US inflation rose 3.1% in November, stubbornly above Fed’s target

Published

5 months ago

December 14, 2023

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US inflation rose 3.1% in November, stubbornly above the Federal Reserve’s long-term target and bolstering the case for central bankers to keep interest rates at current levels this spring.

The Consumer Price Index — which tracks changes in the costs of everyday goods and services — was down slightly from October’s 3.2% reading, in line with economists’ forecasts, and was its lowest monthly reading since June.

Nevertheless, it remained well above the 2% pace eyed by the Fed — a figure the US economy hasn’t seen since 2012 — as central bankers have ratcheted interest rates to a 22-year high, between 5.25% and 5.5%, in hopes of an economic slowdown.

The Bureau of Labor Statistics attributed the second consecutive month-over-month slowdown to the gasoline index, which saw a 6% decline from last month.

Core CPI a number that excludes volatile food and energy prices and serves as a closely watched gauge among policymakers for long-term trends increased 0.2% in November after rising 0.3% in October.

Per AAA figures, gas averages at about $3.14 in the US on Tuesday, down from the $3.35-per-gallon average when last month’s CPI report was released.

The shelter index, which tracks housing costs, rose 0.4%, “offsetting a decline in the gasoline index,” the Bureau of Labor Statistics said.

Fed Chair Jerome Powell has kept economists guessing about whether another rate hike is impending, though central bankers themselves have even seemed to be wrestling with conflicting economic signals.

In a hawkish speech earlier this month, he insisted that central bankers will continue their tightening regime until the job is done and inflation is once again 2%.

We are prepared to tighten policy further if it becomes appropriate to do so, he said during a fireside chat at Spelman College in Atlanta.

The full effects of our tightening have likely not yet been felt,” Powell insisted.

However, just days earlier he seemed to take a more cautious approach to raising interest rates moving forward, noting that central bankers were “proceeding carefully,” according to minutes of the Oct. 31 to Nov. 1 session, when the Fed ended up holding the benchmark overnight interest rate steady in the current 5.25% to 5.5% range.

Meanwhile, the CME FedWatch Tool now projects a more than 98% chance that the Fed doesnt raise rates again this year — up from 85% last month.

Economists and prominent Wall Street executives have been worried that without a rate cut soon, the economy could be headed for a so-called “hard landing” — where interest rates are taken so high that it spurs a recession — especially following November’s strong jobs report that signaled the economy’s momentum has continued despite the Fed’s tightening cycle.

US employers added a higher-than-expected 199,000 jobs last month, well above the 180,000 jobs economists expected to be added, according to Refinitiv data.

However, the unemployment rate edged down to 3.7% a sign that the economy could skirt a recession in favor of a soft landing.

Lower hiring stints combined with higher-than-expected unemployment historically signals a recession.

Entertainment

Olivia Rodrigo’s Manchester Co-op Live gigs cancelled as venue faces fresh chaos

Published

3 hours ago

May 2, 2024

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Major US star's Manchester Co-op Live gigs postponed as new venue faces fresh chaos

The new Co-op Live in Manchester has been hit by further problems before it’s even fully opened – with tonight’s gig cancelled and two events this weekend postponed.

Concertgoers were supposed to have been allowed into the arena at 6.30pm tonight and A Boogie Wit Da Hoodie was due to perform at 8pm, according to the venue’s website.

However, a post on the venue’s social media at 6.40pm told fans the gig had been cancelled, after fans had started to gather.

Those planning to go to Olivia Rodrigo‘s dates at the arena this weekend immediately shared concerns over whether they would go ahead and, within hours, their fears were confirmed.

“Due to an ongoing venue-related technical issue, the scheduled performances of Olivia Rodrigo’s Guts World Tour on May 3 and 4 May are being postponed,” the venue said in a statement on X.

“Ticket holders can either hold onto their tickets or obtain a refund at point of purchase.”

Her Co-op Live gigs were two of the 10 UK dates on her European and US tour. The new dates are yet to be announced.

In an Instagram post after A Boogie Wit Da Hoodie’s last-minute cancellation, the US rapper said issues were down to “something [that] happened with the venue while I was at soundcheck”.

“We are working on rescheduling in the next few days,” he added. “I’m heated about the situation too, but safety first.

“Manchester, I got you. Just stay tuned for further info.”

Co-op Live bosses had sought to reassure fans that tonight’s show would go ahead and shared instructions for attendees just hours before the cancellation.

With a capacity of 23,500, the Co-op Live will be the UK’s largest arena when it’s fully open and was built at an estimated cost of £365m.

Headaches for the venue became clear last month when the capacity at a test event was reduced with just hours’ notice.

Rick Astley had been due to perform to 11,000 arena workers and VIPs on 21 April but at the last minute, thousands of people saw their tickets cancelled.

The venue was due to fully open with Peter Kay stand-up shows on 23 and 24 April, but these dates were pushed back too amid behind-schedule tests and safety concerns.

Kay’s fans were initially told the shows would take place just days later – but they were then postponed again, for a month’s time.

US rock duo The Black Keys were among the acts due to take to the stage during Co-op Live’s opening week. Their gig was previously pushed back to 15 May.

Co-op Live’s general manager Gary Roden announced his resignation last week following the initial setbacks.

Entertainment

Harvey Weinstein back in court as prosecutors seek retrial after rape conviction overturned

Published

3 hours ago

May 2, 2024

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Harvey Weinstein back in court as prosecutors seek retrial after rape conviction overturned

US prosecutors plan to retry Harvey Weinstein after his 2020 conviction for rape was overturned in New York.

The disgraced movie mogul, who has been in jail for four years, appeared in a Manhattan court on Wednesday for the first time since that conviction was overturned by an appeals court last week.

A retrial could happen as soon as September.

“We believe in this case and will be retrying this case,” prosecutor Nicole Blumberg said.

In April, the state’s highest court ruled that Weinstein did not receive a fair trial – finding the hearing was prejudiced by “egregious” improper rulings by the judge, including a decision to let women testify about allegations that were not part of the case.

Just days after the landmark #MeToo ruling was overturned, he was taken to hospital, with his lawyer Arthur Aidala describing him as “somewhat of a train wreck health-wise” but still “sharp as a tack” mentally.

Weinstein, 72, has had cardiac issues, diabetes, sleep apnoea and eye problems for some time, and was “in constant pain”, Mr Aidala said.

He entered court in a wheelchair pushed by a court officer for the preliminary hearing on Wednesday.

Weinstein had been serving a 23-year sentence after being convicted of sexually assaulting former Project Runway production assistant Mimi Haley in 2006 and raping former aspiring actress Jessica Mann in 2013 following the landmark 2020 trial in New York.

He remains behind bars as he was also convicted in Los Angeles in 2022 of another rape. He was sentenced to 16 years in prison for that crime, and is also appealing against this conviction.

Ms Blumberg told the judge that Ms Mann, who was in court, is prepared to testify again and has said she wants everyone to know that the defendant “may have power” but “she has the truth”.

Ms Haley’s lawyer, Gloria Allred, told reporters that her client has not decided whether she will give evidence a second time, as she found the experience traumatising and painful. She was not in court, Ms Allred said.

Once considered the most powerful man in Hollywood, the first allegations against Weinstein emerged in 2017.

Dozens of women came forward claiming he bullied, pressured, coerced, or overpowered them while demanding sexual favours.

Gwyneth Paltrow, Salma Hayek, and Lupita Nyong’o all accused him of sexual harassment, while actresses Asia Argento and Rose McGowan were among others who accused him of rape.

They are among more than 80 women who have accused him of sexual misconduct.

He was also accused of reaching settlements to keep the stories quiet.

Weinstein has admitted his behaviour “caused a lot of pain”, but has maintained his innocence throughout, saying any sexual activity was consensual.

Sports

Canes GM positive on DeAngelo, Pesce injuries

Published

3 hours ago

May 2, 2024

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Canes GM positive on DeAngelo, Pesce injuries

Associated Press

May 1, 2024, 02:52 PM ET

The Carolina Hurricanes have avoided a major injury concern for defenseman Tony DeAngelo while veteran blueliner Brett Pesce is nearing a return from a lower-body injury suffered in the second game of the playoffs.

Team president and general manager Don Waddell said Wednesday that Pesce has shed a walking boot, is doing work to return and should play at some point in the second-round series against the Presidents’ Trophy-winning New York Rangers.

“If everything goes as expected, he shall play games this round,” Waddell said in a Zoom call with reporters. “Maybe not right off the start, but will play games in this round.”

Pesce came up hobbled in a noncontact situation in Game 2 of the first-round series win against the New York Islanders and didn’t play again. DeAngelo took Pesce’s spot opposite Brady Skjei on Carolina’s deep blue line only to exit late from Tuesday’s Game 5 clincher after taking an uncalled slash to the arm from Pierre Engvall near the boards.

Coach Rod Brind’Amour, who had praised DeAngelo’s play in jumping into the lineup, expressed concern afterward while saying the defenseman was having X-rays. But Waddell said Wednesday those came back clear.

“He’s feeling better today, so that shouldn’t be an issue at all,” Waddell said.

DeAngelo had worked in the top pairing with Jaccob Slavin in his first stint with the team in 2022. This time, he had been a fill-in for Carolina’s strong top six, which typically has Slavin working with Brent Burns, the Pesce-Skjei combination and last summer’s signing, Dmitry Orlov, paired with Jalen Chatfield.

He had played just 11 of 45 regular-season games since the start of 2024 before jumping in for Pesce. DeAngelo has been minus-1 with Carolina through three playoff games while playing 17:17 of ice time, tallying eight shots and taking a 2-minute roughing penalty in Game 5 after Anders Lee crashed the net while knocking Skjei into the goal and bumping netminder Frederik Andersen.

DeAngelo went after Lee, and Andersen even joined DeAngelo in that post-whistle tussle behind the net.

“When I’m in there, I’m looking to be in there to make a difference,” DeAngelo said a day earlier. “Be a part of what’s going on, part of the scrum, part of the chirping — whatever it may be. That’s the way I kind of roll with my game. It makes me play better.”

The injuries have certainly made Orlov’s signing even more valuable after it seemed almost like a luxury addition at the time for a team with established veterans at the position. Orlov scored in Game 3 against the Islanders and is averaging 21:25 of ice time in five playoff games.

“It might have been a luxury when we started the year,” Waddell said. “But we also know it’s a long year and you’re going to run into situations like we’re in now. And to have a guy like that be able to step up and play the minutes he’s playing is a big benefit for us.”