Retail sales grew for the fourth month in a row in August, but the expected lift from back-to-school spending was not as great as anticipated. … READ MORE >
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CHART OF THE DAY: U.S. industrial production expansion was smaller than expected in August
After three months of sharp increases, U.S. industrial production growth was smaller than expected in August, according to a Federal Reserve report released Tuesday. … READ MORE >
Tracking the spread of COVID-19: A summer so foul
There have been more than 6.7 million cases of coronavirus infections and more than 198,000 deaths, according to the WorldoMeters database. Despite improvement in recent weeks, the rate of infections remains elevated heading into the fall. … READ MORE >
Savings, the money supply and inflation during a pandemic-induced recession
The changing structure of the economy, the integration of advanced technology, and broad demographic changes have contributed to the conditions that have all but ended the idea that inflation is always and everywhere a monetary phenomenon. … READ MORE >
CHART OF THE DAY: The velocity of money and recession
The broad and deep shock unleashed by the pandemic has caused the velocity of money to decline to a modern low of 1.1. … READ MORE >
FOMC preview: Updated economic projections
This week, the focus will be on an update of the summary of economic projections, the first look at the Fed’s 2023 forecast and a reiteration that the Fed will keep the policy rate effectively at zero until the economy has recovered. … READ MORE >
CHART OF THE DAY: Higher food costs during the pandemic
The latest consumer price inflation data confirms what we all know – it costs more to eat during the pandemic, but it costs a lot less to drive to your favorite closed restaurant. … READ MORE >
Consumer Price Index: Modest increase in prices, inflation expectations well anchored
Strong demand for transportation and energy, which increased by 1.3% and 0.9% in August, were the primary catalysts for the 0.4% increase in the Consumer Price Index. The all-important core CPI excluding food and energy rose by a similar amount. … READ MORE >
CHART OF THE DAY: Jobless claims are persistent drag on economic recovery
Despite expectations for a decline in weekly unemployment numbers, jobless claims for the week ended Sept. 5 held steady, signaling that the climb toward economic recovery remains volatile amid the ongoing impact on the COVID-19 pandemic. … READ MORE >
Initial jobless claims arrive above expectations
First-time initial jobless claims increased by 884,000 on a seasonally adjusted basis, higher than the 850,000 anticipated, and by 857,000 on a non-seasonally adjusted basis, according to data released by the Labor Department on Thursday. … READ MORE >