The Oakland Press

Diplomats hand-push trolley over N. Korea border

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>> A group of Russian diplomats and their family members returned to Russia from North Korea using a handpushed rail trolley on Thursday because the pandemic has halted all passenger traffic between the countries.

“Since the borders have been closed for over a year and passenger traffic has been halted,” staff members of the Russian Embassy in North Korea and their family members embarked on “a long and difficult journey to get home,” the ministry said.

The group of eight people took a 32-hour train ride, followed by two hours on a bus. They then put their children and luggage onto a rail trolley and pushed it for more than half a mile across the border into Russia.

WASHINGTON >> Bouncing back from months of retrenchme­nt, America’s consumers stepped up their spending by a solid 2.4% in January, the sharpest increase in seven months and a sign that the economy may be poised to sustain a recovery from the pandemic recession.

Friday’s report from the Commerce Department also showed that personal incomes, which provide the fuel for spending, jumped 10% last month, the biggest gain in nine months, boosted by cash payments that most Americans received from the government.

The January spending increase followed two straight monthly spending drops that had raised concerns that consumers, who power most of the economy, were hunkered down, too anxious to travel, shop and spend. Last month’s sharp gain suggests that many people are growing more confident about spending, especially after receiving $600 checks that went to most adults last month in a federal economic aid package.

“The economy weakened late last year as the fiscal support faded and the pandemic intensifie­d, but now it seems to be coming back to life,” said Mark Zandi, chief economist at Moody’s Analytics.

The government also reported Friday that inflation by a measure preferred by the Federal Reserve rose a moderate 0.3% in January. That left prices up just 1.5% over the past 12 months, well below the Fed’s 2% target.

Besides receiving cash payments, many Americans who have managed to keep their jobs have also been saving money for several months rather than spending. That could bode well for the economy later this year, once consumers increasing­ly feel willing to spend, vaccinatio­ns are more widely administer­ed and some version of President Joe Biden’s $1.9 trillion economic aid proposal, which includes additional cash payments for individual­s, is enacted.

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