ICYMI: Biden vows to ‘bring inflation down’ in new op-ed
President Joe Biden Monday published a Wall Street Journal op-ed outlining a plan to both lower costs for American consumers and tackle looming inflation concerns. Citing a multitude of challenges including the ongoing war between Ukraine and Russia and the still recovering supply chain constraints, Biden urged readers to have confidence in the U.S.’s ability to overcome economic challenges.
“I ran for president because I was tired of the so-called trickle-down economy. We now have a chance to build on a historic recovery with an economy that works for working families,” wrote Biden. “The most important thing we can do now to transition from rapid recovery to stable, steady growth is to bring inflation down.
Biden, who also pointed out the administration’s latest initiatives to counter economic challenges, met with Federal Reserve Chairman Jerome Powell yesterday. In anticipation of the May Jobs Report set for release this Friday, Biden also pointed out that growth during this transition period will look different, stating that there will likely be “fewer record job-creation numbers, but this won’t be cause for concern.”
Of note, the Federal Reserve is also set to release its Beige Book report – a Fed publication on current economic conditions across 12 districts – this week. In the last Beige Book report, the Fed revealed that economic activity expanded at a moderate pace since the middle of February; however, consumer spending accelerated in retail and non-financial service firms as COVID-19 cases tapered across the country.
NAFCU has been monitoring key economic indicators, from auto sales to the latest from the Federal Open Markets Committee (FOMC), to keep credit unions and their members informed on the shifting economic landscape. Here are some of the latest updates:
- FOMC minutes reveal likelihood of a 50-basis point rate hike: The FOMC released minutes from its May meeting which revealed that although overall economic activity edged down in the first quarter, household spending and business fixed investment remained strong. Participants also indicated the 50 basis point increases in the target range would likely be appropriate in the next couple of meetings.
- CPI climbs in April: In the latest consumer price index (CPI) Macro Data Flash report, NAFCU Chief Economist and Vice President of Research Curt long cited that inflation slowed year-over-year price growth to 8.2 percent, largely due to energy prices which fell 2.7 during April.
- Household debt increases as consumer sentiment dips: NAFCU reviewed the Federal Reserve Bank of New York’s Center for Microeconomic Data’s newly issued Quarterly Report on Household Debt and Credit, which showed that balances now stand $1.7 trillion higher than at the end of 2019, prior to the pandemic. The report attributes this steep upshot primarily due to mortgage and auto balance increases. Conversely, as mortgage balances increased, consumer sentiment toward housing dropped 4.7 percentage points to 68.5 in April, its lowest level since May 2020.
- The Commerce Department shows GDP contracted in Q1 of 2022: The Commerce Department Thursday released its first estimate of economic activity for the first quarter of 2022, which showed that the U.S. economy contracted by 1.4 percent, the first contraction since Q2 2020 – the figure was later revised to s/b -1.2 percent. Long mainly attributed this quarter’s contraction, which fell below even the lowest expectations of forecasters, to inventory build and trade.
Stay tuned to NAFCU Today for the latest on inflation and the economy.
Add to Calendar 2023-12-07 14:00:00 2023-12-07 14:00:00 Breaking Down Silos: Collaborating to Combat Cyber Fraud About the Webinar With the rapidly evolving threat landscape, it is clear that operating in isolation is no longer a viable strategy for effective and proactive cyber risk management. The challenges presented by cyber threats demand a concerted effort within your credit union to break down silos and collaborate effectively. Your credit union’s information security and fraud teams must work together to develop a comprehensive and cohesive approach to managing cyber risks. In this session, we will explore how to leverage expertise and tools to be proactive in your fraud detection. Join DefenseStorm’s resident Fraud Geek and senior product manager, Adam Barrett where we will delve into how your credit union can: Evaluate edge data to better identify fraudsters hiding behind VPNs Cultivate effective relationships to combat fraud Efficiently engage with your red team Open up the dialogue around pain points or blind spots to improve your ability to stop cyber fraud Register Here Web NAFCU firstname.lastname@example.org America/New_York public
Add to Calendar 2023-12-07 14:00:00 2023-12-07 14:00:00 BSA Back to Basics: CTR and SAR Filings From identifying when Bank Secrecy Act (BSA) regulations require filing a currency transaction report (CTR) and suspicious activity report (SAR) to learning how to tactically complete those forms, in this back-to-basics webinar, you’ll evaluate how to apply BSA requirements to transactions to determine when filings are required and how to complete the forms associated with those filings. Key Takeaways Learn the basics of BSA/AML regulations for CTR and SAR filing requirements Understand how to implement BSA/AML regulations at your organization to detect transactions that require a CTR and/or SAR Discover how to use the CTR and SAR forms in FinCEN’s BSA E-Filing system Receive a step-by-step walkthrough of completing CTR and SAR forms. Register Now $295 Members | $395 Nonmembers(Additional $50 for USB)One registration gives your entire team access to the live webinar and on-demand recording until December 7, 2024.Go to the Online Training Center to access the webinar after purchase » Who Should Attend NCBSOs NCCOs NCRMs BSA, compliance and risk titles Education Credits NCCOs will receive 1.0 CEUs for participating in this webinar NCRMs will recieve 1.0 CEUs for participating in this webinar NCBSOs will recieve 1.0 CEUs for participating in this webinar CPA credit information is below; recommended 1.0 CPE credits. CPA Certification Credit Information (Note: Webinars must be attended when aired to receive CPE credits.) Reviewer: Josie Collins, Senior Associate Director of Education, NAFCU Learning Objectives: See key takeaways Program Level: Basic Prerequisites Needed: None Advance Preparation Needed: None Delivery Method: Group Internet-Based Recommended CPE Credits: 1.0 credits Recommended Field of Study: Reguatory Ethics – Technical About Our Webinars Our webinars are streamed live from NAFCU headquarters near Washington, DC. Your audio/video feed of the presenters includes presentation slides and downloadable handouts. You can easily submit your questions to the presenters at any time during the live broadcast, with no dialing over the phone! The audio and video stream directly through your computer. Web NAFCU email@example.com America/New_York public
Credits: NCCO, NCRM, NCBSO, CPE
Add to Calendar 2023-12-06 09:00:00 2023-12-06 09:00:00 Navigating Student Lending: A 2023 Review and 2024 Outlook Listen On: Key Takeaways: [0:57] What were the biggest challenges and opportunities with regard to student lending and CUs in 2023? [2:55] We discuss the duality of education lending: in-school financing for younger individuals and post-graduation refinancing for lasting credit union engagement. [5:47] The credit union journey emphasizing its natural progression from student loans to auto and mortgage opportunities. [6:25] During the student loan repayment pause, credit unions benefited as borrowers saved money, but the impact upon resumption is expected to be manageable. [9:36] What were the most significant policy changes that impacted student lending and credit unions in 2023? [13:52] Predictions for student lending and CUs in 2024. [14:50] Long-term value in engaging young borrowers, highlighting lifetime financial opportunities. Web NAFCU firstname.lastname@example.org America/New_York public
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