Key reports will give us clues on economy

The news has not been totally positive as of late

One of Americans’ biggest burdens − high inflation − seemed to be in retreat the past few months until the latest report revealed an unwelcome flare-up in January. Will a lesser-known price measure that the Federal Reserve follows more closely deliver better news?

Consumer confidence, meanwhile, has been recovering from some inflation-induced blahs. Will the February report highlight more good vibes or another mood swing?

And home prices have been in the doldrums because of high mortgage rates − although borrowing costs have eased a bit lately. Could that bear fruit in the latest reading on home prices?

This week’s economic news should help answer those and other questions that matter for your pocketbook. Here’s a sneak peek:

Are companies spending money?

30,000-foot view: Companies have been cautious about buying more factory machines, computers and other equipment recently because of high interest rates that make borrowing more expensive.

But new orders for such long-lasting goods rose in November and December. Businesses have been encouraged by fading recession fears and the Federal Reserve’s expected interest rate cuts later this year, says Nomura economist Aichi Amemiya.

He estimates a key measure that excludes aircraft and defense-related items – a proxy for business investment - will show flat or slightly higher purchases in January when the Commerce Department releases the data on Tuesday.

You should care because: More capital spending means more growth for the economy and, generally, more hiring. After all, new machines typically need workers to run them.

Are house prices in the US falling?

For home sellers, the past six months or so have been frustrating.

30,000-foot view: Monthly increases in home prices have steadily slowed since the middle of last year as rising mortgage rates discouraged housing sales.

In November, the average home price in major metro areas fell for the first time in 10 months (before seasonal adjustments), according to the S&P CoreLogic Case-Shiller Home Price Index of 20 cities.

Nomura expects more of the same in S&P’s release of the December figures on Tuesday.

You should care because: Mortgage rates generally have dipped since late last year and that should lift home sales and prices in the months ahead, Nomura says.

Is consumer confidence high?

Americans have been feeling better about their finances and the economy lately but that could change quickly if the outlook darkens.

30,000-foot view: In January, consumer confidence reached the highest level since late 2021 on easing inflation, strong job growth, rising stock prices and the prospect of lower interest rates. Economists surveyed by Bloomberg estimate the Conference Board will announce Tuesday that confidence held steady in February while Nomura expects a slight uptick.

You should care because: The measure affects household spending and the economy.

Is US inflation cooling down?

Inflation seemed to be on a steady downward path until the Labor Department’s consumer price index raised concerns earlier this month.

A core measure of the index, which excludes volatile food and energy items, rose a sharp 0.4% in January, keeping the annual increase at 3.9%. That led some economists to push out their forecast for the Federal Reserve’s first interest rate cut from May to later this year.

30,000-foot view: On Thursday, the Commerce Department will release a different inflation gauge called the personal consumption expenditures (PCE) price index. The Fed keeps a closer eye on the core PCE index than the core consumer price index and economists expect a similar 0.4% rise in that PCE reading as another jump in rent as well as services such as health care, finance and insurance offsets roughly flat goods prices, Barclays says.

You should care because: That rise would be the largest monthly increase in a year, Nomura notes, but would still nudge down the annual increase from 2.9% to 2.8%, a bit closer to the Fed’s 2% goal. Economists still expect inflation to continue to drop in the coming months as rent increases slow.

The PCE report is also expected to show that consumer spending increased a modest 0.2% last month, well below December’s 0.7% leap.

Is manufacturing in a recession?

The economy has been strong and resilient. But the nation’s manufacturers have barely felt it.

30,000-foot view: U.S. manufacturing activity has contracted for 15 straight months as consumers have shifted their spending from goods to services since the pandemic and businesses have grappled with high interest rates and bloated inventories.

You should care because: On Friday, the Institute for Supply Management is expected to announce that factory activity shrank yet again in February but the total activity level – which includes new orders, production, jobs and other elements – was likely the highest since October 2022. Nomura anticipates an even bigger improvement to just below expansion territory.

ALABAMA Tuscaloosa: The Tuscaloosa County High School cheerleading squad was honored recently for their achievements in a nationwide competition.

ALASKA Anchorage: Claims of violence against women are roiling the world’s most famous sled dog race – Alaska’s Iditarod – with officials disqualifying two top mushers last week and then quickly reinstating one of them, days before the start.

ARIZONA Saguaro National Park: The U.S. Interior Department will infuse $10.3 million into efforts to restore Arizona lands and water this year, offering a particular boost to projects battling non-native species in this park on Tucson’s edge, officials said.

ARKANSAS Little Rock: Officials at the Little Rock Zoo said a Bornean orangutan was born Friday, the Arkansas Democrat-Gazette reported.

CALIFORNIA Redding: Just two years removed from one of the worst droughts on record for the North State – when wells went dry, fields turned brown and water agencies received the minimum water supply – conditions have recovered for most of the region. The U.S. Bureau of Reclamation, which operates Shasta Dam, announced that North State lake levels, rainfall and snowpack in the Sierra Nevada are in “good shape” and agencies that serve tens of thousands of Shasta County residents will receive 100% of their water allocations.

COLORADO Fort Collins: Two of Colorado’s released wolves have wandered dangerously close to Wyoming, where some of Colorado’s naturally migrating wolves have been legally shot just inside the Cowboy State border. Despite the danger, a Colorado Parks and Wildlife official said the agency will take no action to prevent the wolves from moving into Wyoming, where killing wolves is legal year-round along the border.

CONNECTICUT Norwich: A group of Ukrainians and Ukrainian-Americans in Connecticut recently visited U.S. Rep. Joe Courtney in Norwich. The group recognized Courtney for his support, and Courtney recognized the group’s advocacy for injured Ukrainian soldiers in the current RussiaUkraine war.

DELAWARE Rehoboth Beach: After 48 years, Rehoboth Beach will turn management of Deauville Beach over to the Delaware Department of Natural Resources and Environmental Control.

DISTRICT OF COLUMBIA Washington: President Joe Biden and Utah Gov. Spencer Cox disagree on many issues but they were united Saturday in calling for less bitterness in politics and more bipartisanship. The Democratic president hosted the nation’s governors and their spouses at a black-tie White House dinner in their honor.

FLORIDA Pensacola: Gov. Ron DeSantis announced that he was sending 76 Florida Highway Patrol troopers and 50 additional members of the Florida National Guard to Texas to help with the fight against illegal immigration.

GEORGIA Augusta: Pollinators like bees and butterflies have more of an economic impact on agriculture in Georgia than many might realize, experts say. The annual value of pollination to Georgia is more than $360 million, according to an economic impact study conducted in 2014 by the University of Georgia.

HAWAII Honolulu: If Hawaii Gov. Josh Green has his way, your next vacation to the Aloha State will cost an extra $25. Lawmakers are calling for action to address the damaging environmental impact of tourism, particularly in the wake of the devastating wildfires in Lahaina, Maui, which killed 101 people and is projected to cost $6 billion to rebuild.

IDAHO Boise: The execution date for an Idaho inmate who has spent nearly 50 years behind bars is set for this week. If it goes on as scheduled, the man’s execution will be Idaho’s first in 12 years.

ILLINOIS Springfield: University of Illinois System President Timothy Killeen is poised to receive a threeyear contract extension pending a formal vote and approval by the university’s Board of Trustees at its meeting in Springfield March 28.

INDIANA Indianapolis: One case of measles has been reported in northern Indiana, making it the first in the state in five years, the Indiana Department of Health announced.

IOWA Des Moines: Des Moines says it’s found additional funding to help the public transit system avoid drastic cuts, though Des Moines Area Regional Transit leaders say it’s not enough to keep service the way it is.

KANSAS Topeka: The Kansas Department of Wildlife and Parks is facing potential budget cuts as lawmakers consider changes to the hunting fees that are a substantial funding source for the agency.

KENTUCKY Louisville: A gunshotdetection system used by Louisville and more than 100 other U.S. cities faces sharp criticism of targeting low-income communities of color after a detailed list of where the company’s hidden microphones are located was leaked to the public.

LOUISIANA Shreveport: A series of horrific, high-profile carjackings has prompted legislation that will more than double the prison penalties for those convicted of the crime.

MAINE Kittery: Portsmouth Naval Shipyard has been crossed off the list of the most contaminated sites in the country by the Environmental Protection Agency after a 30-year cleanup process costing millions.

MARYLAND Westover: One of the correctional officers connected to the unlawful assault of an inmate at the Eastern Correctional Institution in Westover has pleaded guilty to obstruction and other charges.

MASSACHUSETTS New Bedford: Five Vineyard Wind turbines are now operating at full power and delivering energy to thousands of homes and businesses in Massachusetts.

MICHIGAN Lansing: Michigan’s county road system will need billions of dollars just to stop the deterioration, according to a new study from the County Road Association of Michigan.

MINNESOTA St. Cloud: Longtime politician Tad Jude announced he is running for the third congressional seat, becoming the fifth Republican vying for the nomination in a seemingly safe Democratic district.

MISSISSIPPI Jackson: The state Department of Health said it plans to revoke the license of a medical cannabis testing facility in Natchez.

MISSOURI Springfield: After weeks of speculation, state Sen. Lincoln Hough announced he will run for Missouri lieutenant governor this year.

MONTANA Great Falls: In January, the Great Falls Public Library discovered antisemitic, neo-Nazi stickers had been inserted into at least 16 books. The incident prompted the library to launch its “Hate Has No Home Here” campaign. Last week, a panel of federal, state and local law enforcement came to the library to speak about coordinated efforts to arrest and prosecute those who engage in acts of violence and hatebased propaganda.

NEBRASKA Lincoln: A lawmaker who supported banning abortions after 12 weeks has introduced legislation that provides exceptions and repeals criminal penalties. Republican Sen. Merv Riepe’s bill would allow for abortions up to 20 weeks in cases of fatal anomalies with the confirmation by at least two physicians that a pre-born child is incompatible with life outside the womb and would die upon birth or inevitably after that.

NEVADA Reno: Nevada Secretary of State Cisco Aguilar said he was sorry about vote-history details appearing incorrectly on the agency’s website and sent out a fourpage explanation of what happened.

NEW HAMPSHIRE Rye: Efforts to locate a cell tower a short distance from Rye Elementary School have been shot down by the town’s School Board following parents’ concerns about potential health effects for children.

NEW JERSEY Trenton: The Statue of Liberty and historic sites throughout New Jersey are receiving $800,000 in grants awarded recently by the New Jersey Cultural Trust.

NEW MEXICO Santa Fe: New Mexico ranked sixth in a nationwide study of states with the highest weekly grocery bills as food prices were predicted to increase slightly in 2024, according to various studies.

NEW YORK Albany: As the federal list of American gun stores that sell the most guns used in crimes grows, New York stands out as one of just two states without a single outlet targeted by authorities.

NORTH CAROLINA Fayetteville: E.E. Smith High School alumni and community members say they’re not OK with recommendations from Cumberland County Schools to move the historic high school away from the Murchison Road and Broadell neighborhood area.

NORTH DAKOTA Bismarck: Officials said a woman was killed in a singlevehicle crash in McKenzie County, the Bismarck Tribune reported.

OHIO Cincinnati: The Ohio River is eating away the shoreline of Smale Riverfront Park. With protective trees and brush removed more than 15 years ago to build the downtown site, the constant ebb and flow of the river has eroded the park’s western-most border and made long-planned repairs critical. A fix is in the works. Possible designs have emerged. To move forward, the city needs $15 million promised by the federal government.

OKLAHOMA Oklahoma City: An Oklahoma faith coalition is sounding the alarm about several proposed bills that would allow public schools to hire faith-based chaplains or accept them as volunteers without requiring certification – proposals similar to a law in Texas.

OREGON Salem: Fifteen years after it was launched, and at a cost of $106 million, Oregon’s new unemployment computer system is scheduled to start taking jobless claims early next month.

PENNSYLVANIA York: WellSpan Health will take pharmacy delivery to the skies and use drones to deliver medications. WellSpan is partnering with Zipline, the world’s largest autonomous delivery service, to use Zipline’s electric, autonomous drones to transport prescriptions to patients’ homes and move lab samples and medical products between its facilities, according to a news release.

SOUTH CAROLINA Barnwell: A 17year-old who was nine months pregnant was found dead last week, and now investigators are trying to figure out what happened to her.

SOUTH DAKOTA Pierre: An effort to establish an advisory council to host formal conversations and gather data on the high number of Native American children in South Dakota’s foster care system was approved by a Senate committee. The bill now heads to Senate floor.

TENNESSEE Memphis: Disability Rights Tennessee and the Youth Law Center have published the final report in a trilogy that offers realistic and actionable steps that could be implemented within Tennessee’s juvenile justice system to reduce abuse within juvenile justice facilities and increase the strength of the families and communities that Tennessee children go back to post-incarceration.

TEXAS Austin: A 12-year-old Round Rock boy has formed a nonprofit to create opportunities for people to network in the tech, engineering and mathematics fields and to develop leadership and entrepreneurship skills. Arjun Sharda said he started the nonprofit Technology, Leadership, Engineering, Entrepreneurship and Mathematics in September because he could not find clubs or groups related to those interests at school.

UTAH Salt Lake City: A bill, sponsored by Sen. Dan McCay, that would create an “entertainment and sports” district in the city has been filed in the state Legislature, Utah Public Radio reported.

VERMONT Burlington: Days before coverage was set to expire on March 1, the University of Vermont Health Network has reached an agreement with UnitedHealthcare to extend coverage for patients covered by the company’s commercial insurance plans through March 31, 2026.

VIRGINIA Petersburg: It might not be of the wild-blue type, but middle and vocational students in the city’s public school system are sending their cell phones into the “Yondr.” As in, Yondr-brand pouches. Last week was the first time Blandford Academy sixth-graders and students at the I.B. Pittman Vocational Education Center had to put their mobile phones into a personalized pouch that is locked by school administrators at the beginning of the day and unlocked by them at the end of the school day.

WASHINGTON Bremerton: It’s budget season in Olympia and as state senators and representatives hash out spending plans, a House proposal released last week included several line items of interest to Kitsap County ferry riders. A final transportation budget, after negotiations with a Senate version, could add millions toward vessel improvement and maintenance for Washington State Ferries and a proposed ferry communities work group known as WSF 75.

WEST VIRGINIA Wheeling: A private West Virginia university that has struggled financially said it has suspended its president with pay. The Wheeling University Board of Trustees announced that President Ginny Favede was relieved of all duties, news outlets reported. The statement gave no reason for the suspension and a school spokesperson told The Intelligencer Wheeling News Register that further details about it would not immediately be released.

WISCONSIN Milwaukee: In another move in what’s been a contentious relationship for more than 20 years, the village of Hobart is suing the federal government over its decision to return land to the Oneida Nation reservation that had been considered part of Hobart.

WYOMING Laramie: The University of Wyoming has identified the three members of the swim team who died in a single-car accident in northern Colorado.

From USA TODAY Network and wire reports