Business Highlights: Biden’s inflation fight, consumer pulse

___

Biden plots inflation fight with Fed chair as nation worries

WASHINGTON (AP) — President Joe Biden has met with Federal Reserve Chairman Jerome Powell, talking inflation fighting. Biden hoped the meeting on Tuesday would demonstrate his concern to voters, though he insisted anew the White House will not interfere with the independent central bank’s work. The president is largely entrusting the fate of the economy and his own political fortunes to the Fed. The...

READ MORE

___

Biden plots inflation fight with Fed chair as nation worries

WASHINGTON (AP) — President Joe Biden has met with Federal Reserve Chairman Jerome Powell, talking inflation fighting. Biden hoped the meeting on Tuesday would demonstrate his concern to voters, though he insisted anew the White House will not interfere with the independent central bank’s work. The president is largely entrusting the fate of the economy and his own political fortunes to the Fed. The central bank’s highly sensitive task: raising benchmark interest rates in hopes of slowing inflation while also avoiding an economic downturn. Biden’s appeal to the Fed also reflects his lack of options for fighting inflation. His past attempts, including oil releases from the strategic reserve, improving port operations and calls to investigate price gouging, have fallen short.

___

US consumer confidence slips in May amid stubborn inflation

SILVER SPRING, Md. (AP) — U.S. consumer confidence edged down in May as Americans’ view of their present and future prospects dimmed in the midst of persistent inflation. The Conference Board said Tuesday that its consumer confidence index dipped to 106.4 in May — still a strong reading — from 108.6 in April. The business research group’s present situation index, which measures consumers’ assessment of current business and labor conditions, also fell in May to 149.6 from 152.9 in April. President Joe Biden will meet with Federal Reserve Chairman Jerome Powell on Tuesday as soaring inflation continues to carve up Americans’ earnings.

___

Canceled flights mar first weekend of summer for travelers

NEW YORK (AP) — The unofficial start of summer is offering a troubling look at what lies ahead for travelers during the peak vacation season. U.S. airlines canceled more than 2,800 flights over a five-day stretch including the Memorial Day weekend, as bad weather, crews calling in sick, and other factors snarled their operations. Delta Air Lines, which is usually among the top performers, had the worst record among major carriers with more than 800 canceled flights from Thursday through Monday. The Transportation Security Administration reported screening more than 11 million people at airport checkpoints during that timeframe.

___

Stocks slip on Wall Street as messy May comes to a close

NEW YORK (AP) — Stocks ended lower after another wobbly day on Wall Street Tuesday, closing out a rocky month. The S&P 500 fell 0.6%, having recouped about half of its loss from earlier. The index managed to eke out a tiny gain for May but only after several abrupt swings. Last week the S&P 500 had its biggest weekly gain since late 2020, breaking a seven-week losing streak that nearly brought it into a bear market. Trading has been turbulent in recent weeks amid worries about a possible recession, inflation and rising interest rates. The Dow fell 0.7% and the tech-heavy Nasdaq lost 0.4%.

___

Supreme Court blocks Texas law on social media censorship

WASHINGTON (AP) — A divided Supreme Court has blocked a Texas law, championed by conservatives, that aimed to keep social media platforms like Facebook and Twitter from censoring users based on their viewpoints. The court voted in an unusual 5-4 alignment Tuesday to put the Texas law on hold while a lawsuit plays out in lower courts. Chief Justice John Roberts and Justices Stephen Breyer, Sonia Sotomayor, Brett Kavanaugh and Amy Coney Barrett voted to grant the emergency request from two technology industry groups that challenged the law in federal court. The majority provided no explanation for its decision.

___

High prices, Asian markets could blunt EU ban on Russian oil

BRUSSELS (AP) — Energy experts say the European Union’s decision to ban nearly all oil from Russia to punish the country for its invasion of Ukraine may be blunted by rising energy prices and other countries willing to buy some of the excess petroleum. European Union leaders agreed late Monday to cut around 90% of all Russian oil imports over the next six months — a dramatic move that was considered unthinkable just months ago. Analysts said the move was a blow to the Kremlin. But they noted that Russia still retained some European markets and could sell some of the oil previously bound to Europe to China, India and other customers in Asia.

___

Eurozone inflation hits record 8.1% amid rising energy costs

LONDON (AP) — Inflation in the 19 countries that use the euro currency hit a record 8.1% amid surging energy costs prompted in part by Russia’s war in Ukraine. The latest data from European Union statistics agency Eurostat on Tuesday showed that annual inflation in May surpassed the previous record of 7.4% reached in the previous two months. Energy prices jumped 39.2%, highlighting how the war and the accompanying global energy crunch are making life more expensive for the eurozone’s 343 million people. Inflation in the eurozone is now at its highest level since recordkeeping for the euro began in 1997. Food prices also rose 7.5%, while prices for goods were up 4.2% and the cost for services rose 3.5%.

___

Deutsche Bank, subsidiary raided over ‘greenwashing’ claims

BERLIN (AP) — Authorities in Germany have raided the offices of Deutsche Bank and its subsidiary DWS following claims that it was exaggerating the sustainable credentials of some of the products it sold. Frankfurt prosecutors said the probe focused on allegations of investment fraud, but no specific suspects had been identified yet. A former manager in charge of sustainability at DWS has claimed that the asset management firm exaggerated the environmental and climate credentials of certain funds. Deutsche Bank said in a statement that Tuesday’s raids were “directed against unknown people in connection with greenwashing allegations against DWS.” It said DWD was cooperating with ”all relevant regulators and authorities on this matter.”

___

The S&P 500 dropped 26.09 points, or 0.6%, to 4,132.15. The Dow Jones Industrial Average fell 222.84 points, or 0.7%, to 32,990.12. The Nasdaq lost 49.74 points, or 0.4%, to 12,081.39. The Russell 2000 index of smaller companies gave back 23.85 points, or 1.3%, to 1,864.04.

Copyright © 2022 . All rights reserved. This website is not intended for users located within the European Economic Area.