The Federal Trade Commission (FTC) issued a final ruling banning the practice of noncompete agreements. The FTC maintains the noncompetes denied workers "the fundamental freedom" to switch jobs which in turn will increase innovation and foster new business formation. The regulators estimate that another 8,500 startups will be created every year now that the practice is banned.
The U.S. Dollar is Strengthening. Here’s What’s Driving the Rally and What it Means for Americans (Macro News for April 20, 2024 – April 26, 2024)
The U.S. dollar continued its upward trend with the U.S. dollar index closing at 106.26, which is its highest level since November 2023. The index measures the strength of the dollar against six peers. The peer currencies include the Euro, the Japanese yen, the Canadian dollar, the British pound, the Swiss franc, and the Swedish krona.
March Home Sales Dropped Despite a Surge in Supply. Here’s Why (Micro News for April 13, 2024 – April 19, 2024)
Previously owned home sales fell by 4.3% in March 2024 compared to the previous month and were 3.7% lower than March 2023. Experts attributed the decline to higher mortgage rates. Mortgage rates for a 30-year fixed rate mortgage increased from the mid-6% range in January to around 7.5% which increases monthly mortgage payments for the same price home.
IMF Raises Growth Forecast for ‘Overheated’ U.S. Economy and Urges Caution on Rate Cuts (Macro News for April 13, 2024 – April 19, 2024)
The International Monetary Fund (IMF) increased its forecast of U.S. economic growth for 2024 to 2.7%. This new forecast is 0.6% higher than the previous forecast. The U.S. growth rate is far above its developed economy peers which include Germany, Japan, and Canada. The 20 nations that use the euro are expected to grow by a lackluster 0.8% for the year 2024.
Pearson Economic News 