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‘Incredible Drop’: Economists Thrilled as Inflation Falls to Lowest Level in More Than Two Years

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Economists are expressing excitement as the June inflation report shows annual inflation dropped even more than expected, to the lowest level since March of 2021. The inflation rate for June was just 0.2%, bringing annual inflation to just 3%. One year ago it was over 9%. The New York Times calls it a “pronounced cooling” and “good news for consumers.”

“That’s an incredible drop from a year ago when inflation was 9.1% [year over year] in June 2022,” The Washington Post’s economic columnist Heather Long exclaimed. She adds another important note: “Wages are now rising faster than inflation.”

“One couldn’t ask for a better report on consumer price inflation,” announced Mark Zandi, chief economist at Moody’s Analytics. “Inflation is definitively throttling back, and while today’s report overstates the case, there is a strong case that inflation is headed in the right direction. The Fed should rethink the need for more rate hikes.”

RELATED: ‘Keeps on Chugging’: Unemployment Down and Wages Up in ‘Strong’ and Record-Setting June Jobs Report

“WHOA!” declared University of Michigan professor of economics Justin Wolfers, in response to the 3% inflation news. “Inflation is returning to normal rates.”

Wolfers, known for his ability to translate economics into understandable terms, and his sense of humor, tweeted out a poll mocking naysayers.

The Federal Reserve has set 2% as the goal inflation rate. Compared to one year ago the nation is quickly heading to that number.

“I remember when Republicans predicted the Democrats’ Inflation Reduction Act would undermine the Fed’s efforts and actually increase inflation,” observed journalist, author, and former Clinton White House aide Keith Boykin.

READ MORE: DeSantis Hits All-Time Low in New National Poll That Shows Biden Ahead of Trump

The headline at the conservative Washington Examiner reads: “Inflation drops to 3% in major boost for Biden and Bidenomics.”

“Wednesday’s report marks 12 straight months of declines in annual inflation after the rate peaked at a whopping 9.1% last June,” the Examiner’s Zachary Halaschak writes. “The June report marked the smallest rise in annual inflation since March 2021.”

President Biden in a statement said, “Good jobs and lower costs: That’s Bidenomics in action. Today’s report brings new and encouraging evidence that inflation is falling while our economy remains strong.”

“We’ve made this progress while unemployment remains near record lows and a higher share of working age Americans are in jobs now than in 20 years,” the President added. “Real wages for the average American worker are now higher than they were before the pandemic, with lower wage workers seeing the largest gains.”

How big is this?

On Twitter within a 30-minute time span various mentions of inflation trended at least five times.

 

Image: Official White House Photo by Erin Scott

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Trump to Middle East: ‘You’re the Envy of the World’

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President Donald Trump, during his visit this week to Saudi Arabia, Qatar, and the United Arab Emirates, declared the Middle East “the envy of the world,” “the center of the world,” while asserting that the region’s leaders know exactly “where my loyalties lie.”

The “America First” president, aiming to sign defense and economic agreements worth about $2 trillion, also announced the end of sanctions on Syria. Trump has also been lobbying to accept a controversial and possibly unconstitutional gift from Qatar of a $400 million “flying palace” luxury jetliner, to use as Air Force One.

“I’ve seen tremendous unities, tremendous friendship, and the whole world is watching the Middle East, and many are watching with envy,” Trump declared, according to video from Bloomberg News, as he lavished praise on the Middle East leaders. “You have something very special going on. Incredible opportunities are within reach for this region.”

READ MORE: ‘Wild Negative Coattails for Trump’: Omaha Elects Its First Black Democratic Mayor

Trump, who offered no praise for the U.S., blasted his predecessor repeatedly during his remarks, telling the Middle East leaders that “the Biden administration created havoc and bedlam by basically being incompetent, but by empowering Iran and its proxies, sending them billions of dollars, billions and billions of dollars.”

“Everybody at this table knows where my loyalties lie. Always have,” he insisted. “They’ll never waver, never. And we’ll stand with our friends and partners, and we’ll confront the aggression that threatens us all.”

Trump claimed that “we have a mandate from the American people, the likes of which people haven’t seen for 129 years. They say it was the most consequential election in America in 129 years. So that sounds like a long time, so we’ll take that.”

“It’s all started on November 5th with the election, but a stable and peaceful Middle East will be a successful and prosperous Middle East, and that’s what you’ve done, and that’s what you’re doing. And, you know, it’s amazing because when I was here last, it was fine, it was doing good, and then I see the things that you’re doing here, and in your countries, it’s just an incredible, what you’re doing is the whole world is talking about it. The whole world is watching us,” Trump said.

READ MORE: GOP Plan Redefines Dependent Child as ‘Under 7’—But Adds Loophole for Married Couples

“The whole world, the whole world is talking about what you, what you’re doing and you’re the envy of the world together. We’re in this room and we’re going [to] forge a Middle East that well be a thriving commercial, diplomatic and cultural crossroads at the geographic center of the world. That’s what it is. It’s the center of the world.”

Watch the video below or at this link.

READ MORE: ‘Less Blame Game, More Solutions’: Duffy Urged to ‘Do Your Job and Stop Whining’

 

Image via Reuters

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‘Wild Negative Coattails for Trump’: Omaha Elects Its First Black Democratic Mayor

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Voters in Omaha, Nebraska just elected their first Black mayor, Democrat John Ewing Jr., in a historic shift, ousting a three-term Republican who has held that office since 2013. Some political observers say it’s the shape of things to come, as President Donald Trump’s favorability continues to drop and prices continue to rise, with more instability — economic and political — expected ahead.

Ewing, a former deputy police chief, beat Jean Stothert, who tried to embrace the MAGA agenda without fully embracing President Trump.

“Omaha’s Republican mayor Jean Stothert was a 12-year incumbent, once seen as untouchable,” observed Democratic pollster and strategist Matt McDermott. “Then she endorsed Trump, ran on anti-trans bathroom bans — and lost decisively. A clear rejection of MAGA at the ballot box.”

READ MORE: ‘Less Blame Game, More Solutions’: Duffy Urged to ‘Do Your Job and Stop Whining’

Calling it “a fresh test of voter attitudes in a politically competitive slice of the country,” The Washington Post described Stothert as “a formidable opponent,” whom “Democrats sought to tie…to President Donald Trump’s unpopular agenda — another warning sign for Republicans in a critical battleground area.”

The New York Times, describing Omaha as “a politically divided city that has outsize importance in presidential elections,” reported that “the race provided an opportunity for strategists from both parties to gauge voters’ moods — even if much of the campaign focused on municipal nuts-and-bolts issues like street paving, crime and a planned streetcar.”

“Another example of a red to blue flip,” U.S. Rep. Ted Lieu (D-CA) said. “Voters are angry at Republicans who are enabling the harmful policies of Trump.”

Kamala Harris won Omaha’s single electoral vote by about five points. Ewing, with results not yet official, appears to be winning by about ten points.

“Democrats just beat the longest-serving incumbent mayor in the country in Omaha, Nebraska, where I grew up,” declared Democratic strategist Mike Nellis, a former Harris advisor. “Jean Stothert was considered unbeatable, and they did it. That’s how much of a drag Trump is right now.”

“Wild negative coattails for Trump,” Nellis noted, and called it “a political shockwave,” where “Republicans are panicking.”

Watch Ewing’s victory speech below or at this link.

READ MORE: GOP Plan Redefines Dependent Child as ‘Under 7’—But Adds Loophole for Married Couples

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‘Less Blame Game, More Solutions’: Duffy Urged to ‘Do Your Job and Stop Whining’

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U.S. Secretary of Transportation Sean Duffy is under fire for deflecting blame over the escalating crisis at Newark Liberty International Airport—issues his department has yet to resolve. Critics point to his references to “cracks in the system” nationwide and a so-called “Brand New Air Traffic Control System Plan” that, so far, lacks meaningful public detail.

Politico described the Secretary’s lack of specifics by saying that the “Trump administration has closely held the exact contents of Duffy’s plan, but it’s likely to contain some combination of investments in new technologies, facilities upgrades and consolidation along with money for air traffic controller retention and hiring and overhauling the FAA’s infrastructure that allows facilities to communicate together.”

There is already “a multibillion-dollar FAA program called NextGen, which aims to transition the country away from passive radars to a satellite-based system for tracking planes, has been ongoing since 2003,” including during the Biden administration. And, as Politico also reported, the “agency is also in the early stages of a $2.4 billion, 15-year contract with Verizon, issued during the Biden administration, to replace the copper wires that have plagued Newark with modern fiber-optic cables across the country.”

READ MORE: GOP Plan Redefines Dependent Child as ‘Under 7’—But Adds Loophole for Married Couples

But according to Secretary Duffy, “Biden and Buttigieg ignored the warning signs at Newark. It was shameful.”

National security and civil liberties journalist Marcy Wheeler commented, “if this guy would just stop blaming the President whose efforts to fix FAA Republicans refused to fund and did something he might actually fix the problem. Stop whining, Crash @SecDuffy. Please do your job and stop whining.”

Duffy has repeatedly attacked his predecessor and the prior administration, attempting to blame the current crisis on them.

“So the blame belongs to the last administration?” asked former Marine F/A-18 pilot and Democratic former political candidate Amy McGrath. “You’ve got to be kidding me. The last administration passed major legislation for funding the fix [to transportation] infrastructure problems DESPITE Republicans (like Duffy) voting against it for years.”

“More lies from another failed reality show contestant,” charged U.S. Rep. Paul Tonko (D-NY). “Also, pointing fingers instead of addressing our current air traffic issues? Passengers are delayed, airlines are struggling & ATC is understaffed. We need action, not excuses. Less blame game, more solutions.”

READ MORE: GOP ‘Voucher Scheme for the Wealthy’ Would Hand $5 Billion to Religious, Private Schools

CNN’s David Axelrod mocked Duffy, writing: “Nothing like taking responsibility.”

And Professor of Public Policy Robert Reich, the former Clinton Labor Secretary, added, “when Sean Duffy was a congressman, he and other Republicans voted against upgrading air traffic control systems. Now, he’s trying to blame those systems for Newark airport’s outages – while claiming DOGE’s cuts of critical support staff at the FAA had nothing to do with it. Hello?”

Secretary Duffy on Tuesday warned, “We’re starting to see cracks in the system.”

Watch the video below or at this link.

READ MORE: ‘Bystander’ Trump Keeps Saying ‘I Don’t Know’ — Critics Ask ‘Who’s in Charge?’

Image via Reuters

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