K-State source told ESPN. “They better bring the Tennessee National Guard.” Expectations will be higher this year for Johnson, who threw for 2,712 passing yards, 25 touchdowns and 10 interceptions in his first full season as a starter last year. He also had 605 rushing yards and seven touchdowns. With the depth at wide receiver, K-State’s passing game could flourish this fall.


The decision: Forgo the NFL draft

What his return means: A veteran offensive line that includes four returning starters from a group that allowed the third-fewest sacks in the SEC last season (20). It also means better protection for quarterback DJ Lagway, who could be one of the best in the country if he can stay healthy — and Lagway’s health is the most critical component to Florida’s success this year. According to Pro Football Focus, Slaughter allowed one sack, one QB hit, six QB hurries and eight pressures — with only three penalties — in 728 snaps. The Gators again have one of the toughest schedules in the country, and Slaughter is the kind of veteran they need up front to help Lagway survive it.


The decision: Forgo the NFL draft

What his return means: That the Buckeyes didn’t lose everyone from their national championship defense. Styles had an outstanding 2024 season with 100 tackles, 11 tackles for loss, six sacks, a forced fumble, a fumble recovery and five passes defended. His draft stock rose as the Buckeyes ascended through the CFP bracket, but he told reporters at their national championship celebration that he “wasn’t ready to leave yet.” Styles still has room to improve and grow, and his draft stock will continue to rise. He’s now in a position of leadership as one of just three returning starters on defense and the most experienced player among the rising seniors.


The decision: Forgo the NFL draft

What his return means: The Ducks retained a 6-foot, 175-pound receiver who played a key role in advancing them to the top seed in the 2024 CFP, and they’ll need his help again — especially with the departure of Tez Johnson, who entered the NFL draft after leading Oregon with 83 receptions for 898 yards and 10 touchdowns his senior season. Stewart is Oregon’s only returning receiver who had more than 30 receptions in 2024. Stewart, who transferred to Oregon from Texas A&M, had 48 catches last season for 613 yards and tied for the team high with five receiving touchdowns. He was Oregon’s second-most targeted receiver in an offense that finished 13th nationally in passing yards. Stewart’s role will increase, and his decision to return will help the Ducks’ new starting quarterback, which could be former UCLA QB Dante Moore.


The decision: Forgo the NFL draft

What his decision means: The Longhorns have leadership, playoff experience, NFL talent and a familiar face returning to a defense that again has to replace multiple starters from the previous season. Taaffe, a rising senior who ascended from walk-on to All-American, had 71 tackles, 6 TFLs, 2 sacks, 2 interceptions, 10 passes defended, 1 forced fumble and 1 fumble recovery. His decision to return was driven in large part by the desire to win a national title at Texas and the devastation he said he felt following the loss to Ohio State. Taaffe will get another chance at the Buckeyes in the season opener.


The decision: Withdrew name from portal

What his return means: The Broncos were able to retain top talent from their 2024 CFP run, which featured one of the nation’s top defensive fronts, a huge boost for coach Spencer Danielson as he tries to own the Group of 5’s guaranteed spot as one of the nation’s five highest-ranked conference champions. Fely took visits to Miami and Cal before announcing on social media he planned to return to Boise. Fely, who spent the past three seasons at Boise State, started 28 games in the past two seasons. He had nine TFLs last year and 5.5 sacks.

Continue Reading

Sports

Boise State’s Danielson gets deal through 2029

Published

on

By

Boise State's Danielson gets deal through 2029

Boise State has finalized a new contract for coach Spencer Danielson, in the wake of leading the Broncos to the College Football Playoff in his first full season as their head coach, the school announced Tuesday.

Danielson has signed a five-year deal through the 2029 season, and sources said it will double his salary, as he’ll average $2.2 million over the course of the deal.

Danielson, 36, led Boise State to a 12-2 record in 2024, which included a Mountain West title and an appearance in the Fiesta Bowl against Penn State.

He has led Boise State to a pair of Mountain West titles, including one during his interim season after taking over in November 2023.

Danielson is 15-3 overall. He lost to UCLA in the LA Bowl, Oregon in the regular season in 2024 and Penn State in the CFP.

“Spencer has proven to be the right leader at the right time for Boise State football and our university as a whole,” director of athletics Jeramiah Dickey said in a statement.

“I truly believe it’s my calling to be the head coach at Boise State,” Danielson said in the statement.

Danielson’s deal will start at $2 million per year this season and increase by $100,000 over the course of the five years. The total deal will end up at nearly $11 million over the five years. He is expected to be the second-highest paid coach in the Mountain West behind UNLV’s Dan Mullen, who is set to make $3.5 million this year. Utah State’s Bronco Mendenhall is also set to make $2 million next year.

It’s a significant jump from Danielson’s original contract, which was a total of $6.5 million over five years after he earned the job with a strong run as the interim.

Danielson was promoted from defensive coordinator to Boise State’s interim coach in the wake of the firing of coach Andy Avalos. From there, Boise State won three games to emphatically to end the regular season, including a blowout of UNLV in the Mountain West title game.

Dickey saw how the team responded to Danielson and hired him as the full-time coach. Boise State parlayed that momentum to a run to the playoff, which included earning a No. 3 seed and a bye. Boise State logged wins over Washington State and twice beat UNLV to earn the Mountain West title last year.

Behind star tailback Ashton Jeanty, the No. 6 pick in the NFL draft, Boise State went undefeated in conference play. Jeanty staying in Boise for the 2024 season was Danielson’s biggest recruiting win, as Jeanty finished as a Heisman Trophy finalist.

Since the 2024 season ended, Boise State has done a strong job retaining players in the wake of its playoff run. The school has also shown significant commitment to both coordinator pay and staff salary pool.

Danielson was named the Mountain West Coach of the Year in 2024 and was a finalist for multiple national coaching honors. He began at Boise State as a graduate assistant in 2017.

Continue Reading

Sports

Pac-12 reaches TV deals for OSU, WSU games

Published

on

By

Pac-12 reaches TV deals for OSU, WSU games

The Pac-12 has finalized its television partnerships for the 2025 season, with The CW, ESPN and CBS combining to show the 13 home games involving Oregon State and Washington State.

“Having Pac-12 football featured across three leading broadcasters in CBS, The CW and ESPN in 2025 will provide tremendous exposure to showcase Oregon State, Washington State and our brand in the Pac-12’s final season before expansion,” Pac-12 commissioner Teresa Gould said in a statement. “We are thrilled to continue our partnership with The CW, to welcome a new partner in CBS Sports and to see a return of Pac-12 football on ESPN.”

The CW, which had the rights to all the home games for OSU and WSU last season, will retain most of the 13-game allotment with nine games on its air, with the other four split between CBS and ESPN.

ESPN will show Cal at Oregon State on Aug. 30 (7:30 p.m. PT) and Houston at Oregon State on Sept. 26 (7:30 p.m. PT), while CBS has the Apple Cup between the Cougars at Washington on Sept. 20 (4:30 or 5 p.m. PT) and the first of two matchups between OSU and WSU on Nov. 1 (4:30 or 5 p.m. PT).

The announcement did not include any details about anything 2026 season and beyond, when Boise State, Colorado State, Fresno State, Utah State and San Diego State will join the conference. However, Gould has made it clear over the past several months that the conference was looking for partners for the 2025 season that indicated they were not interested in only a short-term affiliation.

Before the 2026 season, the Pac-12 also needs to add at least one more football-playing member to fulfill NCAA requirements.

Continue Reading

Trending