Tackling migration, Harris backs investment in Latin America
LOS ANGELES — Vice President Kamala Harris said Tuesday that the Biden administration’s work to attract investment to Central America, part of the U.S effort to reduce migration, has generated $3.2 billion in private-sector commitments.
“We know the American people will benefit from stable and prosperous neighbors,” she said during remarks on the second day of the Summit of the Americas, which brings together countries from across the hemisphere. “And when we provide economic opportunity for people in Central America, we address an important driver of migration.”
President Joe Biden, who arrives at the summit today, tasked Harris last year with addressing the root causes of migration, which routinely strains U.S. resources at the border with Mexico. Progress has been slow, a reflection of the region’s intractable problems and what some critics describe as U.S. neglect.
Harris said she would focus on empowering women who face poverty and violence in their home countries. The effort is known as “In Her Hands,” and it aims to connect more women to the banking system, help them participate in agriculture and provide them with training in coding and cybersecurity.
WASHINGTON — A looming Supreme Court decision on abortion, an increase of migrants at the U.S.-Mexico border and the midterm elections are potential triggers for extremist violence over the next six months, the Department of Homeland Security said Tuesday.
The U.S. was in a “heightened threat environment” already, and these factors may worsen the situation, DHS said in the latest National Terrorism Advisory System bulletin.
“In the coming months, we expect the threat environment to become more dynamic as several high-profile events could be exploited to justify acts of violence against a range of possible targets,” DHS said.
It’s the latest attempt by Homeland Security to draw attention to the threat posed by domestic violent extremism, a shift from alerts about international terrorism that were a hallmark of the agency following its creation after the wake of the Sept. 11, 2001, attacks.
Indeed, the threats from overseas rate only passing mentions in this bulletin. It notes that al-Qaida supporters celebrated the January standoff at a synagogue in Colleyville, Texas. And it mentions that the Islamic State group called on supporters to carry out attacks in the United States to avenge the killings of the group’s leader and spokesman.
WASHINGTON — Treasury Secretary Janet Yellen acknowledged Tuesday that she and Federal Reserve Chair Jerome Powell “could have used a better word” than “transitory” when describing the expected run of inflation in the U.S economy.
She added that she was hopeful it would soon be on the decline.
“I do expect inflation to remain high although I very much hope that it will be coming down now,” Yellen told the Senate Finance Committee during a hearing on the agency’s latest budget request. “I think that bringing inflation down should be our number one priority.”
The Federal Reserve and Treasury Department have been increasingly blamed by legislators and the public for allowing inflation to reach record highs — notably an 8.3 percent leap in consumer prices over the past year.
She told CNN last week that she did not fully understand the impact that unanticipated large shocks and supply bottlenecks would have on the economy.
NEW YORK — U.S stocks rallied Tuesday as Treasury yields eased, but Wall Street remains wobbly as investors wait for more clarity on where interest rates, inflation and the economy are heading.
The S&P 500 climbed 39.25 points, or 1 percent, to 4,160.68 after reversing a morning loss of 1 percent. The Dow Jones Industrial Average rose 264.36 points, or 0.8 percent, to 33,180.14 after it also bounced between losses and gains throughout the day. The Nasdaq composite gained 113.86 points, or 0.9 percent, to 12,175.23.
Gains by Apple, Microsoft and other technology stocks were some of the biggest forces lifting the market. They benefited from a drop in Treasury yields, with the 10-year yield falling back below 3 percent. Lower yields in recent years have emboldened investors to pay higher prices for stocks, particularly companies that are growing quickly.
NEW YORK — Target is canceling orders from suppliers, particularly for home goods and clothing, and it’s slashing prices further to clear out amassed inventory ahead of the critical fall and holiday shopping seasons.
The actions, announced Tuesday, come after a pronounced spending shift by Americans, from investments in their homes to money spent on experiences like travel and nights out for dinner and other pre-pandemic routines. Shoppers are also focusing more on non-discretionary items like groceries as inflation makes them more selective. That’s a change that arrived much faster than major retailers had anticipated.
The speed at which Americans pivoted away from pandemic spending was laid bare in the most recent quarterly financial filings from a number of major retailers.
Target reported last month its profit for the fiscal first quarter tumbled 52 percent compared with the same period last year. Sales of big TVs and small kitchen appliances that Americans loaded up on during the pandemic have faded, leaving Target with a bloated inventory that it said must be marked down to sell.
Other retailers including Macy’s, Kohl’s and Walmart cited rising inventories when they reported their quarterly earnings results last month. Walmart said at its annual shareholders’ meeting on Friday that 20 percent of its elevated inventory were items the company wishes it never had.