Wall Street takes a tumble as hot inflation numbers further dash hopes of rate cuts
CBSN
U.S. stocks are sinking Wednesday following new inflation data that showed prices accelerated for a third consecutive month. The hotter-than-expected report further dashed hopes for Fed rate cuts this year amid fears that progress may be stalling in taming elevated price levels.
The S&P 500 slumped 1.1% in early trading and is on track for one of its worst days of the year so far. The Dow Jones Industrial Average was down 451 points, or 1.2%, as of 9:35 a.m. EST, and the Nasdaq composite was 1.1% lower.
"There are still embers of inflation here and there in the economy," said Joe Davis, chief global economist at Vanguard.
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Ed Martin, the acting U.S. attorney for the District of Columbia, revealed he has opened inquiries into public statements of Sen. Chuck Schumer, the Democratic leader in the U.S. Senate, according to an internal memo to federal prosecutors in Washington.
Washington — A federal judge on Thursday allowed President Trump's efforts to shrink the federal workforce to continue moving forward while legal proceedings continue, declining a request from a group of labor unions to temporarily block his firing of federal employees and other actions targeting government workers.
The nation's largest airlines are looking to rescind new consumer protection rules for travelers with disabilities, arguing in court filings that the U.S. Department of Transportation had exceeded its authority in enacting them.
President Trump on Wednesday said he's considering using 20% of the savings from Elon Musk's cost-cutting task force, the Department of Government Efficiency, or DOGE, to provide direct payments to taxpayers. But economists and policy experts across the political spectrum expressed skepticism about the feasibility of such a "DOGE dividend."
NBA star Victor Wembanyama is expected to miss the remainder of the season with deep vein thrombosis in his right shoulder, the San Antonio Spurs announced Thursday. The team said doctors discovered the condition after Wembanyama returned to Texas following the All-Star break in San Francisco.
Former Senate GOP Leader Mitch McConnell said he won't run for reelection in 2026, and is expected to announce his impending departure from the Senate on Thursday, his 83rd birthday.
How Clinton's "reinventing government" compares to DOGE's approach: "We cut fat and they cut muscle"
As President Trump and Elon Musk's Department of Government Efficiency push to slash spending, Republican allies have pointed to a White House program from 30 years ago as akin to DOGE's efforts.
A grand jury recommended abolishing a small Alabama police department because of a "rampant culture of corruption" after charging five officers with a variety of crimes, officials announced Wednesday.
Two teenagers are under arrest for allegedly plotting what the FBI is calling "a mass casualty attack" at a Houston-area high school.
An Idaho judge declined to throw out key evidence against the man charged with murder in connection with the killings of four University of Idaho students, saying Wednesday that the genetic investigation process that it hinges on was not unconstitutional.
Defense Secretary Pete Hegseth has directed the Pentagon to come up with plans to cut 8% from the defense budget in each of the next five years, according to sources familiar with his plans. The Defense Departmen expects to redirect those fund to other programs in the department that would be prioritized by President Trump.
A U.S. appeals court on Wednesday denied the Trump administration's bid to pause a lower court ruling that blocked the president's executive order seeking to terminate birthright citizenship.
John Rosenow, a fifth-generation farmer in Waumandee, Wisconsin, owns more than 900 acres and over 600 dairy cows. He said about 90% of the work on the farm is done by immigrants.