Inflation relief checks by state, news summary Tuesday 8 November 2022

2022 MIDTERM ELECTIONS

Midterm elections 2022 live updates: pools, result predictions, voting by state, candidates news...| Election Day

Inflation is affecting everyone in the United States and looks set to be one of the defining issues in the 2022 midterm elections. As Americans head to the polls on Election Day, we're bringing all the latest news from the key races across the country. 

To stay up to day with the elections, check out our dedicated midterms live feed.

New York City employers skirting the rules of new transparency pay law

Starting Tuesday, November 1st, the salary transparency law came into force in the city of New York, which is part of the human rights legislation of the city (NTCHRL, for its acronym in English), which was enacted in January 2022 and modified in May of the same year.

The salary transparency law requires employers to indicate in job advertisements the minimum and maximum salary that they are willing to pay in “good faith” for the advertised job.

It is worth mentioning that the salary range cannot be left open, that is, a specific amount must be established,so those publications with salaries such as “$20 dollars per hour and more” or “maximum $50,000 a year” would be breaking the new law.

New accepting applications for up to $976 in heating assitance

New York is now accepting application for the Home Energy Assistance Program, also known as HEAP. Eligible homeowners and renters may receive up to $976 in assistance to heat their homes this winter. The amount received depends on income, household size, how you heat your home, and if your household contains a vulnerable member. 

"We remain committed to ensuring our most vulnerable New Yorkers have access to assistance and programs that will help address rising costs for heating their homes this winter. The Home Energy Assistance Program is a vital lifeline for countless New York families, and I encourage all who are eligible to apply for these benefits which will provide much needed financial relief," Governor Hochul said.

Want to earn more money, STEM jobs median pay double non-STEM occupations

One of the ways to counter the effects of rising prices is to get a higher wage for your work. STEM workers, those whose jobs science, technology, engineering, and math, earned a median wage in 2021 more than double their non-STEM counterparts, $95,420 and $40,120 respectively. Also good news for those that seek a career in STEM occupations they are expected to grow at over twice the rate of non-STEM jobs. 

Student loan debt forgiveness application still open despite court-ordered pause

Despite being blocked from processing applications for the one-time student debt relief announced by President Biden, the Department of Education is still accepting forms. In late October a judge put a pause on the program while six lawsuits from conservative groups work their way through the legal system.

Those that submit their application for debt forgiveness now will not have to reapply later. Once the injunction is lifted the Education Department will process the paperwork that it has received.

SOCIAL SECURITY

The key date of the SSA notice with the COLA increase: $1,752 average in 2023

The Social Security Administration announced its 2023 COLA and it was a whopper. At 8.7 percent, it is the fourth largest in the history of the annual cost-of-living adjustments and the biggest since 1981. The Social Security Administration will begin sending out notices in the mail to beneficiaries of exactly what their monthly payments will be next year.

Let me be clear.  We’re going to do what it takes to bring inflation down.  But as long as I’m president, I’m not going to accept an argument that the problem is that too many Americans are finding good jobs.  Or that too many working Americans finally have more dignity in the workplace.  Or that our largest, most profitable corporations shouldn’t have to pay their fair share.

Signs inflation is moving lower

The US economy continues to show strong positive results even though the Federal Reserve has implemented an aggressive strategy of rate hikes. The increased cost of borrowing though has taken a toll on the housing market and that is having knock-on effects like aiding the lowering of used car prices. 

As consumers become more prudent once again sales of used cars have dropped leading to supplies remaining elevated. While lower prices are a relief to consumers its not great for those who are looking to purchase a used car right now, as the car's value will be lower as soon as the ink is dry on the deal.

The trend is expected to continue in the months to come, but the "depreciation over the next three months will be slower and lower than what we’ve just seen this past quarter,” said Chris Frey, senior manager of economic and industry insights at Cox Automotive.

Dollar steadies ahead of midterms

The dollar steadied during Asia trade on Tuesday after some of the momentum ebbed out of bets on China's reopening, and as traders looked ahead to U.S. midterm elections.

Market focus is shifting to U.S. midterm elections later in the day, with a Republican victory and consequently gridlock in Congress forecast. A conclusive result could take days.

Some analysts say that outcome could be positive for bonds and negative for the dollar if it leads to less fiscal stimulus.

"If we get a gridlock outcome or Republican sweep, it won't be so easy to get fiscal stimulus through next year, which means then that (Federal Reserve Chair Jerome) Powell can afford to take the foot off the interest rate hike accelerator," said Damien Boey, chief macro strategist at Barrenjoey in Sydney.

The Federal Reserve's interest rate hikes have had a significant effect on the US housing market in recent months, making mortgages far more expensive for borrowers and cooling interest in property. 

Here's a snapshot of typical mortgage rates for Tuesday, 8 November:

Standard 30-year fixed mortgage: 7.23%, an increase of 0.09 percentage points from last week’s 7.14%.

Standard 15-year fixed mortgage: 6.45%, an increase of 0.06 percentage points from last week’s 6.39%.

5/1 adjustable rate mortgage (ARM): 5.53%, an increase of 0.01 percentage points from last week’s 5.52%. 

Mortgage calculator housing market

The Federal Reserve's interest rate hikes have had a significant effect on the US housing market in recent months, making mortgages far more expensive for borrowers and cooling interest in property. 

Here's a snapshot of typical mortgage rates for Tuesday, 8 November:

Standard 30-year fixed mortgage: 7.23%, an increase of 0.09 percentage points from last week’s 7.14%.

Standard 15-year fixed mortgage: 6.45%, an increase of 0.06 percentage points from last week’s 6.39%.

5/1 adjustable rate mortgage (ARM): 5.53%, an increase of 0.01 percentage points from last week’s 5.52%. 

The US is not alone in concerns over inflation

Reuters has reported on the results of a new survey that shows inflation remains a top concern across G-20 countries, showing that the issue is global and less reflective of domestic policy. 

And, as countries gather in Egypt for the Climate COP to discuss international cooperation on climate action, the survey shows that governments are undermining environmental standards to combat inflation. 

Today’s analysis reaffirms what an overwhelming 80% majority of Americans already recognize according to a recent poll:  under the guise of inflation, certain corporations excessively hiked prices far beyond what their costs necessitated, further driving inflation. 

As American corporations report their highest profit margins the United States has seen in over seventy years, executives of leading companies are admitting on earnings calls that they’re taking advantage of inflation.  One executive argued that ‘a little bit of inflation is always good in our business’ while another admitted that his company’s prices wouldn’t fall with decreasing costs, stating ‘we don’t reduce prices on the back end of these increases.’  

It is unacceptable that certain companies and industries are engaged in extreme price hikes under the cover of inflation. 

What is to blame for inflation?

Rep. Raja Krishnamoorthi, Chairman of the Subcommittee on Economic and Consumer Policy, released a staff analysis entitled “Power and Profiteering:  How Certain Industries Hiked Prices and Drove Inflation,” which details how certain corporations have engaged in excessive price hikes, raking in record profits while U.S. consumers have faced high inflation. 

It was released on 4 November and is the first committee investigation into how excessive profiteering is a factor in the inflation mess.

In October, various states saw increases in workers claiming unemployment benefits. The current number has been hovering between 200,000 and 250,000 initial claims for the last few months. This comes as the national unemployment rate increase from 3.5 to 3.7 percent in October. 

For the week ending on 22 October, New York (+1,726), Georgia (+1,301), New Jersey (+1,100), Pennsylvania (+1,062), and Illinois (+1,016), saw the largest increases in initial claims, while Missouri (-2,213), Florida (-2,004), Michigan (-804), Tennessee (-628), and Puerto Rico (-510) saw the largest decreases. 

Read the most recent report on unemployment benefits. 

FINANCIAL ASISTANCE

Who is eligible to request unclaimed stimulus check payments and when is the deadline?

The US government approved the sending of three stimulus checks to deal with the Covid-19 pandemic. Although the Internal Revenue Service (IRS) announced that it had finished sending the third payment, also known as Economic Impact Payment (EIP), some people can still claim the $1,400.

Read our full coverage for details on how the stimulus checks can still be claimed. 

What are the most competitive industries for hiring?

The Bureau of Labor Statistics has reported that the healthcare sector has more than 2.1 million job openings, representing that around nine percent of all jobs remain unfilled. 

Additionally, there remain many openings in accommodation and food service as well as professional and business services. High job opening rates indicate that there may be less competition for these jobs, giving applicants more power to negotiate salaries and benefits. 

Hello and welcome to AS USA

Hello and welcome to AS USA's live blog on inflation relief, following the latest news from Washington DC to Wall Street. 

Inflation has been hitting families across the US hard, and as election day approaches, both parties are trying to convey their plans to deal with the looming price crisis. 

This winter, the US Energy Information Adminstration has estimated energy costs could increase by over twenty-five percent compared to last winter. With OPEC slowing down production and US energy companies unwilling to invest the capital expenditure needed to boost production, prices at the pump could rise as well. 

To help households struggling, various states, including those run by Republicans, have sent inflation relief checks out, to increase disposable income and offset the negative impacts of inflation on consumer spending. 

From the White House, President Biden seems confident that the courts will be unable to challenge his move to cancel up to $20,000 in student debt for some borrowers.