Editorial: Shocking new rates for homeowners insurance threaten Florida's economy
Florida homeowners, already facing an anxious few months because of the COVID-19 pandemic, face a new threat — the prospect of major cost increases for property insurance.As the Sun Sentinel reported Sunday, the increases could range from 30% to 40%. They would come just as Gov. Ron DeSantis has ended the moratorium on mortgage foreclosures. It also seems likely that Senate Republicans won’t pass a second COVID-19 stimulus bill that could help laid-off homeowners pay their insurance premiums.How will the Florida Legislature respond? If history is a guide, the priority will be to please the ins...
The Week Ahead: Testing market confidence in profits and politics
President Trump’s positive COVID-19 diagnosis doesn’t change the market’s convictions in two things: that there will be another federal stimulus bill and that corporate profits are recovering.The latter conviction is better grounded than the former. Yet it’s the faith that more stimulus is coming that may be tested in the week ahead without meaningful evidence.The bulk of quarterly corporate earnings results still are a few weeks away. Confidence is high that the third quarter was not the mess business experienced in the springtime. Sure, the pandemic continues: Shutdowns and re-openings added...
The Week Ahead: Fiscal stimulus diplomacy
Jerome Powell needs to be an ambassador as much as he is a central banker when he appears on Capitol Hill in the week ahead.He is scheduled to testify before the Select Subcommittee on the Coronavirus Crisis on Wednesday. This will be the first time this group has heard from the Federal Reserve chairman. And his appearance comes a week after the central bank indicated it expects to keep its key interest rate at zero for at least two more years.Powell didn’t come right out and say that, though. Instead, the interest rate-setting committee said it would keep rates where they are until inflation ...
The Week Ahead: Pandemic, partisanship and pressure for more stimulus
Last week’s market swoon didn’t burst the optimism of stock investors. But if it continues in the week ahead, it will press Congress to move on a stalled coronavirus economic stimulus package.Let’s be clear: The inability of Congress to make any meaningful moves on providing additional support to the U.S. economy battling a pandemic is about politics, not policy. The Democratically controlled House OK’d an additional $3 trillion package in May. Senate Republicans proposed their own set of plans in July. There is some common ground — $1,200 stimulus checks — but not much else.There has been som...
Stimulus checks aside, little agreement in Congress over new stimulus plan
WASHINGTON — As time expires on elements of the first coronavirus relief package, the triple threat of mass evictions, lost unemployment benefits and cratering gross domestic product has yet to bring the U.S. Senate and House and the White House together on a new economic stimulus plan.The House passed a $3.4 trillion relief plan, the HEROES Act, in May. This week, the Senate offered a $1.1 trillion plan, the HEALS Act. With an August recess set to begin Aug. 8, both chambers of Congress are under pressure to reach an agreement over starkly different approaches to rescue the U.S. economy from ...
Star Tribune (Minneapolis)