Author: Money Mechanics

Restaurants and pubs on James Street in London, UK, on Friday, Dec. 13, 2024. Bloomberg | Bloomberg | Getty ImagesThe U.K. economy grew by a more-than-expected 0.3% in November, data from the Office for National Statistics (ONS) showed Thursday. Economists polled by Reuters had expected a very modest growth figure of 0.1%. The ONS said services and production both grew in November, by 0.3% and 1.1%, respectively. Meanwhile, construction fell by 1.3% in the same month. Pound sterling was largely flat against the dollar following the data, last trading at $1.3433.The latest data comes after the economy contracted unexpectedly by 0.1%…

The Trump administration signed a notable multibillion-dollar trade deal with Taiwan that’s designed to help the United States boost domestic semiconductor manufacturing. Under the deal announced by the U.S. Department of Commerce on Thursday, Taiwanese semiconductor and tech companies have agreed to make direct investments of $250 billion into the U.S. semiconductor industry. These investments will span across semiconductors, energy, and AI “production and innovation,” according to a press release. Taiwan currently produces more than half of the world’s semiconductors. Taiwan will also supply an additional $250 billion in credit guarantees for additional investments from these semiconductors and tech enterprises,…

Key Takeaways Americans in their 40s and 50s are in peak earning years, making this a pivotal time to build—or shore up—retirement savings.Competing priorities, from education costs to caregiving, often collide with long-term retirement saving goals during this stage of life.Even with less time left to save, strategic moves in your 40s and early 50s can still meaningfully strengthen your retirement outlook. How Many Americans Ages 45–54 Have Any Retirement Savings at All Households led by people ages 45–54 are often in their highest-earning years, with income and net worth continuing to rise as careers advance and assets accumulate, according…

Key Takeaways More than one in five car loans now run seven years or longer.Longer loan terms may reduce monthly payments, but they also increase the total cost and the risk.If you can’t pay off your car loan within five years, you may want to consider a cheaper model, a used car, or a larger down payment. More Car Buyers Are Choosing Longer Auto Loans Rising car prices, interest rates, and affordability pressures are pushing more buyers toward longer auto loans. Experts often recommend not stretching payments beyond five years, yet nowadays it’s more common for people to still be…

Key Takeaways Some of the fastest-growing, highest-paying jobs in the U.S. don’t require a four-year degree.Google Career Certificates in data analytics, project management and cybersecurity run about $49 a month on CourseraIndustry credentials such as AWS Cloud Practitioner, CompTIA Security+ and PMP can open doors to more advanced (and higher-paying) roles. You don’t need to take out a mass of student loans for a four-year degree to land some of America’s fastest-growing jobs. Cloud engineer, project manager, business analyst and cybersecurity analyst jobs all rank high on Indeed’s 2026 Best Jobs list. Data scientist and information security analyst roles are…

Key Takeaways Some experts have cast doubt on the expectation that the Federal Reserve will cut its key interest rate in 2026.December’s lower unemployment rate and persistent high inflation have taken the pressure off the Fed to cut rates.The Trump administration’s demand for lower rates and its use of hardball legal tactics against Fed leaders could spark a backlash among members of the Fed’s policy committee. Interest rate cuts by the Federal Reserve in 2026 seemed like a foregone conclusion not long ago, but several experts are casting doubt on that assumption. J.P. Morgan Chief Economist Michael Feroli is among…

Key Takeaways In 2026, you can save more for retirement with higher 401(k) and IRA limits, but older workers earning more than $150,000 may need to make catch-up contributions on a Roth basis.When you get a pay raise, consider putting some of it toward your retirement account to grow your savings faster. Higher 401(k) limits, new rules for Roth individual retirement accounts (IRAs), and a fresh calendar year: 2026 offers a real chance to get ahead on retirement—if you know where to start. We spoke with financial planners about the moves worth making right now. Key Changes in 2026 With…

It might be time to review your asset and retirement income allocations.gettyIf you’re retired, the recent significant gains in the stock market look like a reason to celebrate. During 2025, for instance, the S&P 500 gained 17.9% when including the return from dividends. What’s more, the S&P 500 earned double-digit returns in 2023 and 2024 and for six of the past seven years. In 2025, however, the S&P 500 fluctuated significantly due to concerns about tariffs and layoffs. In addition, the return on the S&P 500 could have been down 5% or more, depending on which day you checked. Adding…

Key Takeaways Shares of chip manufacturing equipment suppliers and semiconductor designers soared on Thursday after strong results from contract chipmaker Taiwan Semiconductor Manufacturing Co. suggested demand for AI chips remains as robust as ever.The divide between AI haves and have-nots has widened this year as investors shift from buying AI aspirations to rewarding tangible AI-driven growth.  Record earnings from contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSM) sparked big stock gains Thursday, suggesting there’s still gas in the tank to fuel the AI rally. TSMC on Thursday reported record quarterly profit of 505 billion new Taiwan dollars ($16 billion) on record…

Key Takeaways Clear prompts create clearer and safer emails. Provide the AI with explicit and unmistakable compliance boundaries in your prompts. AI supports better communications at scale, leaving advisors more time to deepen relationships with clients. When clients face challenging times, such as market downturns, significant life transitions, or other periods of uncertainty, financial advisors must communicate with empathy and clarity, but finding the right words can be challenging, especially when managing multiple client relationships. AI can help, but you must know how to prompt it to get the results you need. Goal of the Prompt  Your clients need more…