Editor’s Note: Morning Money is a free version of the POLITICO Pro Financial Services morning newsletter, distributed to subscribers every morning at 6 a.m. The POLITICOPro platform combines the news you need with the tools you can use to perform the biggest actions of the day. history. Act on the news with POLITICO Pro..

Great working day question – Friday’s June jobs report is expected to rise to nearly a million from disappointing figures from the past two months. White House officials hope the numbers will continue to rise, especially when additional federal unemployment benefits expire in September.

Since 12 states have already lost an additional $ 300 per week, some impact is expected. By the end of this week, 10 more states will do so, with a total of 26 states saying they will cut benefits before their official expiration.

However, the data so far hasn’t really shown much of an impact. Suggesting that the extra money may not be the main factor preventing people from re-entering the workforce could suggest larger structural issues that could prevent recovery from Covid-19. There is sex.

By Ian Shepherdson from the Pantheon: “New evidence from Homebase’s employment data shows that people have not yet returned to the workforce, as federally funded unemployment benefits have been stepped up in many states.

“However, this is not necessarily the end of the story, as the data is subject to revision … [M]With the intention of no longer receiving federal funding, one of the previously announced but abandoned states made changes as recently as last week. ”

Theoretically, the end of profit should appear The number of people finding jobs has increased since September. It may make sense that hordes of low-paid workers are waiting for Covid to be vaccinated.

But the vaccine is here now, Covid is (almost) in decline, and millions of Americans are probably unable to leave the workforce after Labor Day. Well, if the labor factor remains stubbornly low beyond that, there are other issues.

These issues may include a lack of child care and other areas covered by President Biden’s US family program. However, the future legislative path of this package remains very dangerous.

good Tuesday morning – Please send me an email [email protected] Follow us on twitter @The morning money Ben.. Send an email to Aubree Eliza Weaver [email protected] Follow her on Twitter @AubreeEWeaver..

Biden will travel to Wisconsin to visit the Lacrosse Municipal Transportation Service and make statements to market the bipartite infrastructure framework by July 4.e Holidays… For the financial services of the house Audition at 10 a.m. Entitled “Bias and Broken System: Consider Credit Report Overhaul Proposals to Achieve Equity” …

House Financial Services Subcommittee There will be a hearing at 3 p.m. Entitled “The Legacy of George Floyd: An Inquiry into the Financial Services Industry’s Efforts for Economic and Racial Justice” …

Prepare for the hearing – Jaret Seiberg of Cowen on Credit Scoring Hearings said: Credit Bureau.

“We believe this hearing will pave the way for the entire committee to vote on a bill to establish a government-run credit bureau next month … these provisions were enacted because there is no similar support in the Senate. There is a risk of being weak. That said, this vote will provide political cover for the Consumer Financial Protection Bureau to enact changes through enforcement and rule making. ”

Facebook’s decision can cause problems in meetings – Leah Nylen and Emily Birnbaum: “Critics in Silicon Valley gave reason for hope after a federal judge dismissed full-scale litigation against Facebook. They said Congress would rewrite the country’s antitrust law. It indicates that this is a complete indication of the emergency.

“United States District Court Judge James Bosburg said the Federal Trade Commission’s allegations of antitrust violations failed to show that the world’s largest social network was monopolized. And left the coalition of ministers of justice in almost all states, and for a month amended the trial and adopted the summons …

But it has also fueled tech industry critics’ call for swift action from both parties in Congress, who say existing antitrust laws do not prevent competitors from unfairly crushing the industry giants. industry online. Called for further evidence. ”

Biden infrastructure contract – Myah Ward: “Biden… presented the bipartisan infrastructure contract as something Americans can be proud of, but there is a lot of work to be done to complete the final product. I warned you.

“This agreement is the largest long-term investment in infrastructure in almost a century.” Biden wrote in an op-ed on Yahoo News.. “Economists from all disciplines agree that this creates good jobs and significantly strengthens our economy in the long run. Biden also said in the bill “an important initiative on climate change.” Revealed he was not satisfied with the lack of.

MM sidebar – Biden still says he will do all things climate change and a big part of the family planning program in the reconciliation package. He says it may help him keep Democrats together in infrastructure bills, but it risks losing Republicans.

It’s like a very difficult dance, with no certainty that the White House can succeed. Wall Street is still anxiously awaiting passage of the infrastructure bill. But he can ignore the risk of everything falling apart.

TECH EARNINGS NUDGE S&P 500, HIGHER NASDAQ – AP’s Damian J. Troise and Stan Choe: “The strength of tech stocks pushed the US index a bit to record highs on Monday, more than offsetting losses in many other parts of Wall Street. It is.

“The S&P 500 fluctuated between a slight rise and a slight fall for most of the day, then rose 9.91 points (0.2%) to 4,290.61. It will keep interest rates low for a while.

Disappointing quarter of the Fed’s digital currency – Our Victoria Gida:
“Federal Reserve Board Vice Chairman Randal Quarles has expressed deep skepticism that central banks will issue their own digital currencies, which the Fed could seriously consider.

“The quarrel began His remarks at the Bank of Utah Citing Americans’ enthusiasm for novelty, he said, “It can lead to a major shutdown in critical thinking, or it can lead to impulsive and deceptive epidemics and epidemics. did. “” That brings us to my topic today: the central bank’s digital currency, “he added. Quarles said he was not convinced that the Fed’s cryptocurrencies defend dollar dominance or increase financial inclusion. ”

Consumer WATCHDOG Approves New Lockdown Protection – Reuters Michelle Price: “US Consumer Watchdog finalized on Monday new protections for homeowners who are struggling to pay their mortgages due to a pandemic, but these additional protections.

“In April, the Consumer Financial Protection Bureau proposed, among other things, a new review process that at the time stipulated that mortgage agents would generally be prohibited from making foreclosures until after December 31, 2021.”

Federal Reserve discusses cutting mortgage purchases with faster clips – Paul Kiernan of the WSJ: “The Federal Reserve is finally discussing ways to reduce monetary easing policy, so start by reducing purchases of mortgage-backed securities to avoid fueling the housing boom. We are discussing whether or not.

“The Fed has purchased $ 9.82 billion worth of mortgage bonds since March 5, 2020 and currently plans to continue buying at least $ 40 billion each month. These purchases represent the Fed’s $ 80 billion in monthly financing. Along with debt-reducing purchases, it aims to reduce long-term borrowing costs to stimulate the economy to recover from the effects of the pandemic. ”

Birkin Says US Has Hit Its Inflation Target – Reuters: “The Federal Reserve has made ‘further substantial progress’ towards its inflation target to start reducing its asset purchases,” Federal Reserve Bank of Richmond Governor Thomas Barkin said on Monday. Declared.

“It is clear that we have made significant progress towards our inflation target,” Birkin said during an event at a Rotary club in Atlanta. “I am quite optimistic about the job market…. If the labor market opens up as I have suggested, I think we will get there in a relatively short time.

Fannie Mae, Freddie May’s Overhaul Reboot Benefits For Many Mortgage Players – WSJ’s Terris Demo: “Fanny Mae and Freddie Mac may have lost their way in the hands of individuals, but as things change, some big companies in the mortgage industry are getting better. You can go there.

“The government’s sweeping of the housing giant’s interests does not go beyond the regulator’s statutory authority, and the Supreme Court ruling that the president can easily replace the head of the regulator over the actions of Fannie Mae and Freddie May 1 It hit 2 to 2. Over 40% last week. ”

Banks commit to fighting inequalities – CNN’s Matt Egan: “America’s biggest banks are insisting on what they can and will do more to tackle the country’s racial inequality crisis. JP Morgan Chase, Wells Fargo, Bank of America and the trading group behind dozens of other big banks detail 30 best practices lenders can implement. Reduce inequalities within the black community..

Source link