U.S. Economy and Business News

Stocks on both sides of the Atlantic set records as investors foresee interest rates moving in one direction: down.

The largest U.S. retailer had robust quarterly results and an upbeat outlook, giving insight into how consumers are weathering high interest rates.

Investors seized on the latest inflation report as another sign that interest rates could be cut this year, helping push the S&P 500 past its March record.

Prices rose 3.4 percent in April from a year earlier, a slight easing from the previous month and a positive sign for the Federal Reserve.

The Consumer Price Index inflation measure accounts for housing costs in a complicated way. There are reasons for it.

Soaring premiums have become a prominent driver of inflation, and insurers say that more increases could be on the way. How did it get like this?

Jerome H. Powell, the Federal Reserve chair, said the central bank was poised to leave interest rates on hold after surprisingly stubborn inflation.

Heavy subsidies for industry, together with weak sales in China, have set the stage for an export boom, raising fears of factory job losses elsewhere.

The economy as a whole has proved resilient amid the highest rates in decades. But beneath the surface, many low- and moderate-income families are struggling.

Hopes for a steep drop in borrowing costs for consumers and businesses have been dashed. But some experts predict modest reductions in coming months.