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Most American adults have cut spending this year, according to a new CNBC-Morning Consult survey, which also revealed that consumers plan to stay frugal through the holidays.

A whopping 92% of adults have cut back on discretionary spending over the past six months, CNBC found after polling 4,403 US adults last week.

Consumers were most skittish when shopping for clothes and dining out at restaurants — 63% and 62%, respectively.

The news site’s poll also showed that consumers at all income levels are feeling pinched by the economy. While labor strikes in Hollywood and Detroit provoke fresh uncertainty, inflation rose a surprisingly stiff 3.7% last month — still well above the Federal Reserve’s 2% target.

Fifty-five percent of lower-income households earning $50,000 or less annually told CNBC that their personal finances are suffering from the state of the US economy, while 61% of middle-income earners bringing in $50,000 to $100,000 are feeling the squeeze.

Even among the highest earners with annual incomes exceeding $100,000, 46% said they’re feeling the impact of the economy on their finances.

More than three-quarters of respondents, 76%, plan to cut back spending on non-essential items over the next six months, during retailers’ all-important holiday shopping season, while 62% said they plan on budgeting “sometimes” or “more often” in the upcoming months, CNBC found.

Meanwhile, 56% of surveyed respondents said they were spending less on entertainment outside the house despite reports of recent summer splurges on blockbuster movies and concert tours, namely Taylor Swifts sought-after Eras Tour, which is on track to amass a record-breaking $1 billion in sales, making it the highest-grossing tour ever.

Groceries saw the next-biggest budget reduction, with 54% of respondents saying they’re spending less at the supermarket, according to CNBC.

The results came just one week after the Bureau of Labor Statistics’ closely-watched Consumer Price Index showed that food prices rose 0.2% for the third consecutive month in August as the index for meats, poultry, fish, and eggs advanced 0.8%.

The index for pork edged 2.2% higher.

CNBC’s survey also showed that 53% of respondents will be cutting back on recreational travel spend, while 50% won’t be quick to splash out on electronics — a figure that could spell bad news for Apple, which is set to drop its “industry first” iPhone 15 on Sept. 22 for up to $899 depending on storage capacity.

The latest inflation numbers represent a stark slowdown from last summer when inflation hit a four-decade peak at 9.1%.

Still, it remains well above the Feds 2% goal and marks an acceleration from the previous two months.

In June, inflation bottomed out at 3%, and rose to 3.2% in July.

As Wall Street expected, rising gasoline costs were the main culprit of Augusts advance, ticking 10.6% higher last month and accounting for over half of the increase, the data showed.

As of Tuesday, the national average of a gallon of gas stood at $3.88, rising some eight cents in the span of a week, according to the American Automobile Association.

The most eye-watering prices were seen in some parts of California, where gas is running residents more than $6 in some parts of LA and as much as $7 in other parts of the state.

At this time last year, a gallon of gas was 18 cents cheaper nationally, AAA said.

And to make matters worse, relief doesnt appear to be on the horizon, at least not in the short term.

Chevron CEO Mike Wirth predicted that oil prices would get close to $100 a barrel.

Supply is tightening, inventories are drawing the trends would suggest, we are certainly on our way, we are getting close (to $100/bbl), Wirth, who heads the nations second largest energy producer, told Bloomberg TV on Monday.

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National Guard will begin carrying firearms in Washington DC, official says

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National Guard will begin carrying firearms in Washington DC, official says

National Guard troops deployed to Washington DC in an effort to mitigate crime will begin carrying firearms, an official has said.

Defence secretary Pete Hegseth ordered the authorisation of roughly 2,000 National Guard troops to begin carrying weapons.

The majority of the guard members will carry M17 pistols, their service-issued weapons, while a small number will be armed with M4 rifles, reports Sky’s US partner organisation, NBC News.

The troops are authorised to use their weapons for self-protection.

A White House official told NBC News that despite being armed, as of Saturday night, the National Guard troops in DC are not making arrests, and will continue to work on protecting federal assets.

The troops were largely deployed from outside the state and were framed by President Trump as a concerted effort to tackle crime and homelessness in the nation’s capital.

Such deployments are not common, and are typically used in response natural disasters or civil unrest.

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Democrats have bashed the deployment as partisan in nature, accusing Mr Trump of trying to exert his presidential authority through scare tactics and said his primary targets have been cities with black leadership.

Armed members of the South Carolina National Guard patrol outside of Union Station. Pic: AP
Image:
Armed members of the South Carolina National Guard patrol outside of Union Station. Pic: AP

Pentagon plans to deploy US army to Chicago

Yesterday it was reported that the Pentagon was drafting plans to deploy the US army in Chicago, the largest city in the state.

The governor of Illinois then accused Mr Trump of “attempting to manufacture a crisis” and “abusing his power to distract from the pain he is causing working families”.

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Officials familiar with the proposals told the Washington Post that several options were being weighed up by the US defence department, including mobilising thousands of National Guard troops in Chicago as early as September.

Mr Trump had told reporters on Friday that “Chicago is a mess”, before attacking the city’s mayor, Brandon Johnson, and hinting “we’ll straighten that one out probably next”.

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Flesh-eating screwworm parasite detected in person in US for first time

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Flesh-eating screwworm parasite detected in person in US for first time

A case of the flesh-eating screwworm parasite has been detected in a person in the United States for the first time.

The parasitic flies eat cattle and other warm-blooded animals alive, with an outbreak beginning in Central America and southern Mexico late last year.

It is ultimately fatal if left untreated.

The case in the US was identified in a person from Maryland who had travelled from Guatemala.

Beth Thompson, South Dakota’s state veterinarian, told Reuters on Sunday that she was notified of the case within the
last week.

A Maryland state government official also confirmed the case.

The person was treated and prevention measures were implemented, Reuters reports.

The Centres for Disease Control and Prevention (CDC) and the Maryland Department of Health did not immediately respond to requests for comment.

What is screwworm?

The female screwworm fly lays eggs in the wounds of warm-blooded animals and once hatched, hundreds of screwworm larvae use their sharp mouths to burrow through living flesh.

It can be devastating in cattle and wildlife, and has also been known to infect humans.

Treatment is onerous, and involves removing hundreds of larvae and thoroughly disinfecting wounds. They are largely survivable if treated early enough.

The confirmed case is likely to rattle the beef and cattle futures market, which has seen record-high prices because of tight supplies.

The US typically imports more than a million cattle from Mexico each year to process into beef. The screwworm outbreak could cost Texas – the biggest cattle-producing state – $1.8bn (£1.3bn) in livestock deaths, labour costs and medication
expenses.

A view shows a calf after being sprayed with a disinfectant spray to prevent screwworm. Pic: Reuters
Image:
A view shows a calf after being sprayed with a disinfectant spray to prevent screwworm. Pic: Reuters

The United States Department of Agriculture (USDA) has set traps and sent mounted officers along the border, but it has faced criticism from some cattle producers and market analysts for not acting faster to pursue increased fly production via a sterile fly facility.

What is a sterile fly facility?

The case also comes just one week after the US agriculture secretary, Brooke Rollins, travelled to Texas to announce plans to build a sterile fly facility there in a bid to combat the pest. Ms Rollins had pledged repeatedly to keep screwworm out of the country.

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A sterile fly facility produces a large number of male flies and sterilises them – these males are then released to mate with wild female insects, which collapses the wild population over time. This method eradicated screwworm from the US in the 1960s.

Mexico has also taken efforts to limit the spread of the pest, which can kill livestock within weeks if not treated. It had started to build a $51m sterile fly production facility.

The USDA has previously said 500 million flies would need to be released weekly to push the fly back to the Darien Gap, the stretch of rainforest between Panama and Colombia.

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UK

Urgent letter to home secretary over violence against women and girls strategy – as it omits child abuse

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Urgent letter to home secretary over violence against women and girls strategy - as it omits child abuse

Ten child protection organisations have written an urgent letter to the home secretary expressing concern about the omission of child sexual abuse from the government’s violence against women and girls strategy, following a Sky News report. 

Groups including the NSPCC, Barnardo’s and The Children’s Society wrote to Yvette Cooper to say that violence against women and girls (VAWG) and child sexual abuse are “inherently and deeply connected”, suggesting any “serious strategy” to address VAWG needs to focus on child sexual abuse and exploitation.

The letter comes after Sky News revealed an internal Home Office document, titled Our draft definition of VAWG, which said that child sexual abuse and exploitation is not “explicitly within the scope” of their strategy, due to be published in September.

Poppy Eyre when she was four years old
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Poppy Eyre when she was four years old

Responding to Sky News’ original report, Poppy Eyre, who was sexually abused and raped by her grandfather when she was four, said: “VAWG is – violence against women and girls. If you take child sexual abuse out of it, where are the girls?”

The Centre of Expertise on Child Sexual Abuse, which is funded by the Home Office and a signatory to the letter, estimates 500,000 children in England and Wales are sexually abused every year.

The NSPCC “welcome” the government’s pledge to halve VAWG in a decade, but is “worried that if they are going to fulfil this commitment, the strategy absolutely has to include clear deliverable objectives to combat child sexual abuse and exploitation too”, the head of policy, Anna Edmundson, told Sky News.

Poppy is a survivor of child sexual abuse
Image:
Poppy is a survivor of child sexual abuse

She warned the government “will miss a golden opportunity” and the needs of thousands of girls will be “overlooked” if child sexual abuse and exploitation is not “at the heart of its flagship strategy”.

The government insists the VAWG programme will include action to tackle child sexual abuse, but says it also wants to create a distinctive plan to “ensure those crimes get the specialist response they demand”.

“My message to the government is that if you’re going to make child sexual abuse a separate thing, we need it now,” Poppy told Sky News.

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Rape Crisis, which is one of the largest organisations providing support to women in England and Wales, shares these concerns.

It wants plans to tackle child sexual abuse to be part of the strategy, and not to sit outside it.

“If a violence against women and girls strategy doesn’t include sexual violence towards girls, then it runs the risk of being a strategy for addressing some violence towards some females, but not all,” chief executive Ciara Bergman said.

A Home Office spokesperson said the government is “working tirelessly to tackle the appalling crimes of violence against women and girls and child sexual exploitation and abuse, as part of our Safer Streets mission”.

“We are already investing in new programmes and introducing landmark laws to overhaul the policing and criminal justice response to these crimes, as well as acting on the recommendations of Baroness Casey’s review into group-based Child Sexual Exploitation, and the Independent Inquiry into Child Sexual Abuse,” they added.

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