Business
Why the December inflation report could push back Fed rate cuts on January 11, 2024 at 4:52 pm Business News | The Hill
The consumer price index (CPI) inched upwards in December following a surprisingly strong jobs report for that month, potentially pushing back an expected March cut in interest rates by the Federal Reserve.
The CPI advanced 0.3 percent on the month, the Labor Department reported Thursday, up from 0.1 percent in November and no increase in October. Annually, the index advanced to a 3.4-percent increase from 3.1 percent in November, but still below recent highs around 3.7 percent reached in September and October.
“This uptick in CPI is a critical reminder of the unpredictable nature of economic recovery and the murkiness of the macro-economic data,” asset manager Jon Maier of Global X said in an analysis.
“It suggests that investors might need to temper their expectations and remain vigilant.”
Thursday’s CPI numbers also come in the wake of a surprisingly strong December jobs report.
The economy added 216,000 jobs in December and the unemployment rate held firm at 3.7 percent, the Labor Department said last week.
The hotter-than-expected inflation and jobs reports still keep the U.S. on track to see price growth fall without a recession — a feat known as a soft landing — despite earlier fears.
Even so, the data could push back the Fed’s plans to reduce interest rates and is dampening expectations on Wall Street of a March cut. Financial markets give the Fed a 69 percent chance of cutting rates at least once in March and are almost certain to see rates hold steady in January, according to the CME FedWatch tool.
Despite the monthly acceleration, headline inflation has fallen precipitously from its pandemic peak of a 9-percent annual increase in June, 2022.
“Core” inflation – which excludes the more volatile categories of energy and food, and is given greater attention by the Fed – was flat on the month and slowed to 3.9-percent annual increase from 4 percent in November.
Housing costs still nearly double the overall rate of inflation
Housing, a sector of the economy that’s particularly responsive to Federal Reserve interest rate hikes, is still trailing the decreases in headline inflation.
Housing costs remain the main driver of inflation at a 6.2-percent annual increase for December. Car insurance prices are also way above average at a 20.3 percent annual increase.
“Shelter and motor vehicle insurance continue to be the persistent trouble spots, extending the streak of outsized monthly increases,” Greg McBride, an analyst with Bankrate, wrote in a Thursday analysis.
“Shelter remains the largest contributor, responsible for more than half of this month’s increase in the headline CPI and more than two-thirds of the increase in core CPI over the past year,” he said.
Despite the level of inflation in housing, prices are still heading downward. They fell in December to a 6.2-percent annual increase from 6.5 percent in November, and they’re down from their peak of 8.2 percent in March of last year.
“Housing is the last mile on inflation and the only way to fight it is by increasing our housing supply. Instead, the Fed’s high interest rates are making this crisis worse by forcing potential buyers back into the rental market and tanking the construction of new housing,” Lindsay Owens, a director of the economic policy advocacy organization Ground Collaborative, said in a statement.
“A higher-for-longer interest rate environment is exactly the wrong approach to bringing down housing costs. Shelter inflation should give the Fed even more incentive to cut rates,” she wrote.
Austin Schaul, an analyst with investment company Avantax, wrote that yields on government bonds could increase with the expectation of fewer cuts this year. That could boost mortgage rates, even as the Fed plans cuts eventually.
“There’s reason to believe the shelter component of inflation should start to weaken, but in the absence of an economic slump or substantial disinflation during the coming months, we may see Treasury yields continue to drift higher as markets curtail their expectations for the easing of monetary policy,” he wrote.
Energy costs are down across the board
Changes in energy costs measured annually were in negative territory for December in every category except electricity.
Gasoline was down 1.9 percent, household gas was down 13.8, and energy as a whole deflated 2 percent.
The average price of a gallon of gasoline nationally is down to $3.07, down from $3.26 a year ago and far below the post-pandemic highs around $5 a gallon, according to the automotive company AAA.
Food prices are lower, but still rising
Food inflation in December was lower than headline inflation at a 2.7-percent annual increase.
Fresh fruit and vegetables have deflated 0.5 percent on the year while fresh seafood deflated 2.5 percent. Eggs were 23.8 percent cheaper than they were in December, 2022.
But food price hikes remain a risk for consumers.
“The last few years of commodity price volatility have coincided with a period of record profit growth by global energy and food traders. In the area of food trading, the four companies that conservatively account for about 70 per cent of the global food market share registered a dramatic rise in profits during 2021 – 2022,” U.N. economists wrote in an October report.
Business, Economy, Consumer Price Index, CPI, federal reserve, Federal Reserve interest rates, Food prices, Housing, inflation The consumer price index (CPI) inched upwards in December following a surprisingly strong jobs report for that month, potentially pushing back an expected March cut in interest rates by the Federal Reserve. The CPI advanced 0.3 percent on the month, the Labor Department reported Thursday, up from 0.1 percent in November and no increase in…
Business
Why 9 Million Americans Have Left

The Growing American Exodus
Nearly 9 million Americans now live outside the United States—a number that rivals the population of several states and signals a profound shift in how people view the American dream. This mass migration isn’t confined to retirees or the wealthy. Thanks to remote work, digital nomad visas, and mounting pressures at home, young professionals, families, and business owners are increasingly joining the ranks of expats.

Rising Costs and Shrinking Wallets
Living in the US has become increasingly expensive. Weekly grocery bills topping $300 are not uncommon, and everyday items like coffee and beef have surged in price over the last year. Rent, utilities, and other essentials also continue to climb, leaving many Americans to cut meals or put off purchases just to make ends meet. In contrast, life in countries like Mexico or Costa Rica often costs just 50–60% of what it does in the US—without sacrificing comfort or quality.
Health Care Concerns Drive Migration
America’s health care system is a major trigger for relocation. Despite the fact that the US spends more per person on health care than any other country, millions struggle to access affordable treatment. Over half of Americans admit to delaying medical care due to cost, with households earning below $40,000 seeing this rate jump to 63%. Many expats point to countries such as Spain or Thailand, where health care is both affordable and accessible, as a major draw.

Seeking Safety Abroad
Public safety issues—especially violent crime and gun-related incidents—have made many Americans feel unsafe, even in their own communities. The 2024 Global Peace Index documents a decline in North America’s safety ratings, while families in major cities often prioritize teaching their children to avoid gun violence over simple street safety. In many overseas destinations, newly arrived American families report a significant improvement in their sense of security and peace of mind.
Tax Burdens and Bureaucracy
US tax laws extend abroad, requiring expats to file annual returns and comply with complicated rules through acts such as FATCA. For some, the burden of global tax compliance is so great that thousands relinquish their US citizenship each year simply to escape the paperwork and scrutiny.
The Digital Nomad Revolution
Remote work has unlocked new pathways for Americans. Over a quarter of all paid workdays in the US are now fully remote, and more than 40 countries offer digital nomad visas for foreign professionals. Many Americans are leveraging this opportunity to maintain their US incomes while cutting costs and upgrading their quality of life abroad.

Conclusion: Redefining the Dream
The mass departure of nearly 9 million Americans reveals deep cracks in what was once considered the land of opportunity. Escalating costs, inaccessible healthcare, safety concerns, and relentless bureaucracy have spurred a global search for better options. For millions, the modern American dream is no longer tied to a white-picket fence, but found in newfound freedom beyond America’s borders.
Business
Will Theaters Crush Streaming in Hollywood’s Next Act?

Hollywood is bracing for a pivotal comeback, and for movie lovers, it’s the kind of shake-up that could redefine the very culture of cinema. With the freshly merged Paramount-Skydance shaking up its strategy, CEO David Ellison’s announcement doesn’t just signal a change—it reignites the passion for moviegoing that built the magic of Hollywood in the first place.

Theatrical Experience Roars Back
Fans and insiders alike have felt the itch for more event movies. For years, streaming promised endless options, but fragmented attention left many longing for communal spectacle. Now, with Paramount-Skydance tripling its film output for the big screen, it’s clear: studio leaders believe there’s no substitute for the lights, the hush before the opening credits, and the collective thrill of reacting to Hollywood’s latest blockbusters. Ellison’s pivot away from streaming exclusives taps deep into what unites cinephiles—the lived experience of cinema as art and event, not just content.
Industry Pulse: From Crisis to Renaissance
On the financial front, the numbers are as electrifying as any plot twist. After years of doubt, the box office is roaring. AMC, the world’s largest theater chain, reports a staggering 26% spike in moviegoer attendance and 36% revenue growth in Q2 2025. That kind of momentum hasn’t been seen since the heyday of summer tentpoles—and it’s not just about more tickets sold. AMC’s strategy—premium screens, with IMAX and Dolby Cinema, curated concessions, and branded collectibles—has turned every new release into an event, driving per-customer profits up nearly 50% compared to pre-pandemic norms.
Blockbusters Lead the Culture
Forget the gloom of endless streaming drops; when films like Top Gun: Maverick, Mission: Impossible, Minecraft, and surprise hits like Weapons and Freakier Friday draw crowds, the industry—and movie fans—sit up and take notice. Movie-themed collectibles and concession innovations, from Barbie’s iconic pink car popcorn holders to anniversary tie-ins, have made each screening a moment worth remembering, blending nostalgia and discovery. The focus: high-impact, shared audience experiences that streaming can’t replicate.
Streaming’s Limits and Studio Strategy
Yes, streaming is still surging, but the tide may be turning. The biggest franchises, and the biggest cultural events, happen when audiences come together for a theatrical release. Paramount-Skydance’s shift signals to rivals that premium storytelling and box office spectacle are again at the center of Hollywood value creation. The result is not just higher profits for exhibitors like AMC, but a rebirth of movie-going as the ultimate destination for fans hungry for connection and cinematic adventure.

Future Forecast: Culture, Community, and Blockbuster Dreams
As PwC and others warn that box office totals may take years to fully catch up, movie lovers and industry leaders alike are betting that exclusive theatrical runs, enhanced viewing experiences, and fan-driven engagement are the ingredients for long-term recovery—and a new golden age. The Paramount-Skydance play is more than a business move; it’s a rallying cry for the art of the theatrical event. Expect more big bets, more surprises, and—finally—a long-overdue renaissance for the silver screen.
For those who believe in the power of cinema, it’s a thrilling second act—and the best seat in the house might be front and center once again.
Business
Why Are Influencers Getting $7K to Post About Israel?

Influencers are being paid as much as $7,000 per post by the Israeli government as part of an expansive and sophisticated digital propaganda campaign. This effort is designed to influence global public opinion—especially among younger social media users—about Israel’s actions in Gaza and to counter critical narratives about the ongoing humanitarian situation.

How Much Is Being Spent?
Recent reports confirm that Israel has dedicated more than $40 million this year to social media and digital influence campaigns, targeting popular platforms such as TikTok, YouTube, and Instagram. In addition to direct influencer payments, Israel is investing tens of millions more in paid ads, search engine placements, and contracts with major tech companies like Google and Meta to push pro-Israel content and challenge critical coverage of issues like the famine in Gaza.
What’s the Strategy?
- Influencer Contracts: Influencers are recruited—often with all-expenses-paid trips to Israel, highly managed experiences, and direct payments—to post content that improves Israel’s image.
- Ad Campaigns: State-backed ad buys show lively Gaza markets and restaurants to counter global reports of famine and humanitarian crisis.
- Narrative Management: These posts and ads often avoid overt propaganda. Instead, they use personal stories, emotional appeals, and “behind the scenes” glimpses intended to humanize Israel’s side of the conflict and create doubt about reports by the UN and humanitarian agencies.
- Amplification: Paid content is strategically promoted so it dominates news feeds and is picked up by news aggregators, Wikipedia editors, and even AI systems that rely on “trusted” digital sources.
Why Is This Happening Now?
The humanitarian situation in Gaza has generated increasing international criticism, especially after the UN classified parts of Gaza as experiencing famine. In this environment, digital public relations has become a primary front in Israel’s efforts to defend its policies and limit diplomatic fallout. By investing in social media influencers, Israel is adapting old-school propaganda strategies (“Hasbara”) to the era of algorithms and youth-driven content.
Why Does It Matter?
This campaign represents a major blurring of the lines between paid promotion, journalism, and activism. When governments pay high-profile influencers to shape social media narratives, it becomes harder for audiences—especially young people—to distinguish between authentic perspectives and sponsored messaging.

In short: Influencers are getting $7,000 per post because Israel is prioritizing social media as a battleground for public opinion, investing millions in shaping what global audiences see, hear, and believe about Gaza and the conflict.
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