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New York Fed

All articles tagged with #new york fed

economy1 day ago•314 min saved

New York Fed flags a surge in food insecurity as costs bite lower-income families

A Federal Reserve Bank of New York study updates a 2020 analysis with fresh data from its Survey of Consumer Expectations, finding a “remarkable” rise in food insecurity in early 2026—especially among lower-income households and families with young children—where 10% report not having enough food in February, up from 4% in 2020. Increases in food donations and SNAP participation, plus more households dipping into savings, accompany a shift in sentiment as Americans face higher costs and waning pandemic-era aid, highlighting persistent inequality in a K-shaped economy. The report notes the data predated the Middle East oil shock and does not claim a causal link between insecurity and consumer sentiment.

via CNN|

#consumer-sentiment #economy #food-insecurity

economy21 days ago•5 min saved

Gas Price Surge Deepens the Economy’s K-Shaped Divide

A New York Fed study finds that after the Iran war, gas prices jumped about 25% by the end of March (and ~50% since the war began). Lower-income households cut gas use but still spent 12% more on gas in March, while higher-income households increased gas spending by 19% with almost no reduction in consumption, signaling a widening K-shaped divide that could pull down broader inflation-adjusted spending.

via Los Angeles Times|

#economy #gas-prices #gas-station-spending

economy25 days ago•3 min saved

New York Fed confirms enduring K-shaped split in U.S. spending

The New York Fed finds real retail spending has diverged by income since 2023, with high-income households driving most growth thanks to asset gains while low- and middle-income groups lag; spending has recently turned negative across all groups, underscoring vulnerability to a potential market downturn.

via Axios|

#consumer-spending #economy #income-inequality

economy3 months ago•3 min saved

Hassett Abandons Call to Discipline Fed Researchers Over Tariff Paper

White House economic adviser Kevin Hassett apologized after initially demanding discipline for authors of a New York Fed study that found tariffs have burdened U.S. businesses and consumers more than the administration acknowledged, saying the Fed’s independence and academic freedom must be preserved even as he criticized the paper.

via Barron's|

#academic-freedom #economy #fed-independence

economy3 months ago•5 min saved

Kashkari pushes back on Hassett’s bid to discipline Fed researchers

Neel Kashkari, head of the Minneapolis Fed, condemned White House adviser Kevin Hassett’s suggestion that New York Fed researchers be punished, calling it an effort to undermine the Fed’s independence. He cited DOJ subpoenas related to Fed headquarters as evidence of political pressure, stressed that the Fed must decide based on data, and highlighted the value of diverse research from all 12 regional banks in informing policy.

via Politico|

#economy #fed-independence #hassett

business3 months ago•3 min saved

Trump adviser condemns tariff study, calls for discipline of Fed economists

National Economic Council director Kevin Hassett slammed a New York Fed tariff study as an embarrassment and urged those behind it to be disciplined, arguing the paper misstates who bears tariff costs as US firms and shoppers shoulder most of the burden; the clash comes as tariff litigation goes to the Supreme Court and the Fed debates how to respond to inflation amid rate policy uncertainties.

via BBC|

#business #economics #federal-reserve

business3 months ago•455 min saved

Hassett ridicules NY Fed tariffs study as flawed and partisan

National Economic Council Director Kevin Hassett slammed a New York Fed study claiming roughly 90% of Trump’s tariffs are paid by American consumers and businesses, calling the paper “the worst” Fed research and arguing its analysis seats an incomplete picture by focusing on price effects while ignoring import-volume changes and supply-chain shifts. The article notes the NY Fed team measured tariff burdens by average duty relative to imports and that Hassett’s critique comes amid broader political tension around Fed independence and leadership, including Trump’s nomination of former Fed governor Warsh for the chair role.

via CNN|

#business #federal-reserve #kevin-hassett

politics3 months ago•5 min saved

Hassett slams NY Fed tariff study, urges accountability for its authors

White House economic adviser Kevin Hassett blasted a New York Fed paper claiming Trump tariffs largely fall on U.S. firms and consumers, calling it “an embarrassment” and urging disciplinary action for its authors. The NY Fed study, echoed by other reputable research, says about 90% of the tariff burden has been borne domestically with import prices for tariffed goods rising roughly 11%, and that U.S. households paid the majority of the cost in 2025 before the share moderated later that year. The NY Fed declined to comment.

via Politico|

#federal-reserve #hassett #new-york-fed

business3 months ago•2 min saved

Trump Adviser Calls NY Fed Tariff Study Embarrassing, Urges Authors Be Disciplined

Trump economic adviser Kevin Hassett called a New York Fed tariff study "embarrassing" and urged the authors be disciplined after the research found U.S. importers bore about 90% of tariff costs, a result that contradicts the White House narrative; some economists say the findings align with standard analysis, while the NY Fed remains independent.

via Axios|

#business #importers #kevin-hassett

business3 months ago•3 min saved

New York Fed: 2025 Tariffs Burden Falls Mainly on U.S. Firms and Consumers

A NY Fed study finds tariffs enacted in 2025 raised the average tariff to 13% and that roughly 90% of the higher costs are paid by U.S. firms and consumers, as exporters kept prices steady and passed tariffs through to buyers. Other analyses (Kiel Institute, NBER) report near-100% pass-through to import prices; Tax Foundation estimates a typical household paid about $1,000 in 2025 and $1,300 in 2026, with an effective tariff rate of 9.9%—the highest since 1946—suggesting limited net benefits from the tariff policy.

via BBC|

#business #households #new-york-fed

business4 months ago•3 min saved

US Weighs Large Yen Buy as Japan Market Jitters Ripple Through Treasuries

The U.S. Treasury signaled a possible intervention in the currency market after the New York Fed asked banks about the cost of exchanging yen for dollars, a move that sent the yen up about 1.6% and underscored concerns that Japanese market turbulence could lift U.S. borrowing costs; while no intervention occurred, the step signals a rare Treasury tool under Scott Bessent as Tokyo's fiscal and BoJ policy frame the risk.

via The New York Times|

#bank-of-japan #business #currency-intervention

economy1 year ago•1 min saved

US Household Financial Optimism Peaks Despite Inflation Concerns

Optimism about household finances in the U.S. has reached its highest level since February 2020 following Donald Trump's presidential election victory, according to a New York Federal Reserve survey. The survey showed that 37.6% of households expect their financial situation to improve in the next year, while those expecting a decline dropped to 20.7%. Despite solid economic growth, inflation remains a concern, with expectations slightly rising. The outlook for government debt also improved, with expected growth in debt decreasing to 6.2%.

via CNBC|

#consumer-sentiment #donald-trump #economy

economics2 years ago•3 min saved

"Racial Disparities in Wealth Growth Exacerbated During Pandemic Recovery, NY Fed Study Reveals"

A New York Fed study reveals that during the pandemic, the net worth of white individuals grew by 30 percentage points more than that of Black individuals, largely due to gains in financial markets. Despite government support and a strong job market, wealth inequality persists, with a larger percentage of white households having investments in stocks and mutual funds. The study highlights the challenge of closing the wealth gap, as Black households have more wealth concentrated in pensions rather than market-linked assets. Black-owned businesses were disproportionately affected by the pandemic, and Treasury Deputy Secretary Walley Adeyemo suggests the need for policy interventions to address the significant wealth disparity between Black and white Americans.

via Fortune|

#economics #financial-markets #new-york-fed

finance2 years ago•4 min saved

"Rising Credit Card Debt: Millennials Struggle as Delinquencies Spike"

Millennials in their 30s are facing increasing credit card debt, with outstanding balances reaching a record high of $1.13 trillion in the fourth quarter of 2023. The 90-day delinquency rate for credit cardholders has also risen to 6.36%, particularly affecting younger millennials and lower-income households. The end of the federal student loan pause and high interest rates on credit cards are contributing to financial strain. The Federal Reserve's cautious approach to interest rate adjustments may lead some card issuers to consider lowering rates in the near future.

via Yahoo Finance|

#credit-card-debt #delinquency-rates #finance

finance2 years ago•2 min saved

"Rising Delinquencies and Record Debt: The Growing Financial Strain on American Households"

The New York Federal Reserve reported a more than 50% surge in credit card delinquencies in 2023, with total consumer debt reaching $17.5 trillion. Delinquencies also rose in mortgages, auto loans, and other categories, signaling increased financial stress, particularly among younger and lower-income households. Household debt increased by $212 billion in the quarter, with credit card debt jumping 14.5% from the same period in 2022. Higher interest rates, driven by the Federal Reserve's tightening cycle, likely played a role in the delinquency rates. Despite some forgiveness of student loan debt by President Joe Biden, the total student loan debt remained largely unchanged, while mortgage debt increased by 2.8% in 2023.

via CNBC|

#consumer-debt #credit-card-delinquencies #finance