Latest Mark Zandi News

A divided Fed reduces rates but may not cut again this year

Sep. 18, 2019 6:24 PM EDT

WASHINGTON (AP) — A sharply divided Federal Reserve cut its benchmark interest rate Wednesday for a second time this year but declined to signal that further rate cuts are likely this year. The Fed's move reduced its key short-term rate — which influences many consumer and business loans — by...

Oil prices jump as attack on Saudi plant jolts supply

Sep. 16, 2019 7:35 PM EDT

Global energy prices spiked more than 14% Monday after a weekend attack on key oil facilities in Saudi Arabia caused the worst disruption to world supplies on record. It was an increase on par with the 1991 Gulf War and analysts said heightened tensions in the Middle East could keep prices elevated for the...

With Trump trade war a threat, Fed is set to cut rates again

Sep. 16, 2019 12:38 PM EDT

WASHINGTON (AP) — For a second straight time, the Federal Reserve is set to cut interest rates this week to try to protect the economy from the consequences of a global slowdown and President Donald Trump's trade war with China. After that, no one — not even the Fed itself — seems sure what...

Modest hiring enough to fuel sluggish but durable US economy

Sep. 6, 2019 5:09 PM EDT

WASHINGTON (AP) — Hiring by U.S. employers was slower but steady in August, and hourly pay jumped — trends that should sustain the U.S. economy's record-long expansion in the coming months. Yet with the economy still under threat from a weak global economy and President Donald Trump's trade war with...

Survey: Businesses added a solid 195,000 jobs in August

Sep. 5, 2019 9:25 AM EDT

WASHINGTON (AP) — U.S. businesses added a healthy 195,000 jobs last month, a sign companies are still hiring at a solid pace despite the Trump administration's trade war with China. Payroll processor ADP said Thursday that hiring occurred broadly among small, medium-sized and large businesses, compared...

Thanks to consumers, US economy is rising steadily if slowly

Aug. 29, 2019 2:46 PM EDT

WASHINGTON (AP) — The U.S. economy slowed in the spring, and most analysts expect it to weaken further in the months ahead. Yet the main driver of growth — consumer spending — remains vigorous enough to keep the economy growing steadily if still modestly. Spending by households, which...

Powell may signal future rate cuts, but would they matter?

Aug. 21, 2019 12:22 PM EDT

WASHINGTON (AP) — The economy is slowing, the trade war is raging and the president is repeatedly attacking. Under the glare of a spotlight, Chairman Jerome Powell may signal Friday what the Federal Reserve will do — or can do — to strengthen the economy and restore confidence at a time of...

A heightened US-China financial war imperils global economy

Aug. 6, 2019 3:50 PM EDT

WASHINGTON (AP) — Just what the fragile global economy didn't need: An unpredictable escalation in President Donald Trump's trade war with China, one that spreads the conflict to currency markets, threatens to involve other countries and raises the risk of a global recession. At a time when growth in the...

Fed chief struggles to manage a wild card: Trump trade wars

Aug. 1, 2019 3:12 PM EDT

WASHINGTON (AP) — After the Federal Reserve cut interest rates Wednesday for the first time in a decade, Chairman Jerome Powell made a striking acknowledgement: In the Trump era, the Fed faces a steep learning curve. The Fed is supposed to set interest rates based on gauges of inflation and employment. But...

Survey: Businesses added 156,000 jobs in July

Jul. 31, 2019 9:38 AM EDT

WASHINGTON (AP) — U.S. companies added a healthy 156,000 jobs in July with larger firms accounted for much of the gains, a private survey found. Payroll processor ADP said Wednesday that there was solid hiring in the construction, transportation, health care and leisure and hospitality sectors. But smaller...