Author: Money Mechanics

Susan Collins, president of the Federal Reserve Bank of Boston, speaks during the National Association of Business Economics (NABE) economic policy conference in Washington, DC, US, on Thursday, March 30, 2023.Ting Shen | Bloomberg | Getty ImagesBoston Federal Reserve President Susan Collins on Tuesday expressed support for the recent interest rate cut, but showed some skepticism on the extent of future moves as she sees continued threats from inflation.Speaking in New York, the central bank policymaker noted risks to both higher inflation and a softening labor market that are keeping officials on their toes.”In my view, a bit of easing…

The U.S. Department of Energy has taken equity stakes in Canadian company Lithium Americas and its Nevada mining joint venture with General Motors as part of a renegotiation of a federal loan. Under the new terms, the U.S. government will take a 5% equity ownership in Lithium Americas and a 5% ownership in the Lithium Americas-GM joint venture. The equity stakes will be acquired through no-cost warrants, which are financial instruments that give the government the right to purchase shares at a set price. The new terms came out of a renegotiation with the DOE’s Loan Programs Office over a…

Key Takeaways Over 450 Starbucks (SBUX) locations in the U.S. closed this week, about 1% of its total locations in North America. The “grab and go” revolution might be overtaking Starbucks’ traditional coffee shop model. From renovated stores with actual seating to baristas writing on cups again, Starbucks is betting on becoming your “third place” even as customers increasingly just want their coffee fast. Starbucks is closing about 1% of its company-operated North America stores as part of CEO Brian Niccol’s dramatic $1 billion restructuring plan, Niccol announced last week. The cutback, he wrote, is “necessary to build a better,…

Earlier this year, when President Trump’s tariff-induced market volatility spurred the “sell America” trade, investors vacated large-cap U.S. equities and sought out alternative trades that could minimize the fallout. But it turns out that not all of those outflows ended up overseas.  U.S. small caps, as measured by the Russell 2000 index, saw massive inflows as uncertainty gripped the market. With an average daily trading volume of 5.1 million, small caps saw inflows between 7.2 million and 9.5 million every day between April 3 and April 9. As a result, the Russell 2000—and its often overlooked basket of small-cap stocks—saw…

Key Takeaways You can simplify your investing by using a separately managed account (SMA) or a robo-advisor.An SMA suits those who have firm and identifiable investment goals, but these accounts are limited to a single asset class.A robo-advisor is a tech tool that will map out a strategy to achieve your investment goals.You can handle your investments yourself, but you’ll need the right mindset, some skills and knowledge, and ample time. It’s not always necessary to pay top dollar for the services of a financial advisor when technology stands by ready to streamline the investing process. Separately managed accounts (SMAs) and…

Key Takeaways Sebring and surrounding Highlands County offer a lower cost of living than Florida’s larger cities and many other Sunbelt retirement destinations.Famous for its auto racing track, Sebring has numerous other attractions, including museums, art galleries, and a historic downtown. Outdoorsy types will enjoy its parks, lakes, and golf courses. Sebring’s county offers over 200 healthcare establishments and is within driving distance of several larger cities, including Orlando and Tampa. Sebring, Florida, a small city in the center of the state about 90 miles south of Orlando, stands out as an affordable and attractive retirement destination. With a population of under…

Key Takeaways Higher mortgage rates have stalled the housing market, keeping many buyers and sellers on the sidelines. Buyers can still move forward by exploring creative financing options, broadening their search, or locking in a rate now and refinancing later. Sellers can attract buyers by pricing strategically, investing in presentation, and offering meaningful concessions. If the housing market feels stuck to you, you’re not alone. Many would-be homebuyers and sellers are sitting on the sidelines, held back by the same thing: stubbornly high mortgage rates. As a buyer, high rates shrink your home budget. Meanwhile, sellers are left less motivated…

The slow creep of lifestyle inflation can have significant long-term implications. The key to enjoying your success now — and maintaining that standard later — is ensuring your savings rate increases more than additional spending.gettyLifestyle creep happens when your expenses increase alongside your income. As you earn more, it’s easy to spend more freely, perhaps without much thought. As income increases, it’s only natural to want to improve your lifestyle, and there’s nothing inherently wrong with that, either, up to a point. Without keeping tabs on the cumulative effect of daily financial decisions like business class upgrades or pricey dinners,…

Key Takeaways AT&T customers affected by data breaches in 2024 can submit claims until Nov. 18, 2025, and payouts may be worth up to $7,500. The breaches exposed millions of customers’ personal info and cell phone record data, leading to lawsuits and a $177 million proposed settlement. A final court decision on approving the settlement is set for Dec. 3, 2025. AT&T (T) customers impacted by data breaches, which were announced in 2024, have until Nov. 18 to apply for claims that could be worth up to $7,500. The recent settlement involves two data breaches: one announced by the telecommunications…

KEY TAKEAWAYS Pfizer is cutting prices on some of its medications in the U.S., becoming the first major drug maker to comply with President Donald Trump’s push to bring costs of medications to the lower costs overseas.Trump announced the Pfizer move in an Oval office event with Albert Bourla, the New York-based drugmaker’s CEO. Its shares rose about 7% on Tuesday. Pfizer is cutting prices on some of its medications in the U.S., making it the first major drug maker to comply with President Donald Trump’s push to bring medication costs down to levels found in other countries. Trump announced…