US financial news summary | 20 June 2023

US falling behind other countries in closing the gender gap

The US this year dropped further behind other countries in closing the gender gap, according to new data from the World Economic Forum.

The country ranked 43rd in gender equality out of 146 countries, down from 27th place last year, according to the WEF’s 17th annual Global Gender Gap report.

Overall, it will take 131 years to close the gender pay gap across the world economy, according to the report.

WELFARE

SNAP: Who will receive payments of up to $192 between June 20-23, 2023?

SNAP, formerly known as food stamps, is a federal program that, in coordination with state governments, provides benefits to low-income families to buy food. Each month, money is deposited onto an Electronic Benefits Transfer card, which works like a debit card at certain locations.

In case you are waiting to receive yours, this report explains who will receive up to $192 between June 20 and 23.

WELFARE

Can I apply for Social Security Disability (SSDI) benefits more than once?

Every month, the Social Security Administration issues millions of payments to program beneficiaries, most of whom are retired workers, or people with any disability, which can be part of Supplemental Security Income (SSI) or Social Security Disability Insurance (SSDI).

Can you claim disability benefits more than once? Find out how and where to apply for SSDI from our coverage.

WELFARE

Tax refund of up to $975 dollars: who will receive it and how to apply?

Some Pennsylvania residents may receive up to $975 through the Rental/Property Tax Refund Program, which is a bonus refund of property taxes or rent paid in the prior year.

To request last year’s reimbursement, it is necessary to submit an application, which you can download and submit from the program’s web portal. This application is for the taxes and/or rents paid in the previous year; that is, 2022.

Read on to find out how to apply for the benefit.

FINANCE

What is a mortgage grace period and how does it work?

A mortgage grace period is a temporary leniency provided by the lender to allow the borrower some additional time to make the payment without penalties.

The duration of the grace period can vary depending on the terms of the mortgage agreement and the policies of the lender. Commonly, grace periods range from 10 to 15 days, but they can be shorter or longer depending on the specific terms of the loan. These avoid late fees that can go as high as 6% of a typical mortgage payment amount.

Republican presidential candidate would cut social security

Republicans have said repeatedly in Congress they will not cut Social Security, though not everyone believes it. Candidates for president have no such party obligations as Chris Christie has demonstrated.

Social Security is a key welfare provision. According to the press release from Senator Bernie Sanders’ office, “Nearly 40 percent of seniors rely on Social Security for a majority of their income; one in seven rely on it for more than 90 percent of their income; and nearly half of Americans aged 55 and older have no retirement savings at all.”

WELFARE

$1,800 Social Security payments on June 21: who will get it?

The Social Security Administration is continuing to mail out June benefits for retired workers, Supplemental Security Income payments, as well as disability and survivor assistance.

This year, thanks to the 8.7% increase in the COLA, the average payments of retirees are $1,827, the SSA revealed in January. The maximum benefit for those who retire at age 62 is $2,572 per month, $3,627 for workers who retire at full retirement age (67), and $4,555 for those who retire at age 70 or later.

As for average Supplemental Security Income payments, SSA sends out about $600 each month. The maximum monthly SSI benefit is up to $914 for an individual and $1,371 for a married couple where both spouses are eligible for the program. Here are the beneficiaries who will receive their payments on June 21.

WELFARE

Double Social Security payment in June 2023: eligibility, amounts, and payment dates

Each month, the Social Security Administration sends Social Secuirty checks and makes payments for Supplemental Security Income, in addition to distributing disability and survivor benefits.

The SSA is preparing to send out June benefits, and certain beneficiaries will receive a double payment next month. Here’s who’s eligible, the amounts, payment dates, and why sometimes two payments are made.

WELFARE

June 2023 SNAP benefit payment, schedule by state

The United States government has several nutrition programs. One of the largest is the Supplemental Nutrition Assistance Program (SNAP), formerly known as food stamps, which provides support to more than forty million people.

SNAP is a federal program that, in coordination with state governments, provides benefits to low-income families to buy food through an electronic benefits transfer card (EBT), which works like a debit card in certain establishments.

Read more in our full coverage. 

30-year fixed-rate mortgage average ticks down but expected to stay elevated

The average weekly 30-year fixed rate went lower for a second week in a row, nudging down 0.02% this week to 6.69%. However, that is nearly one percent higher than a year ago and more than double the rate the two years prior to 2022. And, it isn’t expected to come down much in the near future, perhaps even increasing again.

While just one of several factors, elevated mortgage rates are in part why there is suchlimited housing stock available for would-be buyers as those who own are reluctant to sell. That should come as no surprise when four out five homeowners have a mortgage rate of less than 5%. Almost a quarter have a mortgage rate of sub 3% according to Redfin data.

“People who are sitting on the sidelines, waiting for mortgage rates to decline, should know that’s unlikely to happen in the foreseeable future,” says Chen Zhao, Lead Economics Researcher at Redfin.

“If a home that’s in your price range and has everything on your wishlist hits the market, there’s no good reason to wait.”

Record drop in egg prices

Some good news for egg lovers...

The price of this food item has just experienced its biggest monthly drop in more than 70 years.

Month-over-month the cost of a dozen eggs dropped 13.8%, the largest monthly decline since January 1951. As of May 2023, the cost of a dozen large grade-A eggs was $2.66, compared to $4.82 back in January of this year.

'Greedflation' driving up prices

Some large companies are raising prices to boost their own profits even as the Fed raised interest rates to control inflation, according to a new watchdog report.

“Higher interest rates haven’t stopped S&P companies, especially in the big food industry, from inflating consumer prices despite reporting billions in extra net earnings and over a trillion dollars in giveaways to wealthy investors,” said Liz Zelnick, the  director of economic security and corporate power at the nonprofit Accountable.US.

Accountable.US found that companies like General Mills, Tyson Foods, and PepsiCo, have admitted to benefitting from raised pricing. 

The findings strengthen the idea that corporate greed can be a driver of inflation, referred to by some as “greedflation.”

Hello and welcome to AS USA's live blog on US financial news. We will bring you the latest from Wall Street to Washington as inflation continues to fall and unemployment inches up. 

Last week Chair of the Federal Reserve Jerome Powell announced that there would be no further changes to interest rates in June, but stated that in all likelihood, the central bank would continue to increase them as soon as July. 

The Consumer Price Index ticked up 0.1 percent from May to June, bringing the annualized inflation rate to four percent, over half of what it was last year. Critically, while the pace of price growth is slowing, prices are still increasing, which has made significant cuts to the average worker's purchasing power.