Regulators Are Fed Up With Food-Delivery Fees

American consumers have been forced to eat food-delivery costs sometimes nearly as big as the meals themselves. Regulators are fed up. In addition to new laws boosting compensation and benefits for delivery drivers, restaurant protections such as pandemic-related commission caps have been proliferating at the city and state levels. Consumer protections could be next. New laws have been costly for delivery players that have been struggling to generate consistent profits lately. On its third-quarter conference call, Uber , which owns and operates Uber Eats, suggested it wouldn’t absorb all of the added costs related to the passage of Proposition 22 in […]

Continue reading

Fed, Treasury Extend Main Street Lending Program Cutoff Date to Jan. 8

The Treasury Department and Federal Reserve said Tuesday they had extended the cutoff date for the Main Street Lending Program, which was initially set to close this Thursday, to Jan. 8 to process a last-minute crush in loan approvals. Treasury Secretary Steven Mnuchin last month declined to grant an extension to several emergency-lending programs run by the Fed, including the Main Street Lending Program, which is designed to support lending to small and midsize businesses and nonprofits disrupted by the coronavirus pandemic. As a result, the program stopped accepting loans on Dec. 14, but it witnessed a flood of loan submissions […]

Continue reading

Thank the Fed for the Stock Market’s Run—And the Plodding Pace to Come

Many investors are still bewildered that the shock of 2020’s economy gave rise to the awe that is this year’s stock market. The puzzle gets worse: Stocks have done better than their norm of the past century even if you invested at the high in 2007 and held through both the worst financial crisis and worst pandemic in 100 years. What on Earth is going on? The answer should give pause to investors who plan to hold for the long run. Stocks have won big, not primarily because earnings went up but because the cost of money went down almost to […]

Continue reading

Fed Readies More Guidance on Bond-Buying Plans

Federal Reserve officials are likely to unveil this month new guidance about how long they expect to continue their current asset-purchase program. The approach, which would be detailed at their Dec. 15-16 meeting, would align the program with conditions they spelled out in September about how long they expect to keep interest rates near zero. But in recent interviews and public remarks, officials have said they don’t think they need to change the asset-buying program now to deliver more economic stimulus. Since the Fed’s previous meeting in early November, several drugmakers have released very positive news about vaccines against Covid-19. While […]

Continue reading

Bets on More Fed Bond-Buying Help Contain Treasury Yields

Some investors are betting that the Federal Reserve could start buying more long-term U.S. Treasurys as soon as its next policy meeting, a trend that has helped temper some recent selling and kept yields from rising higher. One factor influencing such bets: the outcome of the Nov. 3 election, which resulted in the strong possibility of divided government in Washington and left investors thinking the Fed might need to assume more responsibility to support an economy increasingly buffeted by a surge in coronavirus cases. … Source link

Continue reading

Fed Hires BlackRock to Help Calm Markets. Its ETF Business Wins Big.

The Federal Reserve’s March commitment to deploy billions of dollars to prop up the economy was a boon for the company the Fed hired to help execute its plan: BlackRock Inc., the world’s largest asset manager. In response to the pandemic-induced market collapse, the Fed promised to buy corporate bonds and exchange-traded funds that invest in collections of corporate debt. The… Source link

Continue reading

U.S. Stock Futures Fall as Fed Outlook Rattles Investors

U.S. stock futures fell Thursday, pointing to a steepening rout in the S&P 500 as investors became unsettled by the Federal Reserve’s dour outlook as well as conflicting signals about when vaccines may become available. Futures tied to the S&P 500 dropped 1.2%, suggesting that the benchmark may fall for a second day after the opening bell in New York. Contracts tied to the Nasdaq Composite fell around 1.3%, pushing the tech-heavy index further into negative territory for the month. … Source link

Continue reading