U.S. Economic News
December 18, 2018
U.S. Economic Indicators
Privately-owned housing starts rose 3.2% in November to a seasonally adjusted annual rate of 1.26 million (down 3.6% year-over-year). Housing permits rose 5.0% to a 1.33 million annual pace in November and are up 0.4% on the year. Census Bureau Report
U.S. News
The Wall Street Journal reports that due to low inflation and a slow recovery from the financial crisis, even small interest-rate changes from the Fed can have large effects on the economy. The Fed has increased its benchmark short-term rate by slightly more than two percentage points since 2015, while during past recoveries it increased rates by more than four percentage points in the same amount of time. WSJ
Christopher Alessi reports for the Wall Street Journal that oil prices continue to fall from four-year highs reached in October and are at their lowest levels in over a year. Slipping global equity prices, concerns about global economic growth, and rising U.S. and Russian crude production have all contributed to the slide in oil prices. WSJ
Jacob Bunge of the Wall Street Journal writes that the U.S. government will make a second, multibillion dollar payment to U.S. farmers struggling due to tariffs on soybeans, pork, and dairy products. Despite a new North American trade agreement and a trade truce with China, farmers continue to face low prices for their goods. WSJ