All articles tagged with #business economics
Mortgage demand jumped 28.5% for the week, with refinance applications up 40% (128% year over year) and purchase applications up 16% (13% YoY) as the average 30-year fixed rate for conforming loans fell to 6.18% from 6.25% (0.56 points). The spike followed late-week rate drops linked to White House remarks about the government buying MBS, though-rate movement started the new week higher again, aided by CPI data showing inflation in check.
South Los Angeles, a region with limited access to affordable, healthy food due to a lack of supermarkets, is bracing for higher prices at fast-food restaurants as the minimum wage for fast-food workers is set to increase from $16 to $20 on April 1. With about 40% of residents living in a food desert, the looming price hikes, anticipated to be around 4% to 5%, are expected to impact families who rely on fast food for daily nutrition. While some plan to moderate their fast-food intake, others, including fast-food chains, acknowledge the imminent price increases. The new law, covering workers at chains with 60-plus locations in the U.S., is also expected to lead to layoffs, automation, and reduced work hours as companies try to offset the higher labor costs.
A report from the Federal Trade Commission suggests that grocery giants used inflation and supply chain disruptions during the pandemic to drive their profits and keep raising prices, leading to an 11% spike in food prices in the United States between 2021 and 2022. The FTC is urging Congress to investigate grocery profits, with findings indicating that some firms exploited COVID-19 product shortages to increase prices. Despite easing supply chain pressures, grocery retailers continue to see elevated profits, prompting concerns about "greedflation" and the impact on consumers.