Business
Housing costs push inflation higher for the first time this year on August 10, 2023 at 3:03 pm Business News | The Hill

Consumer prices in July ticked up for the first time this year as housing costs and services pushed back against a rapid decline in annual inflation.
Prices in the consumer price index (CPI) rose to a 3.2-percent annual increase in July from 3 percent in June, the largest upward movement since June of last year.
Despite the speed bump on inflation’s year-long descent, the increase was still less than analysts’ expectations at 3.3 percent. The monthly advance of 0.2 percent was exactly in line with what economists had predicted.
“Core” CPI, which removes the harder-to-predict categories of food and energy prices, advanced just 0.2 percent in July – the same small increase as in June – buoying hopes that the U.S. economy can tame inflation without sinking into a recession.
Three-month core CPI is just a hair over the Fed’s 2-percent target range at 3.1 percent and falling, economists noted.
Bright spots in Thursday’s numbers from the Labor Department were faster deflation in core commodity prices along with cheaper eggs, chicken and toys.
SAN ANSELMO, CA – MAY 22: A sale pending sign is posted in front of a home for sale on May 22, 2013 in San Anselmo, California. (Photo by Justin Sullivan/Getty Images)
Housing costs are still a reason for concern, following 11 interest rate hikes by the Federal Reserve, which have hit financing-dependent sectors of the economy particularly hard.
“The index for shelter was by far the largest contributor to the monthly all items increase, accounting for over 90 percent of the increase,” the Labor Department noted.
Here’s a breakdown of the report.
Housing is the Achilles’ heel of falling inflation
Housing and shelter costs are a main driver of core CPI, accounting for around 40 percent of the index that the Federal Reserve pays special attention to in weighing whether to press ahead with rate hikes.
While primary-residence rent fell to a 0.4-percent increase from 0.5 percent in June, the broader measure of owners’ equivalent rent accelerated to a 0.5-percent increase in July after falling the previous month.
This resulted in core service prices increasing 0.4 percent.
“The pick-up in core services inflation to 0.4 percent month-over-month from 0.3 percent in June will be seen by the Fed as grounds for caution,” Brian Coulton, chief economist with Fitch Ratings, said.
“Rents just don’t seem to be slowing by much at all on a month-to-month basis and, given the 34 percent weight of shelter in the CPI, this is significant,” he said.
Automobile costs also drive the upswing
Motor vehicle maintenance and repairs jumped 1 percent on the month and were 12.7 percent higher than they were a year ago, far outpacing the overall disinflationary trend of the past year.
Prices for car repairs taken by themselves were 19.5 percent higher than they were last year, increasing by 1.4 percent from June to July.
Car insurance costs increased 2 percent last month, accounting for a 17.8 percent annual increased.
The Labor Department said that soaring care insurance prices were also contributing to the hot headline number
Deflation in core goods accelerates
Meanwhile, commodity prices were headed in the opposite direction, with deflation in core commodities getting faster.
Removing the food and energy categories, commodity prices fell by 0.3 percent in July, down from 0.1 percent in June.
Household furnishings and supplies were down, furniture and bedding prices were cheaper, and major appliance prices were down, as well.
“This is likely to continue with the distress in China and other exporters seeking market share. It will be a very tough competitive environment out there now,” Westwood Capital managing partner Dan Alpert wrote online Thursday.
Nursing homes grow more expensive
Prices for nursing homes and elder care facilities rose 2.4 percent in July and were up more than 5.6 on the year – another services sector that is bucking the trend of falling inflation.
Costs for caring for people who cannot take care of themselves rose a half-percent on the month and 4.7 percent on the year.
Inflation is now a referendum on housing costs
As the Labor Department noted, the inflation story for July is all about housing costs, with the vast majority of the headline increase coming from shelter, the sector perhaps most closely tied with Fed rate hikes.
With deflation accelerating in core commodities and 90 percent of monthly increase attributable to housing prices, the picture of a disaggregated and compartmentalized inflation is coming more fully into relief.
“Look at the sectoral patterns, we have not seen an across-the-board rise in inflation in prices, which is sort of the classic inflation pattern. We’ve seen prices increasing in very specific parts of the economy with different patterns,” economist J.W. Mason of John Jay College in the City University of New York said during an event earlier this year.
The Federal Reserve seems to be aware of these dynamics despite its blanket approach to addressing inflation, which has been exacerbated by outsized profits, through interest rate hikes.
“We have been seeing the effects of our policy tightening on demand in the most interest rate-sensitive sectors of the economy, particularly housing and investment,” Federal Reserve Chairman Jerome Powell said at the end of July, after raising rates for the 11 time.
“Clearly, higher rates have slowed the housing market,” he said.
Business, News, Consumer Price Index, CPI, federal reserve, Federal reserve rate hikes, Housing, inflation, Interest rates, Jerome Powell Consumer prices in July ticked up for the first time this year as housing costs and services pushed back against a rapid decline in annual inflation. Prices in the consumer price index (CPI) rose to a 3.2-percent annual increase in July from 3 percent in June, the largest upward movement since June of last year….
Business
Google Accused Of Favoring White, Asian Staff As It Reaches $28 Million Deal That Excludes Black Workers

Google has tentatively agreed to a $28 million settlement in a California class‑action lawsuit alleging that white and Asian employees were routinely paid more and placed on faster career tracks than colleagues from other racial and ethnic backgrounds.
- A Santa Clara County Superior Court judge has granted preliminary approval, calling the deal “fair” and noting that it could cover more than 6,600 current and former Google workers employed in the state between 2018 and 2024.

How The Discrimination Claims Emerged
The lawsuit was brought by former Google employee Ana Cantu, who identifies as Mexican and racially Indigenous and worked in people operations and cloud departments for about seven years. Cantu alleges that despite strong performance, she remained stuck at the same level while white and Asian colleagues doing similar work received higher pay, higher “levels,” and more frequent promotions.
Cantu’s complaint claims that Latino, Indigenous, Native American, Native Hawaiian, Pacific Islander, and Alaska Native employees were systematically underpaid compared with white and Asian coworkers performing substantially similar roles. The suit also says employees who raised concerns about pay and leveling saw raises and promotions withheld, reinforcing what plaintiffs describe as a two‑tiered system inside the company.
Why Black Employees Were Left Out
Cantu’s legal team ultimately agreed to narrow the class to employees whose race and ethnicity were “most closely aligned” with hers, a condition that cleared the path to the current settlement.

The judge noted that Black employees were explicitly excluded from the settlement class after negotiations, meaning they will not share in the $28 million payout even though they were named in earlier versions of the case. Separate litigation on behalf of Black Google employees alleging racial bias in pay and promotions remains pending, leaving their claims to be resolved in a different forum.
What The Settlement Provides
Of the $28 million total, about $20.4 million is expected to be distributed to eligible class members after legal fees and penalties are deducted. Eligible workers include those in California who self‑identified as Hispanic, Latinx, Indigenous, Native American, American Indian, Native Hawaiian, Pacific Islander, and/or Alaska Native during the covered period.
Beyond cash payments, Google has also agreed to take steps aimed at addressing the alleged disparities, including reviewing pay and leveling practices for racial and ethnic gaps. The settlement still needs final court approval at a hearing scheduled for later this year, and affected employees will have a chance to opt out or object before any money is distributed.
H2: Google’s Response And The Broader Stakes
A Google spokesperson has said the company disputes the allegations but chose to settle in order to move forward, while reiterating its public commitment to fair pay, hiring, and advancement for all employees. The company has emphasized ongoing internal audits and equity initiatives, though plaintiffs argue those efforts did not prevent or correct the disparities outlined in the lawsuit.
For many observers, the exclusion of Black workers from the settlement highlights the legal and strategic complexities of class‑action discrimination cases, especially in large, diverse workplaces. The outcome of the remaining lawsuit brought on behalf of Black employees, alongside this $28 million deal, will help define how one of the world’s most powerful tech companies is held accountable for alleged racial inequities in pay and promotion.
Business
Luana Lopes Lara: How a 29‑Year‑Old Became the Youngest Self‑Made Woman Billionaire

At just 29, Luana Lopes Lara has taken a title that usually belongs to pop stars and consumer‑app founders.
Multiple business outlets now recognize her as the world’s youngest self‑made woman billionaire, after her company Kalshi hit an 11 billion dollar valuation in a new funding round.
That round, a 1 billion dollar Series E led by Paradigm with Sequoia Capital, Andreessen Horowitz, CapitalG and others participating, instantly pushed both co‑founders into the three‑comma club. Estimates place Luana’s personal stake at roughly 12 percent of Kalshi, valuing her net worth at about 1.3 billion dollars—wealth tied directly to equity she helped create rather than inheritance.

Kalshi itself is a big part of why her ascent matters.
Founded in 2019, the New York–based company runs a federally regulated prediction‑market exchange where users trade yes‑or‑no contracts on real‑world events, from inflation reports to elections and sports outcomes.
As of late 2025, the platform has reached around 50 billion dollars in annualized trading volume, a thousand‑fold jump from roughly 300 million the year before, according to figures cited in TechCrunch and other financial press. That hyper‑growth convinced investors that event contracts are more than a niche curiosity, and it is this conviction—expressed in billions of dollars of new capital—that turned Luana’s share of Kalshi into a billion‑dollar fortune almost overnight.
Her path to that point is unusually demanding even by founder standards. Luana grew up in Brazil and trained at the Bolshoi Theater School’s Brazilian campus, where reports say she spent up to 13 hours a day in class and rehearsal, competing for places in a program that accepts fewer than 3 percent of applicants. After a stint dancing professionally in Austria, she pivoted into academics, enrolling at the Massachusetts Institute of Technology to study computer science and mathematics and later completing a master’s in engineering.
During summers she interned at major firms including Bridgewater Associates and Citadel, gaining a front‑row view of how global macro traders constantly bet on future events—but without a simple, regulated way for ordinary people to do the same.

That realization shaped Kalshi’s founding thesis and ultimately her billionaire status. Together with co‑founder Tarek Mansour, whom she met at MIT, Luana spent years persuading lawyers and U.S. regulators that a fully legal event‑trading exchange could exist under commodities law. Reports say more than 60 law firms turned them down before one agreed to help, and the company then spent roughly three years in licensing discussions with the Commodity Futures Trading Commission before gaining approval. The payoff is visible in 2025’s numbers: an 11‑billion‑dollar valuation, a 1‑billion‑dollar fresh capital injection, and a founder’s stake that makes Luana Lopes Lara not just a compelling story but a data point in how fast wealth can now be created at the intersection of finance, regulation, and software.
Business
Harvard Grads Jobless? How AI & Ghost Jobs Broke Hiring

America’s job market is facing an unprecedented crisis—and nowhere is this more painfully obvious than at Harvard, the world’s gold standard for elite education. A stunning 25% of Harvard’s MBA class of 2025 remains unemployed months after graduation, the highest rate recorded in university history. The Ivy League dream has become a harsh wakeup call, and it’s sending shockwaves across the professional landscape.

Jobless at the Top: Why Graduates Can’t Find Work
For decades, a Harvard diploma was considered a golden ticket. Now, graduates send out hundreds of résumés, often from their parents’ homes, only to get ghosted or auto-rejected by machines. Only 30% of all 2025 graduates nationally have found full-time work in their field, and nearly half feel unprepared for the workforce. “Go to college, get a good job“—that promise is slipping away, even for the smartest and most driven.
Tech’s Iron Grip: ATS and AI Gatekeepers
Applicant tracking systems (ATS) and AI algorithms have become ruthless gatekeepers. If a résumé doesn’t perfectly match the keywords or formatting demanded by the bots, it never reaches human eyes. The age of human connection is gone—now, you’re just a data point to be sorted and discarded.
AI screening has gone beyond basic qualifications. New tools “read” for inferred personality and tone, rejecting candidates for reasons they never see. Worse, up to half of online job listings may be fake—created simply to collect résumés, pad company metrics, or fulfill compliance without ever intending to fill the role.
The Experience Trap: Entry-Level Jobs Require Years
It’s not just Harvard grads who are hurting. Entry-level roles demand years of experience, unpaid internships, and portfolios that resemble a seasoned professional, not a fresh graduate. A bachelor’s degree, once the key to entry, is now just the price of admission. Overqualified candidates compete for underpaid jobs, often just to survive.
One Harvard MBA described applying to 1,000 jobs with no results. Companies, inundated by applications, are now so selective that only those who precisely “game the system” have a shot. This has fundamentally flipped the hiring pyramid: enormous demand for experience, shrinking chances for new entrants, and a brutal gauntlet for anyone not perfectly groomed by internships and coaching.
Burnout Before Day One
The cost is more than financial—mental health and optimism are collapsing among the newest generation of workers. Many come out of elite programs and immediately end up in jobs that don’t require degrees, or take positions far below their qualifications just to pay the bills. There’s a sense of burnout before careers even begin, trapping talent in a cycle of exhaustion, frustration, and disillusionment.
Cultural Collapse: From Relationships to Algorithms
What’s really broken? The culture of hiring itself. Companies have traded trust, mentorship, and relationships for metrics, optimizations, and cost-cutting. Managers no longer hire on potential—they rely on machines, rankings, and personality tests that filter out individuality and reward those who play the algorithmic game best.
AI has automated the very entry-level work that used to build careers—research, drafting, and analysis—and erased the first rung of the professional ladder for thousands of new graduates. The result is a workforce filled with people who know how to pass tests, not necessarily solve problems or drive innovation.
The Ghost Job Phenomenon
Up to half of all listings for entry-level jobs may be “ghost jobs”—positions posted online for optics, compliance, or future needs, but never intended for real hiring. This means millions of job seekers spend hours on applications destined for digital purgatory, further fueling exhaustion and cynicism.
Not Lazy—Just Locked Out
Despite the headlines, the new class of unemployed graduates is not lazy or entitled—they are overqualified, underleveraged, and battered by a broken process. Harvard’s brand means less to AI and ATS systems than the right keyword or résumé format. Human judgment has been sidelined; individuality is filtered out.

What’s Next? Back to Human Connection
Unless companies rediscover the value of human potential, mentorship, and relationships, the job search will remain a brutal numbers game—one that even the “best and brightest” struggle to win. The current system doesn’t just hurt workers—it holds companies back from hiring bold, creative talent who don’t fit perfect digital boxes.
Key Facts:
- 25% of Harvard MBAs unemployed, highest on record
- Only 30% of 2025 grads nationwide have jobs in their field
- Nearly half of grads feel unprepared for real work
- Up to 50% of entry-level listings are “ghost jobs”
- AI and ATS have replaced human judgment at most companies
If you’ve felt this struggle—or see it happening around you—share your story in the comments. And make sure to subscribe for more deep dives on the reality of today’s economy and job market.
This is not just a Harvard problem. It’s a sign that America’s job engine is running on empty, and it’s time to reboot—before another generation is locked out.
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