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Stocks with high correlation to interest rates reached all-time high in March

Businessman Looking At Prospect Of Higher Interest Rates

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Companies whose stock prices have historically shown high correlation to movement in interest rates recently saw an all-time high as odds of rate hikes may seem more plausible for investors than rate cuts.

Although it has lagged in the past

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‘Harry Potter’ show has serious security, expected racist backlash

The “Harry Potter” team did not need a divination expert to know its cast would encounter some “unpleasant and aggressive behavior.”

HBO boss Casey Bloys told multiple outlets this week that the network had taken precautions anticipating the vitriol the “Harry Potter and the Philosopher’s Stone” actors would face. Ghanian-English actor Paapa Essiedu recently spoke out about the racist abuse and death threats he has received since the announcement that he had been cast as potions professor Severus Snape.

“With all actors on any kind of big IP shows — and this is obviously one of those where you’ve got, you know, passionate fans, people with a lot of opinions — it can get scary in places,” Bloys told Variety in an interview published Tuesday. “So for any show like that, we anticipated it and tried to have training, you know, best practices in terms of social media and how to handle it. And obviously we’ve got a serious security team.”

Essiedu, who is portraying the enigmatic but ultimately heroic Hogwarts professor first brought to life by Alan Rickman in the original “Harry Potter” films, has opened up about the racist abuse he has received from those who believe a Black man should not be playing the fictional wizard.

“I’ve been told, ‘Quit or I’ll murder you,’” he said in an interview with the Times of London. “The reality is that if I look at Instagram, I will see somebody saying, ‘I’m going to come to your house and kill you.’”

“[N]obody should have to encounter this for doing their job … And I’d be lying if I said it doesn’t affect me emotionally,” Essiedu added.

This is not the first time that fans of J.K. Rowling’s Wizarding World novels expressed outrage over the casting of a Black actor in an adaptation. There was a similar outcry in 2016 when Noma Dumezweni was cast to play Hermione Granger in the original London production of “Harry Potter and the Cursed Child.”

It’s also not a situation unique to “Harry Potter.” Racist vitriol has been hurled toward actors in other genre franchises, including fantasy shows such as “House of the Dragon” and “The Lord of the Rings: The Rings of Power,” as well as those involved in “Star Wars” and the Marvel Cinematic Universe.

Bloys also told Deadline in an interview published Wednesday that they had “anticipated there would be a lot of interest in all of [the actors], and interest can tip over into more unpleasant and aggressive behavior.”

“We talked to them about what to expect, what to expect on social media and how we handle it, but any kind of security that’s needed is an unfortunate aspect of doing IP shows,” he said. “We just try to be mindful and monitor it.”

Essiedu also told the Times of London that “the [racist] abuse fuels” him.

“[It] makes me more passionate about making this character my own, because I think of how I felt as a kid,” he said. “I would imagine myself at Hogwarts on broomsticks, and the idea that a kid like me can see themselves represented in that world? That’s motivation to not be intimidated by someone saying they’d rather I died instead of doing work I’m going to be really proud of.”

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Analyst says that Iran’s interest is in an extended war | US-Israel war on Iran

Quotable

‘Iran has the ability to keep hurting the global energy markets.’
Rob Geist-Pinfold, a lecturer in International Security at King’s College London, says that the United States has an interest in ending the war on Iran, while Tehran is likely to prolong the conflict to increase pressure on global markets and force more favourable terms

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California governor candidate Matt Mahan unveils government reform plan

When he entered the race for California governor, San José Mayor Matt Mahan pitched himself as a pragmatic Democrat who would prioritize improving residents’ quality of life and government efficiency.

He unveiled a key part of that promise on Tuesday with an expansive plan to reform state government, including tying pay raises for elected officials and other top leaders to improvements on key issues, and pledging not to approve any tax increase until the state proves “that we can deliver better outcomes with the dollars we already have.”

Mahan also delivered a blistering rebuke of ballooning state spending — which, as he often points out on the campaign trail, has increased nearly 75% over the last six years. In 2020, amid the COVID-19 pandemic and accompanying economic uncertainty, California lawmakers approved a no-frills state budget that came in at $202 billion. Gov. Gavin Newsom’s latest spending proposal is nearly $349 billion.

“We have fallen into this lazy, reflexive mindset of always going back to voters and telling them that the only solution to every problem is a tax increase or a new bond or a new rule coming down from Sacramento,” Mahan said in an interview. “We need to step back and take a really hard look at our existing spending and increase the level of transparency and accountability in government.”

His eight-page plan includes ways to measure and track accountability, some of which are drawn from policies in other states. They include lobbying reforms, following up on audit recommendations and overhauling the state’s digital infrastructure and its procurement process — services Mahan described as “clunky and cumbersome.”

He also proposed a “California Performance Review,” inspired by a similar effort in Texas throughout the 1990s, that would review state agencies and solicit input from employees to eliminate waste and inefficiencies.

But near the top of the list is a proposal to tie pay raises for state officials including the governor, lawmakers and thousands of gubernatorial appointees to “measurable outcomes” in areas such as reducing homelessness and unemployment.

“People in the real world don’t get raises if they don’t do a good job,” Mahan said, “and I think it should be the same for the politicians and senior administrators who are allocating budgets, leading projects, making the big decisions on behalf of the people of California.”

Though the benchmarks would be created with input from the state Legislature, Mahan floated one example: reducing unsheltered homelessness by 5% to 10% within one year, something he said he’s accomplished three years in a row in San José.

It’s a solution one might expect from a former entrepreneur and mayor of a city in the heart of Silicon Valley. Mahan made a similar proposal at the local level last year, but it was rejected by the City Council.

“Tying pay to performance is nothing short of revolutionary in government. It’s a private-sector model that is overdue,” said former state Sen. Steve Glazer (D-Orinda), a Mahan supporter who sponsored several bills aiming to increase transparency in government.

Dozens of tech company executives are backing Mahan in the race for governor and have collectively donated millions to his campaign, as well as two independent expenditure committees supporting him.

That has raised concerns from some voters, and criticism from some of Mahan’s opponents, that he would be beholden to their interests and veto future regulations on tech or artificial intelligence companies.

Mahan has sought to dispel those concerns, arguing that he believes AI and social media platforms should be regulated. Of his plan to overhaul state information technology systems and infrastructure, he said that “whenever we spend public dollars, we have to run open, transparent and competitive procurement processes that ensure best value for the taxpayers.”

Though Mahan did not specify how he would link government outcomes to pay raises, state lawmakers have largely panned his campaign and are unlikely to get on board. The change probably would also require voter approval.

Currently, annual raises for elected officials are determined by a citizen commission that was added to the California Constitution in 1990. Changing how that panel works or imposing limits on when it can approve raises would require a constitutional amendment, which requires voter sign-off.

But Mahan contended it would be one of the fastest ways to fix a system that he says works for special interests at the expense of working people.

“I’m under no illusion that this will be easy, but I think it’s a necessary realignment of incentives,” he said. “We have to make ourselves as accountable to the people as we possibly can be.”

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Valerie Perrine dead: ‘Lenny’ and ‘Superman’ actor was 82

Valerie Perrine, the Las Vegas showgirl turned Oscar-nominated actor best known for playing Lenny Bruce’s wayward wife Honey Harlow in “Lenny” and Lex Luthor’s secretary Eve Teschmacher in the 1978 and 1980 “Superman” films, died Monday morning. She was 82.

Perrine’s death was confirmed by Stacey Souther, her close friend and the director of the 2019 documentary “Valerie,” which followed the star’s debilitating battle with Parkinson’s disease.

“It is with deep sadness that I share the heartbreaking news that Valerie has passed away,” Souther announced on social media. “She faced Parkinson’s disease with incredible courage and compassion, never once complaining. She was a true inspiration who lived life to the fullest — and what a magnificent life it was. The world feels less beautiful without her in it.

“I love you, Valerie. I’ll see you on the other side.”

Souther also shared a GoFundMe link and a note that Perrine’s final wish was to be laid to rest at the Hollywood Hills Forest Lawn Cemetery. “After more than 15 years of fighting Parkinson’s, her finances are exhausted.”

Perrine was born Sept. 3, 1943, in Galveston, Texas, to parents Renee and Kenneth, a dancer and a U.S. Army lieutenant colonel. A military brat growing up, Perrine moved frequently and spent time in Japan, Paris and Scottsdale, Ariz.

She attended the University of Arizona, but her academic aspirations were short-lived. She skipped town, trading her textbooks for a feather headdress and G-string in Las Vegas. Soon she was a lead dancer in the star-spangled Lido de Paris show at the Stardust Hotel. She told the New York Times in 1974 that she spent some of her $800 weekly paycheck on experimenting with drugs: acid, mescaline, peyote, cocaine — you name it, she tried it.

Eight years after her foray into Vegas showbiz, her movie career kicked off unexpectedly during a visit to Hollywood. An agent at a friend’s dinner party took a liking to her, she told the Los Angeles Times in 2013. He asked if she had any publicity photos. The only one she had was in her topless Lido costume.

The sexy picture made its way to the desk of Monique James, the head of new talent at Universal. “She called me in and asked if I had ever acted before and I said ‘no,’” Perrine said. “She arranged a screen test.”

Paul Monash, the producer of “Slaughterhouse-Five,” which was based on Kurt Vonnegut’s acclaimed novel about World War II and time travel, directed the screen test. “They told me to wear a bikini because they wanted to see what my body looked like. I didn’t have a bikini. I wore my G-string and that was it.”

“I had been working in Vegas all the time and had been on the beach in St. Tropez, so being [naked] didn’t mean anything to me,” she told The Times. “It was my attitude that sparked his interest and the way I read the line, ‘Oh, you’re a moon child.’ He hired me.”

Dustin Hoffman as Lenny Bruce and Valerie Perrine as Honey Harlow star in a scene from the 1974 movie, "Lenny."

Dustin Hoffman as Lenny Bruce, left, and Valerie Perrine as Honey Harlow in a scene from the 1974 movie, “Lenny.”

(United Archives via Getty Images)

Soon after, she portrayed the love interest of NASCAR driver Junior Johnson opposite Jeff Bridges in the 1973 sports drama “The Last American Hero.” Perrine and Bridges dated briefly while working on the film. The same year she became the first woman to bare her breasts on television in the PBS telefilm “Steambath.”

Bridges described Perrine in the 2019 documentary “Valerie” as having a “real sense of fun and play.”

“She was excited about life and excited where she was and it’s a contagious feeling,” he said. “Growing up in a military family and traveling all over the world made her a really interesting person and as an actress, she had the ability to bring all of that into her performances.”

In 1974, she tapped into her showgirl background to portray the drug-addled stripper Honey Harlow opposite Dustin Hoffman as Lenny Bruce in the biopic “Lenny.” Her performance garnered rave reviews. She nabbed the lead actress award at the Cannes Film Festival, BAFTA named her most promising newcomer and she was nominated for an Oscar.

Perrine was perhaps best known for her portrayal of Eve Teschmacher, Lex Luthor’s secretary and love interest in the 1978 “Superman” starring Christopher Reeve, Gene Hackman and Marlon Brando. She played the role again in 1980’s “Superman II.”

She also starred in the 1980 disco flick “Can’t Stop the Music” alongside the Village People and Caitlyn Jenner. The movie flopped and Perrine was so mortified by the film’s poor reception that she moved to Europe. She didn’t officially retire from acting until around 2010, and by 2015 she had gone public with her Parkinson’s disease diagnosis.

The 2019 documentary short “Valerie,” directed by Souther, dropped the veil on Perrine’s battle with the illness, with her loss of bodily autonomy captured in the film. She said “the shakes” caused her to struggle and the level of care she required made her feel like a baby.

Still intact, though, were her sharp wit and self-deprecating sense of humor. In the film a doctor explains that there are times when physicians aren’t able to pin down a diagnosis or there are multiple diagnoses.

“The doctors don’t know what’s going on with me,” Perrine says. “They can’t figure it out.”

“What do you think it is?” the doctor asks Perrine.

“Karma,” she quips.



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US Fed keeps interest rates steady amid economic, geopolitical uncertainty | Banks News

The United States Federal Reserve will hold interest rates steady as the labour market cools and prices on goods and services surge following the US and Israel’s joint strikes on Iran.

The central bank will maintain its benchmark rate at 3.5–3.75 percent, consistent with the Fed’s decision last month, when it also held rates steady.

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“The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. Uncertainty about the economic outlook remains elevated. The implications of developments in the Middle East for the US economy are uncertain,” the central bank said in a statement announcing its policy decision and referring to its Federal Open Market Committee.

“The Committee is attentive to the risks to both sides of its dual mandate.”

Holding rates steady was in line with estimates. CME FedWatch, a tool that tracks monetary policy decisions, forecast that there was a 99 percent chance that rates would hold steady.

The stall comes after three rate cuts in 2025.

Global gripes

Consumers are also facing the repercussions of US President Donald Trump’s trade and military policies in their daily expenses.

“Despite meaningful progress on inflation in 2024, Trump’s tariffs have stalled progress and kept inflation persistently above the Fed’s target. Wholesale prices are running hot as service prices surge, and now, Trump’s war in Iran is rocking commodity markets around the globe,” Elizabeth Pancotti, managing director of policy and advocacy at Groundwork Collaborative, an economic think tank, said in comments provided to Al Jazeera.

Last month, the US Supreme Court ruled against the president for his use of the International Emergency Economic Powers Act (IEEPA). The high court said the president exceeded his authority and that the tariffs imposed under that order must be refunded. However, the president then imposed new tariffs not covered by IEEPA.

The White House announced a 15 percent tariff through Section 122, which allows the president to impose tariffs for 150 days. Those changes were reflected in the producer price index report released by the US Department of Labor’s Bureau of Labor Statistics on Wednesday.

Wholesale prices rose by 0.7 percent for the month, marking the biggest one-month surge in a year. Goods prices rose 1.1 percent overall after tumbling for two months. Energy prices rose by 2.3 percent, with the cost of gas or petrol rising by 1.8 percent. Those costs are expected to get higher as tensions rise in the Strait of Hormuz following joint US-Israel strikes on Iran in late February and the subsequent retaliation.

“In the near term, higher energy prices will push up overall inflation; however, it is too soon to know the scope and duration of the potential effects on the economy,” Fed Chair Jerome Powell told reporters.

In the last month, petrol prices have jumped for US consumers. The average price for a gallon of regular gasoline is $3.84, up from $2.92 this time last month.

“The Fed’s inflation worries extend beyond weathering a fleeting wave of one-off price hikes associated with tariffs and, more recently, an energy price spike,” Stephen Stanley, chief US economist at Santander US Capital Markets, told the Reuters news agency.

Labour market stalls

Holding rates steady also comes as the job market stagnates. The latest jobs report, which was released earlier this month, showed that the US economy lost 92,000 jobs, with unemployment rising to 4.4 percent.

Meanwhile, the Job Openings and Labor Turnover Survey, or JOLTS report, which came out last week, showed 6.9 million open jobs in the US, unchanged from the month prior. That shows that employer hiring has stalled and that those who have jobs are seldom leaving for new ones.

“This might be one of the toughest moments in recent memory for the Federal Reserve’s Open Market Committee,” Michael Linden, Senior Policy Fellow at the Washington Center for Equitable Growth, said in remarks provided to Al Jazeera. “Recent data has revealed that economic growth in the back half of last year was extremely weak, the labour market seems to be on the precipice of disaster, and prices keep rising faster than anyone feels comfortable with.”

Political undercurrents

Wednesday’s decision is the second-to-last one of current Fed Chair Powell, whose term is up in May. Powell, who was first appointed by Trump during his first administration, has been a target of Trump’s scorn and criticisms for not cutting interest rates fast enough.

“When is ‘Too Late’ Powell lowering INTEREST RATES?” Trump posted on his social media platform Truth Social on Wednesday morning ahead of the decision.

Previously, Trump said he would not nominate someone to lead the central bank unless the nominee agreed with his position.

“Anybody that disagrees with me will never be the Fed Chairman!” Trump said in a post on Truth Social in December.

“We at the Fed will continue to do our jobs with objectivity, integrity and deep commitment to serve the American people,” Powell told reporters.

Trump’s nominee to succeed Powell, Kevin Warsh, has his nomination in flux as Republican Senator Thom Tillis said he would not vote to advance any of Trump’s nominees to the central bank until a criminal probe into the current chairman, Powell, is closed.

Tillis sits on the Senate Banking Committee, which vets nominees for the central bank, including Warsh. He said he will not approve Trump’s Fed nominees until the probe of Powell is closed. The criminal probe of Powell centres on Fed building renovations after a judge quashed grand jury subpoenas and called the investigation a pretext to pressure the central bank to lower interest rates.

If Warsh has not been confirmed by the Senate in time for the Fed’s June 16–17 meeting, Powell would continue to lead the rate-setting Federal Open Market Committee.

“If my successor is not confirmed by the end of my term as chair, I would serve as chair pro tem until he is confirmed. That is what the law calls for,” Powell said.

“On the question of whether I will leave while the investigation is ongoing, I have no intention of leaving the board until the investigation is well and truly over with transparency and finality.”

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Fed holds interest rates steady amid Iran war, poor inflation report

March 18 (UPI) — The Federal Reserve announced that it is leaving its benchmark interest rate untouched Wednesday in its first Federal Open Market Committee statement since the start of the war with Iran.

The Fed’s benchmark interest rate remains at a 3.5% and 3.75% range as the committee held on to its projection of at least one rate cut coming this year.

“Available indicators suggest that economic activity has been expanding at a solid pace,” the FOMC statement said. “Job gains have remained low and the unemployment rate has been little changed in recent months. Inflation remains somewhat elevated.”

As for the war in Iran, the statement said its impact on the U.S. economy is “uncertain.”

The Fed continues to pursue monetary policies it believes will bring the rate of inflation down to 2%. In its statement it said it is “committed to supporting maximum employment,” in pursuit of its target.

Economic reports that inform the Fed’s decision have indicated pressures from inflation remain and economic growth has slowed.

Wednesday’s announcement comes on the heels of a producer price index report earlier in the day that showed the largest increase to the index for final demand goods since August 2023.

Last week, the U.S. Bureau of Labor Statistics reported that nonfarm payrolls fell by 92,000 in February. The unemployment rate increased to 4.4%.

These reports have economists and traders cooling on the potential for interest rate cuts. Eugenio Aleman, chief economist at Raymond James, said in a statement that the wholesale inflation report on Wednesday, “likely reinforces a hold decision.”

Data from the producer price index report predates the beginning of the war with Iran.

President Donald Trump receives a bowl of shamrocks from Irish Taoiseach Micheal Martin to celebrate St. Patrick’s Day at the White House on Tuesday. Photo by Yuri Gripas/UPI | License Photo

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