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[ad_1] Just five years ago, a price-conscious auto shopper in the United States could choose from among a dozen new small cars selling for under $20,000. Now, there's just one: The Mitsubishi Mirage. And even the Mirage appears headed for the scrap yard. At a time when Americans increasingly want pricey SUVs and trucks rather than small cars, the Mirage remains the lone new vehicle whose average sale price is under 20 grand — a figure that once marked a kind of unofficial threshold of affordability. With prices — new and used — having soared since the pandemic, $20,000 is no longer much of a starting point for a new car.  This current version of the Mirage, which reached U.S. dealerships a decade ago, sold for an average of $19,205 last month, according to  data  from Cox Automotive. (Though a few other new models have starting prices under $20,000, their actual purchase prices, with options and shipping, exceed that figure.) This current version of the Mit...

[ad_1] Gold climbed over 1% on Wednesday after the U.S. Federal Reserve indicated they expect to reduce interest rates by three quarters of a percentage point by end-2024, sending the dollar and Treasury yields lower. Spot gold rose 1.2% to $2,183.02 per ounce by 15:23 p.m. EDT (1923 GMT). U.S. gold futures settled 0.1% higher at $2,161. The Federal Reserve held interest rates steady on Wednesday, but policymakers hinted they still expect to reduce them by three quarters of a percentage point by the end of 2024. Congratulations! You have successfully cast your vote Login to view result "Gold is getting a double dose of good news today; the Fed is still projecting three rate cuts this year and the higher interest rate projections moving forward betray a real concern that inflation will be harder to tame," said Tai Wong, a New York-based independent metals trader, Wong added markets are modestly optimistic after the new dot plot maintains three 25 bps rate cuts thi...

[ad_1] Oil prices rose on Monday after key producers Saudi Arabia and Russia further cut crude output in a bid to protect their precious revenues, but quickly gave up their gains. Asian stock markets meanwhile advanced as easing inflation data fuelled hopes that central banks could be nearing the end of their interest rate hiking cycle. European stocks ended mostly lower and Wall Street stocks edged up to end a shortened trading session, with investor sentiment subdued on the eve of the Independence Day holiday in the United States. Data showing that the slump in US manufacturing continued for an eighth straight month in June, on the back of weak demand and slowing production, also dampened sentiment. Brent crude, the international benchmark, and US counterpart WTI jumped after Riyadh extended a voluntary oil production cut of one million barrels per day (bpd), while Moscow — whose invasion of Ukraine last year sparked oil market turmoil — said it was slashing exports by 500,000 b...

[ad_1] Stocks swung to gains on Wall Street following the latest hike to interest rates by the Federal Reserve, which said it's finally seeing improvements in inflation.  The S&P 500 rallied after an early 1% loss and rose 43 points, or 1.1%, to close at 4,119. The Dow Jones Industrial Average also erased an early to drop to rise 7 points, or less than 0.1%, to 34,092. The Nasdaq composite jumped 2%. The Federal Reserve extended its fight against high inflation Wednesday by  raising its key interest rate  by a quarter-point, its eighth consecutive hike since March. It's the smallest such increase in the Fed's blizzard of rate hikes since it began almost a year ago. The Fed signaled that even though inflation is easing, it remains high enough to require further rate hikes. What's more important for markets is where interest rates are heading next. Federal Reser...

[ad_1] A quarter of Americans have had to pull back on saving for retirement because of persistent inflation, new data shows, potentially derailing their long-term financial goals for years to come. In 2022, almost half of those who trimmed their savings, or 12%, stopped putting money away for retirement altogether, according to an annual  study conducted jointly by the Global Financial Literacy Excellence Center (GFLEC) at the George Washington University School of Business and the Teachers Insurance and Annuity Association of America (TIAA) Institute. "Inflation makes everything so expensive that people have to navigate that new environment and have to cut back on several ends," said Andrea Hasler, an assistant research professor in financial literacy at GFLEC. Broken down by race, Hispanic Americans' retirement savings plans took the biggest hit. They were twice as likely to stop saving while grappling with higher pric...

[ad_1] LONDON: Italy 's benchmark bond yield hit its lowest level in 15 months on Thursday as the bond market rally continued despite central bank officials' best attempts to rein in the exuberance. The Italian 10-year yield , which moves inversely to the price, fell 4 basis points (bps) to 3.566% on Thursday, the lowest since late August 2022. Meanwhile, Germany's 10-year bond yield, the benchmark for the euro zone as a whole, was last down 3 bps at 1.947%, its lowest in nine months. Yields have tumbled in November and December as inflation in the US and Europe has fallen sharply and central bankers have said interest rate hikes are almost certainly over. "It just seems like no one's been willing to stand in the way of this (rally) and you do wonder is that partly because it's year-end and no one really wants to get cut out," said Lyn Graham-Taylor, rates strategist at Rabobank. "It's always difficult at this time of year reading too mu...

[ad_1] Wall Street had its biggest pullback of the year Wednesday after a broad slide for stocks wiped out much of the benchmark S&P 500 index's gains from last week. The S&P 500 fell 62 points, or 1.6%, end the day at 3,929. The Dow Jones Industrial Average lost 614 points, or 1.8%, to close at 33,297, while the Nasdaq Composite slid 1.2%, ending a seven-day winning streak. The losses are reversal for the market, which kicked off the year with a two-week rally. The selling came as new economic data showed that even as inflation continues to cool, the economy is slowing , heightening worries about the possibility of a recession. Meanwhile, a key Federal Reserve policymaker said interest rates need to go higher than the central bank has previously signaled. Consumer spending slips The government reported that Americans cut back on their spending at retailers more than anticipated last month, the second straight decline. Separ...

[ad_1] NEW DELHI: There is likely to be no impact on loan EMIs outgo as the Reserve Bank of India' monetary policy committee (MPC) on Thursday decided to keep the repo rate unchanged at 6.5%. This is the sixth time in a row that the RBI has kept the repo rate unchanged at 6.5%. The repo rate is the rate at which the RBI lends to the banks. The six-member MPC meeting began on Tuesday and its decisions were announced by RBI governor Shaktikanta Das on Thursday. Since May 2022, the RBI has raised the repo rate by a cumulative 250 basis points (bps) in an effort to combat rising inflation. However, since February 2023, it has not adjusted the rate due to a slight easing in inflationary pressures. Since then, inflation has consistently hovered near the higher end of its mandated 2%-6% range, significantly surpassing its medium-term goal of 4%. The RBI has been tasked by the government with maintaining retail inflation, as measured by the consumer price index (CPI), at a targe...

[ad_1] KARACHI: The State Bank of Pakistan (SBP) is mulling over monetary policy decision this week. The economic contraction is so severe that this entire fiscal year will be marred with economic, social and political chaos. Entire population – educated or not – is either discussing dollar rate or inflationary trends in fuel and food prices. Granted that central bank’s primary job constitutes reining in inflation, but will the expected interest rate hike solve the problems or add to them? Firstly, inflation in Pakistan is not led by excessive demand (demand-pull). Purchasing power is negligible and neither is economy overheating to create shortages or abnormal profits. Domestic inflationary wave is driven by currency depreciation, utility price hikes, global food prices and administrative failures (cost-push). Secondly, inflation is not an outcome of excessive money supply in the country. Surely, exorbitant cash in circulation is not returning back to formal channels with a...

[ad_1] An undated editorial photo of Chinese yuan cash bills and the flag of the People's Republic of China. Javier Ghersi | Moment | Getty Images China's consumer prices were flat in September, while factory gate prices saw annual declines slow for a third month — pointing to the uneven post-Covid recovery in the world's second-largest economy that may require further policy support. Consumer price index for September was flat on an annual basis, the National Bureau of Statistics reported Friday , below than the median estimate for a 0.2% increase in a Reuters poll. CPI inched up 0.1% in August for the first year-on-year increase in three months. Core inflation — excluding energy and food prices — however, climbed 0.8% in September from a year earlier, the bureau said in a separate statement . This rate of increase was similar to the one recorded in August. China's producer price index fell 2.5% from a year earlier , weaker than expectations for a 2.4% decline, af...

[ad_1] Consumer spending will be merry and bright this holiday season, economists predict - CBS News Watch CBS News After a period of high inflation, the U.S. has received some good economic news in time for the holidays. Gas prices and mortgage rates have dipped, and job growth remains steady. For many shoppers, it will translate to more holiday spending. Joy Benedict has more. Be the first to know Get browser notifications for breaking news, live events, and exclusive reporting. Not Now Turn On [ad_2] Source link https://worldnews2023.com/economy/consumer-spending-will-be-merry-and-bright-this-holiday-season-economists-predict/?feed_id=283542&_unique_id=65e0f1c70cbb8