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Soaring grocery bills and restaurant tabs are eating up more of Americans’ paychecks than they have in three decades, according to the federal government.

In 2022, US consumers spent 11.3% of their disposable income on food as raging inflation jacked up prices on everything from bacon, eggs and milk at local supermarkets to burgers and burritos at fast-food joints, according to data from the Agriculture Department.

That’s the most since 1991, when President George H. W. Bush was ramping up the first Gulf War, Nirvana’s “Nevermind” was topping the charts — and food purchases accounted for 11.4% of shoppers’ disposable income, the USDA said.

The problem is showing no signs of letting up as restaurants, retailers and manufacturers alike continue to grapple with soaring labor costs and the price of key commodities including beef and cocoa continues to ratchet higher.

According to the USDA, food-at-home prices increased another 5% last year compared to 2022 — or double the historical average rate at which retail food price inflation rose per year between 2003 and 2022.

Recently, those increases have slowed — up 1.2% in January compared with a year ago.

Still, that’s leaving shoppers with punishing tabs for everything from meat to produce to spaghetti sauce.

Meanwhile, “away from home” food prices at restaurants surged a staggering 5.1% over the same time period, according to the Consumer Price Index.

In 2022 and 2023 it was boom times for restaurants, which gives them latitude to raise prices,” Moody’s chief economist Mark Zandi told The Post.

Fast-food prices shot up even more — 5.8%, according to the government data — a trend that’s set to continue after 22 states raised their minimum wage last month.

Earlier this month, Chipotle said it will be forced to further raise prices as California after a $20-an-hour minimum wage law takes effect there in April.

The menu hikes are already taking a toll, with McDonald’s admitting this month that customers making less than $45,000 per year are eating at home more frequently as grocery prices come down.

I think what youre going to see as you head into 2024 is probably more attention to what I would describe as affordability, McDonalds chief executive Chris Kempczinski said on an earnings call with analysts earlier this month.

But Zandi is skeptical whether restaurants will lower their prices.

Businesses really dont want to cut prices, Zandi said. They will do it if demand is falling and they have no options, but the more palatable strategy is to hold the line until affordability is reestablished.

Meanwhile, corporate profit margins economy-wide have been rising, Zandi said.

Food prices were thrust into the spotlight on Super Bowl Sunday when President Joe Biden posted a video to social media in which he called out snack companies for “shrinkflation.”

“Some companies are trying to pull a fast one by shrinking the products little by little and hoping you won’t notice,” Biden said in a video posted on X, formerly known as Twitter, ahead of Super Bowl LVIII.

“Give me a break. The American public is tired of being played for suckers,” he said.

Biden, who offered no solutions or policies to address the practice, did not name any specific companies but several brands were shown in the video, including Gatorade, Doritos, Breyers and Tostitos.

We appreciate that the President has to deflect attention away from inflation that has lingered during his administration, said David Chavern, president and CEO of the Consumer Brands Association, in a statement.

Chavern added that the group would like to work with Biden on real solutions that benefit consumers.

Last year, the prices for fats and oils rose by 9% while the cost of sugar and sweets jumped 8.7%. The rate of price increases for cereals and bakery products stood at 8.4% last year.

The only food item that saw its price decline last year was pork, which was 1.2% cheaper compared to 2022, according to USDA data.

Meat prices grew but at a slower pace than their 20-year historical averages. Beef and veal prices rose 3.6% while eggs were 1.4% more expensive last year compared to 2022, the USDA said.

The cost of fresh fruits rose 0.7% while fish and seafood prices ticked up 0.3%.

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Technology

Instagram co-founder Mike Krieger joins Amazon-backed Anthropic

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Instagram co-founder Mike Krieger joins Amazon-backed Anthropic

Omar Marques | Lightrocket | Getty Images

Instagram co-founder Mike Krieger will join artificial intelligence firm Anthropic as chief product officer, the company announced Wednesday.

Krieger, the former chief technology officer of Meta-owned Instagram, grew the platform to 1 billion users and increased its engineering team to more than 450 people during his time there, per a release. He and Instagram’s other co-founder, Kevin Systrom, most recently built the personalized news app Artifact and sold it to Yahoo.

Around this time last year, Anthropic had only rolled out the first version of its chatbot without any consumer access or major fanfare. Now, it’s one of the hottest AI startups, with a product that directly competes with OpenAI’s ChatGPT in both the enterprise and consumer worlds. Krieger’s hiring is likely meant to further that competition.

The generative AI startup is the company behind Claude, one of the chatbots that, like OpenAI’s ChatGPT and Google‘s Gemini, has rocketed in popularity in the past year.

“Mike will oversee Anthropic’s product engineering, product management, and product design efforts as we work to expand our suite of enterprise applications and bring Claude to a wider audience,” Anthropic said in a release.

News of Krieger’s hiring follows Anthropic’s debut of its first enterprise offering and iOS app earlier this month. And in March, Anthropic announced Claude 3, a suite of AI models that it says are its fastest and most powerful yet.

Anthropic was founded by ex-OpenAI research executives, and its backers include Google, Salesforce and Amazon. It’s closed five different funding deals totaling about $7.3 billion in the past year.

Krieger will lead Anthropic’s latest initiatives.

The company’s new plan for businesses, dubbed Team, has been in development over the last few quarters and involved beta-testing with between 30 and 50 customers across various industries, such as technology, financial services, legal services and health care, Anthropic co-founder Daniela Amodei told CNBC in an interview earlier this month.

Anthropic’s first iOS app is free for users across all plans and also debuted this month. It provides syncing with web chats and the ability to upload photos and files from a smartphone. There are plans to launch an Android app, too.

The generative AI field has exploded over the past year, with a record $29.1 billion invested across nearly 700 deals in 2023, a more than 260% increase in deal value from a year earlier, according to PitchBook. It’s become the buzziest phrase on corporate earnings calls quarter after quarter.

Academics and ethicists have voiced significant concerns about the technology’s tendency to propagate bias. But even so, it’s quickly made its way into schools, online travel, the medical industry, online advertising and more.

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Politics

Sunak and Starmer facing historic unpopularity with ethnically diverse communities, polling suggests

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Sunak and Starmer facing historic unpopularity with ethnically diverse communities, polling suggests

Rishi Sunak and Sir Keir Starmer are both facing a historic lack of popularity among ethnically diverse communities, new polling suggests.

While ethnically diverse community voting trends are incredibly complex and almost always hard to predict, some polling can give useful indications that can speak to the mood of the country.

A comprehensive set of data based on polling by Ipsos and shared exclusively with Sky News gives us a general sense of how the leaders of the two main parties are faring at this very specific time.

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Sunak more popular with white voters

Mr Sunak was named the UK’s next leader on the festival of Diwali, serving as a reminder of the milestone in Britain’s evolution as a multicultural and multi-faith society.

He’s the UK’s first prime minister from an ethnically diverse background and the first Hindu prime minister, but in terms of how much ethnically diverse communities have rewarded him for these historic firsts, it’s a somewhat surprising figure.

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Over the past year, his approval rating among ethnically diverse communities is -53.

That figure is historic too – it’s one of the worst of any prime minister in nearly 30 years.

Actually, from these figures, he’s much better liked by white voters – who give him a rating of -41.

This is perhaps unsurprising, given that historically the majority of ethnically diverse communities have voted Labour.

Though support for the Conservatives reached a high of 30% in the first half of 2016 and only falling sharply in the aftermath of Brexit and then in the 2017 general election under a different leader.

Sir Keir behind Blair and Brown

For the Labour Party then, the stakes could not be much higher as they bill themselves as the party of equality and progressive politics and ethnically diverse communities have traditionally rewarded them for it.

The party has consistently held large leads with ethnically diverse community voters over the last few decades and under previous Labour leaders, often given net positive satisfaction levels.

The current leader, Sir Keir Starmer, has a more favourable rating than the current prime minister, with an average satisfaction rating over the past year of -32.

But he is also considerably more popular among white voters.

And when you compare these numbers to previous Labour leaders, it is more stark.

Sir Keir’s standing with ethnically diverse community voters currently is the lowest level a Labour leader has recorded among black and south Asian voters since 1996.

Far worse than the very worst ratings recorded by either Tony Blair (at -11 during the Iraq War) or Gordon Brown (at -13).

‘The Gaza Effect’

Now, there are myriad reasons why individuals and different communities have drifted from the central parties and traditional voting patterns, but Ipsos has outlined one specific thread of dissatisfaction with both parties that they call “The Gaza Effect”.

During by-elections and the recent local elections we saw a wave of independent candidates running on this single issue platform, most prominently George Galloway in Rochdale, but this data shows an indication of how deep that sentiment runs.

When you compare the aggregate satisfactions levels across the year for both leaders, you can see how different ratings become for ethnically diverse communities when compared to white voters.

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For white voters, there’s next to no effect in satisfaction levels towards the two leaders post 7 October.

When you compare that data to the rating ethnically diverse community voters have given the two leaders, there is a noticeable drop in support.

For Mr Sunak the drop is only around 13 points, but for Sir Keir, it is far more significant with a huge fall of 29 points.

The scale of the impact is almost impossible to predict, and the drop in these figures won’t necessarily translate into votes or even seats – but what is clear is these figures show both parties will need to offer ethnically diverse communities much more to win their vote at the next election.

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Technology

These wall-climbing, AI-powered robots are finding the flaws in ‘D’ grade US infrastructure, from commuter bridges to military hardware

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These wall-climbing, AI-powered robots are finding the flaws in 'D' grade US infrastructure, from commuter bridges to military hardware

CNBC Disruptor 50 Gecko Robotics disrupts the infrastructure industry

The collapse of Baltimore’s Francis Scott Key Bridge earlier this year and an I-95 overpass in Philadelphia last June weren’t triggered by structural flaws — a runaway, powerless ocean ship and tanker fire were the culprits. But the disasters were the latest examples of an issue seen across the U.S.: trillions of dollars worth of critical — and vulnerable — bridges, roads, dams, factories, plants and machinery that are rapidly aging and in need of repair.

Significant sums of money are being spent to fix the issues, some coming from President Biden’s Infrastructure Act and other legislation, but the way infrastructure is maintained has largely not changed, mostly done slowly by humans or after a significant issue arises like a leak or collapse.

Gecko Robotics, which ranked No. 42 on the 2024 CNBC Disruptor 50 list, is taking on the nationwide challenge with AI and robots, specifically, its wall-climbing bots that perform inspections on infrastructure and not only identify existing issues but also to try to predict what can be done to avoid future problems.

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“When you think about the built world, a lot of concrete, a lot of metal that is, especially in the U.S., 60 to 70 years old; we as a country have a D rating for infrastructure and getting that up to a B is a $4 trillion to $6 trillion problem,” Gecko Robotics CEO Jake Loosararian told CNBC’s Julia Boorstin. “A lot of that is understanding what to fix and then targeting those repairs, and then also ensuring that they don’t continue to make the same mistakes.”

Gecko Robotics’ technology is already being used to monitor “500,000 of the world’s most critical assets,” Loosararian said, which range from oil and gas facilities and pipelines to boilers and tanks at manufacturing facilities.

A focus on military hardware, from subs to aircraft carriers

Gecko robots are increasingly being utilized by the U.S. military. In 2022, the U.S. Air Force awarded Gecko Robotics a contract to help it with the conversion of missile silos. Last year, the U.S. Navy tapped the company to help modernize the manufacturing process of its Columbia-class nuclear submarine program, using Gecko’s robots to conduct inspections of welds.

Gecko Robotics is also working with the Navy to inspect aircraft carriers, which Loosararian demonstrated on CNBC via a demo on the USS Intrepid, a decommissioned aircraft carrier that now serves as a museum in New York City.

He compared the analysis that Gecko Robotics is doing on infrastructure to a CAT scan of a human body, while also creating a digital twin of the scanned object.

Those inspections historically are done by workers, collecting thousands of readings across an aircraft carrier. Gecko Robotics technology can collect upwards of 20 million data points in a tenth of the time, Loosararian said.

“There’s human error, and if you’re hanging off the side of a ship, it’s pretty dangerous too,” he said.

There are also issues related to the timeliness of military hardware construction and readiness of defense assets in an unpredictable world of global threats. For example, Loosararian said China is building ships 232 times faster than the U.S. is, a function of the sheer amount of shipbuilding capacity that China now has in comparison.

“A third of our naval vessels are in drydock right now, and you want them out of drydock or not even in a maintenance cycle,” Loosararian said. “What we’re doing with Lidar and ultrasonic sensors is a health scan, seeing what the damages are and how to fix them, because what we’re trying to do is get these ships from drydock out to the seas patrolling as fast as possible.”

The digital twins being created by Gecko robots also help with the building of future projects, saving not only time but resources and capital.

“It’s not just about how things work day-to-day but also how do you build smarter things,” Loosararian said.” If we can understand what fails in the real world, then we can figure out how to build smarter things in the future.”

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CNBC Disruptor 50 Gecko Robotics disrupts the infrastructure industry

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