Author: Money Mechanics

The U.S. Census Bureau and the U.S. Bureau of Economic Analysis announced today that the goods and services deficit was $29.4 billion in October, down $18.8 billion from $48.1 billion in September, revised.U.S. International Trade in Goods and Services DeficitDeficit:$29.4 Billion–39.0%°Exports:$302.0 Billion+2.6%°Imports:$331.4 Billion–3.2%°Next release: Thursday, January 29, 2026(°) Statistical significance is not applicable or not measurable. Data adjusted for seasonality but not price changesSource: U.S. Census Bureau, U.S. Bureau of Economic Analysis; U.S. International Trade in Goods and Services, January 8, 2026Exports, Imports, and Balance (exhibit 1)October exports were $302.0 billion, $7.8 billion more than September exports. October imports were $331.4…

Oil prices are rebounding from their sell-off only to get a bid because of President Trump’s approval of bipartisan legislation going through the House to impose a 500% tariff on any country that dares to buy Russian sanctioned oil. In the past, Europe has had a hard time not buying Russian sanctioned oil because they needed it and, we also had India and China that love those Russian barrels, but they didn’t have an alternative. Now, with the potential of selling more Venezuelan oil from storage, there will be more heavy oil available. President Trump’s ironclad approach aims to squeeze…

Broker Guy Carpenter has announced the launch of a global Sidecar Center of Excellence (COE), which will be led by Ed Hochberg, Global Risk Solutions Leader.According to the broker, the new sidecar COE will offer dedicated resources to help clients manage capital, volatility, and growth through comprehensive solutions. As mentioned, Hochberg will oversee the COE, while continuing to fulfill his existing duties at the company We recently reported that third-party capital deployed in reinsurance through insurance-linked securities (ILS) and other alternative structures is now forecast to have grown over 12% during the course of 2025 to a record $120 billion.…

Elon Musk’s lawsuit against OpenAI will go to trial after a U.S. judge said there is evidence to support the billionaire’s case.  Musk sued OpenAI and its co-founders Sam Altman and Greg Brockman in 2024, alleging they betrayed their original contractual agreements by pursuing profits instead of the nonprofit’s founding mission to develop AI that benefits humanity.  Musk, who has launched his own for-profit company xAI, was an early financial backer and co-founder of OpenAI. He resigned from the board in 2018 after his bid to take over as CEO was rejected by the other co-founders, who put Altman up…

Key Takeaways The service sector expanded in December, while the manufacturing sector struggled.Manufacturers have been hit hard by tariffs, which have raised costs and created uncertainty.Tariffs put in place last year were meant to boost manufacturing but, have instead led to consistent job losses so far. It’s tough out there for anyone in the business of making things, but the rest of the economy is hanging in thereThe services sector of the economy expanded at its fastest pace all year in December, while manufacturing continued to struggle, according to a pair of reports this week from the Institute for Supply…

Key Takeaways Defense sector stocks surged Thursday morning to lead S&P gainers after President Donald Trump called for a sharp increase in military spending.Trump said the U.S. military’s budget should increase to $1.5 trillion in 2027, up from $850 billion in fiscal 2025 and nearly $1 trillion in 2026. Shares of several defense contractors took flight on Thursday after President Donald Trump said that the federal budget for the military should increase significantly. “For the Good of our Country, especially in these very troubled and dangerous times, our Military Budget for the year 2027 should not be $1 Trillion Dollars,…

Key Takeaways When evaluating whether your child should take on student debt, try to understand their dreams while planning for their financial reality.If your child does decide to take out loans, suggest that they not borrow more than what they’ll make their first year out of college.Encourage them to consider attending a community college for the first two years of their degree.Discuss the possibility of taking a gap year, which would give them time to build up savings. A parent posted on Reddit’s StudentLoans forum a question that probably keeps thousands of families up at night: their child wants to…

When you buy a car, the salesperson is likely going to offer up a bunch of add-ons before you drive away with your new ride. Two of the most common add-ons are extended car warranties and mechanical breakdown insurance. Both forms of optional coverage promise to shield your finances from expensive surprise repairs.But both also come with exclusions and restrictions that are important to know about before buying either.As the cost of cars rise, you’re left wrestling with the need to keep that up-front cost down while weighing the risk of costly repairs down the road. Here’s what you need…

Key Takeaways According to Fidelity, millennials (ages 29-44) had an average 401(k) balance of $67,300 in 2024, with an 8.7% average contribution rate—the second-lowest among generations.  The Transamerica Center for Retirement Studies put the median millennial retirement savings even lower at $65,000—meaning half had less than that. Many millennials savers increased their contributions to retirement accounts in 2024. The average millennial had about $67,300 saved for retirement, according to Fidelity Investments—a figure that looks modest next to Gen X’s $192,300 or boomers’ $249,300, though these generations have had longer to save. The story brightens when we look at contribution rates…

(Image credit: Getty Images)For many households, the single biggest number on the balance sheet isn’t a stock portfolio. It’s the home they live in.Over the past decade, that’s been a gift. Rising property values gave families a sense of security and, for many, meaningful paper wealth. But when so much of a family’s net worth is tied up in one place, it can also mean more risk than most people realize.A home is an illiquid asset. You can’t sell off the bathroom to fund a tax bill or an unexpected expense. Liquidity tends to show up only at the time…