Author

admin

Browsing

A very specialized part of the world’s largest naval drills off the northern Hawaiian island of Kauai is gaining attention on both sides of the Pacific.

Earlier this month, the US and allies practiced taking out a large surface ship with long-range weapons, including, for the first time, a US Air Force B-2 bomber.

In one test that analysts called “very significant” in what it could mean for the calculus of any future, hypothetical conflict between the US and China, a B-2 stealth bomber hit a decommissioned amphibious assault ship with an inexpensive guided bomb.

The test of the weapon, dubbed QUICKSINK by the US Air Force, occurred on July 19, when a B-2 participated in the sinking of the ex-USS Tarawa, a retired 820-foot-long, 39,000-ton amphibious assault ship, a vessel the size of a small aircraft carrier.

It showed the US military can use one of its most survivable weapons platforms, the B-2 Spirit stealth bomber, to sink a major surface ship with a low-cost guided bomb.

“This capability is an answer to an urgent need to quickly neutralize maritime threats over massive expanses of ocean around the world at minimal costs,” said a press release from the US Navy’s 3rd Fleet, which led Rim of the Pacific 2024 (RIMPAC), the exercise that included the sinking of the ex-Tarawa.

The B-2 bomber is the US military’s most sophisticated aircraft. The Air Force says its stealthy characteristics allow it to penetrate heavily defended areas and also fly with a small chance of being detected by radar at high altitudes. That gives the B-2’s sensors the ability to get a view of the battlefield not possible in lower-flying planes.

Mating it up with relatively cheap and demonstrably effective precision-guided bombs with warheads of up to 2,000 pounds could give the Air Force bombers the “anti-ship lethality” of a submarine-launched torpedo without the liabilities of a submarine, according to a US Air Force website.

“A Navy submarine has the ability to launch and destroy a ship with a single torpedo at any time, but by launching that weapon, it gives away its location and becomes a target,” the Air Force Research Lab says.

QUICKSINK could provide “a low-cost method of achieving torpedo-like seaworthy kills from the air at a much higher pace and over a much larger area than covered by a lumbering submarine,” it says.

The Air Force first tested QUICKSINK in 2022, when an F-15 fighter jet released a GBU-31 Joint Direct Attack Munition (JDAM) that destroyed a full-scale surface target in the Gulf of Mexico, according to an Air Force statement.

Analysts say QUICKSINK launched from a B-2 would give China’s People’s Liberation Army Navy (PLAN) much to consider in the event of any possible conflict in the western Pacific, including around hotspots like Taiwan, the Philippines and the southern islands of Japan.

“It is very significant,” said Carl Schuster, former head of the US Pacific Command Joint Intelligence Center.

“The B-2’s demonstrated anti-maritime capability will constrain if not deter PLAN operations east of Taiwan or off the Philippines.

“You cannot ignore a weapon that can sink a 25,000-plus-ton ship with one hit,” Schuster added.

In any conflict close to its home shores, China, on paper, holds distinct advantages.

It has thousands of missiles on the Chinese mainland, the world’s largest navy to dominate nearby seas and the ability to provide air cover to those ships from land-based aircraft.

But the B-2, and other systems tested at RIMPAC, could negate some of China’s advantages with long-range fire, analysts said.

“It extends the range at which potential enemies can be held at risk through advanced weapons whilst retaining a considerable degree of stealth. It basically says, you are not safe no matter where you are in this vast theater,” said Alessio Patalano, professor of war and strategy at King’s College in London.

Anti-ship missiles

Long-range missiles were also fired from aircraft and ships during RIMPAC.

A US Navy F/A-18 also hit the ex-Tarawa with a Long-Range Anti-Ship Missile (LRSAM), “a precise, stealthy, and survivable cruise missile,” the Navy’s 3rd Fleet press release said.

This missile can hit targets up to 230 miles (370 kilometers) away with a 1,000-pound warhead while navigating semi-autonomously to its target.

And the Royal Australian Navy destroyer HMAS Sydney struck the ex-Tarawa with a Naval Strike Missile (NSM), an achievement Vice Adm. Mark Hammond, Australia’s chief of navy, said “represents a significant increase in the lethality of our surface fleet.”

“Multi-domain strike capabilities including Naval Strike Missile are foundational to deterring any potential adversary’s attempts to project power against Australia,” he said.

The Naval Strike Missile, developed by Norwegian defense company Kongsberg Defence & Aerospace, can challenge an adversary’s defenses by flying at sea-skimming altitudes and making evasive maneuvers in flight at a range of 115 miles (185 kilometers).

A US Navy destroyer, USS Fitzgerald, also tested a Naval Strike Missile during RIMPAC, and the weapon has previously been fired from a US littoral combat ship and land-based versions have been successfully tested by the US Marine Corps.

The ex-Tarawa was one of two surface vessels sunk during RIMPAC. On July 11, the ex-USS Dubuque, a 17,000-ton amphibious transport dock was sent to the bottom of the Pacific, also off Kauai.

‘Real-world experience’

Besides the US and Australian units, forces from South Korea, Malaysia and the Netherlands participated in ship-sinking exercises.

“Sinking exercises give us a chance to sharpen our skills, learn from one another, and get real-world experience,” US Navy Vice Adm. John Wade, RIMPAC 2024 Combined Task Force commander, said in a statement.

“Using advanced weapons and seeing the professionalism of our teams during these drills shows our commitment to keeping the Indo-Pacific region safe and open.”

John Bradford, a Council on Foreign Relations International Affairs fellow, said the RIMPAC tests show what kind of conflict the US is preparing for in the region.

“We can fully expect a major power naval conflict in the Pacific to be predominantly a fight of long-range weapons,” Bradford said.

“The US is investing in readiness for this sort of combat,” he said.

View from China

China was taking note of the RIMPAC plans even before the ship-sinking exercises took place.

A commentary in the state-run Global Times on June 27, the day RIMPAC began, said, “the only country deemed as ‘enemy’ by the US that operates a 40,000-ton amphibious assault ship in the Asia-Pacific region is China.”

The PLA Navy has three Type 075 amphibious assault ships, which displace around 36,000 tons, in service with a fourth being readied. A bigger successor, the Type 076, is also under construction.

Global Times has previously cited Song Zhongping, a Chinese military expert and TV commentator, as saying the Type 075s could be called into action in the Taiwan Strait or South China Sea if the situation dictated it.

“The choice of the USS Tarawa as the sinking target reflects the concern of the US and its allies about the development and strength of China’s maritime power, especially regarding the mainland’s military deterrence on the Taiwan island,” the Global Times commentary said.

But it said sinking the ex-Tarawa, which was commissioned in 1976, had little relevance in 2024.

“Such an outdated ship cannot be compared with modern military equipment,” Global Times said.

This post appeared first on cnn.com

The NBA announced a new media deal late Wednesday that would end its long-standing relationship with TNT, while adding and restarting partnerships with Amazon and NBC — expanding the reach of professional hoops but potentially posing new access issues to fans.

Starting in the 2025-2026 season, existing partner ABC and its sister network ESPN will now share broadcast rights with Amazon Prime Video, NBC and the NBCUniversal-owned Peacock. The league is seeking to wind down its 35-year tie-up with TNT, although it is now facing a lawsuit from TNT’s parent, Warner Bros. Discovery, as it does so.

Barring a dramatic last-minute change, all of this means the upcoming 2024-2025 season will be the last to feature the popular ‘NBA on TNT’ broadcast. Co-anchor and NBA Hall of Famer Charles Barkley said last month he would retire from TV following this season.

“Our new global media agreements with Disney, NBCUniversal and Amazon will maximize the reach and accessibility of NBA games for fans in the United States and around the world,” NBA Commissioner Adam Silver said in a statement. “These partners will distribute our content across a wide range of platforms and help transform the fan experience over the next decade.”

Comcast’s NBCUniversal is the parent company of NBC News.

The new arrangement means that a year from now, NBA fans looking for a complete national viewing schedule will have to subscribe to two streaming platforms: Peacock and Amazon Prime Video. And if they want to avoid traditional TV entirely, they’ll need a third: ESPN’s upcoming streaming service.

Still, many games will be available through traditional broadcast channels on ABC and NBC, and through cable via ESPN. The NBA will continue to sell a separate League Pass subscription that starts at $14.99 a month.

Here’s what a sample basketball week looks like according to the new agreement:

Early-round playoff games will also be split up among the networks; ABC will remain the exclusive home of the NBA Finals.

The deal also includes expanded WNBA coverage among those networks, with 125 games slated to be televised.

The deal marks a return of the basketball league to NBC after a run from 1990 to 2002 that coincided with the game’s rise to international popularity led by stars such as Michael Jordan, Shaquille O’Neal and Kobe Bryant. Mike Tirico will anchor the network’s coverage, NBC Sports President Rick Cordella told Richard Deitsch of The Athletic on Wednesday.

For the past 22 years, games have been split among ABC, ESPN (both owned by Disney) and TNT. The most recent agreements with those networks generated $24 billion, according to CNBC.

With the new deal, the NBA has nearly tripled that figure to approximately $76 billion, according to The Associated Press.

Live sporting events are highly coveted by broadcast groups because of the viewership they can command. This year’s regular season averaged 1.09 million viewers across ABC, ESPN, TNT and the league-owned NBA TV. While that was up just 1% from last year, it was the highest all-network average in four years, according to Sports Media Watch. 

Last year’s NBA playoffs was the most watched in 11 years, according to Nielsen.

In fact, annual ratings churn is not necessarily the most important part of the negotiations for sports broadcast rights. Rather, the slate of games themselves — known as ‘inventory’ in the industry — is valuable in itself as it ensures a consistent audience.

‘Inventory is what matters,’ said Jon Lewis, who runs SportsMediaWatch.com. ‘If you’re trying to build up a streaming service like Peacock, or Amazon sports, that inventory is a big deal. They’re clearly willing to pay a lot for it.’

This post appeared first on NBC NEWS

This is part of NBC News’ Checkbook Chronicles, a series of profiles highlighting the financial realities of everyday Americans.

On a hot Georgia afternoon this spring, Nancy Breland was in her yard clearing branches and debris, trying to ward off any potential damage to her home from a large storm heading toward her coastal town.

At 72, Breland has been doing much of the upkeep around her home after her husband fell ill several years ago. She’d like to hire some help but worries about the impact on her budget. 

Breland feels she should be able to retire comfortably after her husband spent his career working as a union pipe fitter and she worked for decades as a hospital medical technologist. Instead, she said, she feels under increasing financial pressure and has been looking to cut her monthly expenses in the face of rising prices for groceries, utilities, insurance and home maintenance. 

“All the money I will ever have come in is what I have now,” she said. “I am worried that as we get older, I will have to employ outside landscapers and house cleaning services when we can no longer do it ourselves. This will be an added cost on top of decreasing funds due to inflation. I know many of my friends are already struggling with this. Fixed income is very hard when inflation is so high.”


Primary source of income: Combined, Breland and her husband have around $7,600 in monthly income from their retirement accounts and pension and Social Security payments.

That is enough money to cover their monthly bills, though Breland has been cutting costs over the past year as other expenses have gone up, including a nearly 50% increase in her electric bill, to more than $300 a month. She recently canceled her cable service, which was costing her $257 a month, and now pays for just one streaming service. She stopped paying $600 a month for her and her husband’s long-term care insurance — deciding instead that if one of them has to go into a long-term care facility, they will sell their home to pay for it.

Living situation: Breland says she and her husband, who have been married for more than three decades, lived a comfortable life during their prime working years and saved regularly for retirement.

They have lived for 24 years in their current home in Brunswick, Georgia, a historic port town in the southeast corner of the state popular with vacationers. To keep busy after she retired, Breland took a part-time job at a hospital blood bank and was volunteering at a local sea turtle center and with her church. 

Breland said she has considered moving into an apartment that would have less maintenance, but a typical one-bedroom in her community goes for a minimum of $1,200 a month, and that would leave her with little space for her three dogs. She has little extra money to cover major one-time expenses, like a home repair, a vet bill or dental work, because her savings are largely tied up in retirement investment accounts.

Selling off any of those investments would leave her with less in monthly returns to live off. She would like to go back to working part time for some extra income but is worried about leaving her husband alone because of his health needs.

Economic outlook: Inflation has taken a particularly painful bite out of the budgets of retirees who aren’t able to reap the benefits of rising wages. While Social Security checks have increased relative to inflation, other sources of income for retirees, like pension payments and retirement savings accounts, haven’t necessarily kept up for many. 

Breland said her life took a turn financially and emotionally about three years ago when her husband and her brother became ill around the same time. As a full-time caretaker to both of them, Breland had to quit her part-time job as, she said, her days became consumed with doctor’s appointments and hospital stays.

“I spend all my time at three people’s doctor’s appointments, mine and theirs. It just wears you down. I’m just really tired of taking care of everybody,” she said. “My life, I thought before this, was perfect. That is what is really distressing to me emotionally. I was loving my job. I was loving volunteering.”

Budget pain points: Her monthly housing costs are around $1,600 a month for her mortgage, taxes and insurance, and they have been on the rise. Her homeowners insurance has gone from just under $2,000 in 2022 to $2,820 this year, and her flood insurance has gone from $525 in 2020 to $840, even though her home isn’t at high risk for flooding. Insurance for some of her neighbors has increased to as much as $5,000 a year.

Because her savings are largely tied up in retirement investment accounts, Breland had to take out a home equity loan recently to cover the cost of removing some dead trees and repairing the steps to her house. She still owes $10,000 on the loan.

What’s going well? After cutting some of her costs recently, paying off her car and receiving an increase in the minimum amount she is required to withdraw from her retirement investment account, she said, Breland has a bit more breathing room in her monthly budget.

Despite all of her husband’s medical issues over the past several years, she said, her health care costs have been mostly covered by a supplemental Medicare plan the couple pays around $350 a month for.

“We really are doing much better than we were. If we hadn’t had that medical insurance, it would not be a good thing here,” she said. “At least I’ve got a nice view from my back porch. I can sit here with my dog and my cold beer at night. But it’s not the only thing I wanted to be doing.”

What’s on her mind: Beyond her finances, Breland said that being the sole caretaker for her husband has taken its toll emotionally and left her feeling she is missing out on what were supposed to be some of her best years.

“I’m really frustrated, because there are a lot of things I thought I’d do at this stage of my life. I thought I would be traveling a lot. I wanted to see the Grand Canyon, I wanted to see Montana, I wanted to go out West,” she said. “I feel like I’m stuck here. I had this vision that I was going to do all these things, and it’s not going to happen. It’s terrible to say this, but I’m really envious when I look on Facebook and I see people I went to high school with and they’re off doing all these great things with their husbands everywhere.”

How she sees things: More widely, Breland said, she doesn’t think the economy is going in the right direction.

As a volunteer with her church, she said, she has seen an “overwhelming” number of people struggling with the rising cost of housing, transportation and groceries. 

“I’m looking at people trying to find a place to live in this town. I do not know how they afford rent when a one-bedroom apartment is over $1,200 a month, then suppose they have kids. I don’t know how they afford anything.”

This post appeared first on NBC NEWS

Southwest Airlines is ending open seating and will offer extra legroom seats on its airplanes as mounting pressure on the carrier to increase revenue prompts the biggest changes to its business model in its 53 years of flying.

The airline plans to start selling the first flights that will offer extra legroom next year, it said Thursday. It also plans to begin overnight flights, starting in February.

Southwest executives have said for years that they were studying such changes and hinted in April that the airline was seriously considering assigning seats and offering pricier seats with more legroom. The airline currently puts customers in one of three boarding groups and assigns a number, setting off a mad dash to check in a day before the flight. Customers can get earlier boarding though if they pay for a higher-priced ticket, they’ll get a better boarding slot.

When travelers choose a competitor over Southwest, the airline found in its research that its open seating model was the No. 1 reason for that choice, the carrier said in a release that outlined the changes. It also said 80% of its own customers prefer an assigned seat.

“Although our unique open seating model has been a part of Southwest Airlines since our inception, our thoughtful and extensive research makes it clear this is the right choice — at the right time — for our Customers, our People, and our Shareholders,” CEO Bob Jordan said in a news release Thursday.

Southwest did not, however, unveil any changes to its beloved two free checked bags policy.

The airline is under even more pressure now to segment its product like other airlines after activist investor Elliott Investment Management disclosed in June a nearly $2 billion stake in Southwest and called for new leadership as the carrier underperformed competitors.

“We will adapt as our customers’ needs adapt,” Jordan said at an industry event last month.

Southwest said it expects about a third of the seats on its Boeing 737s will offer “extended legroom, in line with that offered by industry peers on narrowbody aircraft.” The Federal Aviation Administration would need to approve the cabin layouts, the airline added.

The Dallas-based carrier had prided itself and raked in steady profits for most of its more than five decades of flying on its simple business model. Jordan said last month that not assigning seats was easier to offer when planes weren’t so full.

Analysts criticized Southwest for moving too slowly. Rival carriers offer a host of options to upsell customers like extra legroom seats, premium economy or business class. Other airlines, however, like Delta, United and American, four years ago took a cue from Southwest and ended flight change fees for most tickets.

Southwest will provide more details about the upcoming changes at an investor day at the end of September.

This post appeared first on NBC NEWS

Boeing’s crew spacecraft Starliner will stay docked with the International Space Station into August, NASA confirmed on Thursday, as the mission remains on hold while the company and agency study problems that arose early in the flight.

Starliner capsule “Calypso,” which carried NASA astronauts Butch Wilmore and Suni Williams to the ISS, has now been in space 50 days and counting. The Boeing crew flight test has been extended several times while NASA conducted testing back on the ground prior to clearing the spacecraft to carry the pair of astronauts back to Earth.

NASA’s Commercial Crew manager Steve Stich said during a press conference Thursday that the agency was not prepared to set a return date.

Boeing’s Starliner lifts off from Cape Canaveral Space Force Station, Fla., on June 5.John Raoux / AP file

“We’re making great progress, but we’re just not quite ready to do that,” Stich said.

NASA needs to conduct a review that won’t happen until the first week of August, Stich said, and only after that review will the agency schedule Starliner’s return.

The indefinite extension of Starliner’s flight test is difficult to put into context of other human spaceflights due to the unique circumstances and developmental nature of the mission. Any crewed spaceflight comes with heightened risk and scrutiny. Originally, Calypso was expected to spend a minimum of nine days in space before returning.

The Boeing Starliner spacecraft, circled in red, docked with the International Space Station’s forward port on June 7.Maxar

“I think we all knew that it was going to go longer than that. We didn’t spend a lot of time talking about how much longer, but I think it’s my regret that we we didn’t just say we’re going to stay up there until we get everything done that we want to go to do,” Stich said on Thursday.

Both NASA and Boeing leadership have repeatedly stressed that Wilmore and Williams “are not stranded in space.” Officials previously said that Starliner is safe to return in the event of an emergency and that the pair of astronauts are enjoying the extra time on the ISS and assisting the rest of the station’s crew with tasks in the meantime.

Boeing and NASA earlier this month began testing the spacecraft’s malfunctioning propulsion system back on the ground in White Sands, New Mexico.

Stich and Boeing’s Mark Nappi, vice president of the Starliner program, outlined the next steps that must be completed before making the call on when to bring back Starliner.

Boeing on Thursday is finishing dissection of the thruster that was tested in New Mexico. On Thursday afternoon, NASA and Boeing will hold a mission management meeting to plan the docked test firings that are expected to happen on Saturday or Sunday. Then, on Monday or Tuesday, the teams will do “an integrated assessment of all the data” from the docked tests, Stich said, before “some significant education of [NASA] leadership” ahead the final big review, also known as “Agency Flight Test Readiness Review.”

Stich also acknowledged again that NASA has contingency plans in case the agency determines that Starliner should return without Wilmore and Williams — alternatives that include using SpaceX’s Dragon capsule to bring back NASA’s astronauts.

“NASA always has contingency options. We know a little bit of what those are, and we haven’t worked on them a whole bunch, but we kind of know what those are,” Stich said. “Right now we’re really focused on bringing Butch and Suni home on Starliner.”

This post appeared first on NBC NEWS

OpenAI on Thursday announced a prototype of its own search engine, called SearchGPT, which aims to give users “fast and timely answers with clear and relevant sources.”

The company said it eventually plans to integrate the tool, which is currently being alpha-tested with a small group of users, into its viral chatbot, ChatGPT.

Since the launch of ChatGPT in November 2022, Alphabet investors have been concerned that OpenAI could take market share from Google in search by giving consumers new ways to seek information online. With this prototype, OpenAI is testing the waters for doing just that, promising users the chance to “search in a more natural, intuitive way” and ask follow-up questions “just like you would in a conversation.”

“We think there is room to make search much better than it is today,” OpenAI CEO Sam Altman wrote Thursday in a post on X.

Alphabet shares were trading about 2.5% lower on Thursday, while the Nasdaq was up slightly.

In May, Google launched AI Overview, which CEO Sundar Pichai called the biggest change in search in 25 years, to a limited audience, allowing users to see a summary of answers to queries at the very top of Google Search.

Though Google had been working on AI Overview for more than a year, public criticism mounted after users quickly noticed that queries returned nonsensical or inaccurate results within the AI feature — without any way to opt out.

The SearchGPT announcement follows OpenAI’s launch last Thursday of a new AI model, “GPT-4o mini.” The new model is an offshoot of GPT-4o, the startup’s fastest and most powerful model to date, which it launched in May during a livestreamed event with executives. 

OpenAI, backed by Microsoft, has been valued at more than $80 billion by investors. The company, founded in 2015, is under pressure to stay on top of the generative AI market while finding ways to make money as it spends massive sums on processors and infrastructure to build and train its models.

Last Month, OpenAI announced the hiring of two top executives as well as a partnership with Apple that includes a ChatGPT-Siri integration. Sarah Friar, previously CEO of Nextdoor and finance chief at Square, joined as chief financial officer, and Kevin Weil, an ex-president at Planet Labs and former senior vice president at Twitter and a vice president at Facebook and Instagram, joined as chief product officer.

OpenAI is bolstering its C-suite as its large language models gain importance across the tech sector and as competition rapidly emerges in the burgeoning generative artificial intelligence market. 

Both OpenAI’s new mini AI model and the prototype of SearchGPT are also part of the company’s push to be at the forefront of “multimodality,” or the ability to offer a wide range of types of AI-generated media, like text, images, audio, video and search, inside one tool: ChatGPT.

For SearchGPT, OpenAI’s blog post said the tool’s visual results will lead to “richer understanding” for users.

Last year, OpenAI Chief Operating Officer Brad Lightcap told CNBC: “The world is multimodal. If you think about the way we as humans process the world and engage with the world, we see things, we hear things, we say things — the world is much bigger than text. So to us, it always felt incomplete for text and code to be the single modalities, the single interfaces that we could have to how powerful these models are and what they can do.”

This post appeared first on NBC NEWS

With interest rate cuts from the Federal Reserve on the horizon, it could be a good time to shift cash, experts say.  

Traders expect a rate cut in September, according to the CME FedWatch Tool, which could lower the target range for the federal funds rate by a quarter percentage point or more.

Meanwhile, many investors are sitting on hefty cash allocations, including trillions in money market funds, which are generally still paying above 5%.

After a series of rate hikes, investors piled into money market funds, which typically invest in shorter-term, lower-credit-risk debt, such as Treasury bills.

Total U.S. money market funds hovered near a record of $6.15 trillion as of July 17, with $2.48 trillion in funds for retail investors, according to Investment Company Institute data.

However, money market fund yields will likely fall if the Fed starts cutting rates in September, explained Ken Tumin, founder and editor of DepositAccounts.

“Most [money market funds] seem to closely follow the federal funds rate,” he said.

Next week’s Fed meeting could signal whether a September rate cut will happen. But banks typically start slashing rates for high-yield savings accounts and certificates of deposits ahead of Fed rate cuts, Tumin said.

“CD rates will likely fall pretty quickly once it becomes clear that the Fed is on the verge of cutting,” he said.

As of July 25, the top 1% average rate for high-yield savings accounts was hovering below 5%, while the top 1% for one-year CDs was around 5.5%, according to DepositAccounts.

CD rates will likely fall pretty quickly once it becomes clear that the Fed is on the verge of cutting.

It is a great time to “lock in rates” for a 9-month or one-year CD, said certified financial planner Ted Jenkin, CEO and founder of oXYGen Financial in Atlanta. Jenkin is a member of CNBC’s Financial Advisor Council.

When building a bond portfolio, advisors consider duration, which measures a bond’s sensitivity to interest rate changes. Expressed in years, the duration formula includes the coupon, time to maturity and yield paid through the term.

Some experts suggest shifts from money market funds to longer-duration bonds for longer-term investments, which could pay off once interest rates fall.

Bond prices typically rise as interest rates fall, whereas money market fund investors can expect lower yields without price appreciation.

While it is difficult to predict Fed policy, bonds could see “a healthy lift” if the Fed cuts interest rates by a full percentage point over the next year, Jenkin said.

Like any investment, the best place for cash ultimately depends on your goals, risk tolerance and timeline.

This post appeared first on NBC NEWS

An important gauge for the Federal Reserve showed inflation eased slightly from a year ago in June, helping to open the way for a widely anticipated September interest rate cut.

The personal consumption expenditures price index increased 0.1% on the month and was up 2.5% from a year ago, in line with Dow Jones estimates, the Commerce Department reported Friday. The year-over-year gain in May was 2.6%, while the monthly measure was unchanged.

Fed officials use the PCE measure as their main baseline to gauge inflation, which continues to run above the central bank’s 2% long-range target.

Core inflation, which excludes food and energy, showed a monthly increase of 0.2% and 2.6% on the year, both also in line with expectations. Policymakers focus even more on core as a better gauge of longer-run trends as gas and groceries costs tend to fluctuate more than other items.

Stock market futures indicated a positive open on Wall Street following the release while Treasury yields moved lower. Futures markets price in a more aggressive path for Fed interest rate cuts.

“A two-word summary of the report is, ‘good enough,’” said Robert Frick, corporate economist with Navy Federal Credit Union. “Spending is good enough to maintain the expansion, and income is good enough to maintain spending, and the level of PCE inflation is good enough to make the decision to cut rates easy for the Fed.”

Goods prices fell 0.2% on the month while services increased 0.2%. Housing-related prices in June rose 0.3%, a slight deceleration from the 0.4% increase in each of the last three months and the smallest monthly gain going back at least to January 2023.

The report also indicated that personal income rose just 0.2%, below the 0.4% estimate. Spending increased 0.3%, meeting the forecast.

As spending held relatively strong, the savings rate decreased to 3.4%, hitting its lowest level since November 2022.

The report comes with markets paying close attention to which way the Fed is headed on monetary policy.

There’s little expectation that the rate-setting Federal Open Market Committee will make any moves at its policy meeting next Tuesday and Wednesday. However, market pricing is pointing strongly to a rate cut at the September meeting, which would be the first reduction since the early days of the Covid pandemic.

“Overall, it’s been a good week for the Fed. The economy appears to be on solid ground, and PCE inflation essentially remained steady,” said Chris Larkin, managing director of trading and investing at E-Trade Morgan Stanley. “But a rate cut next week remains a longshot. And while there’s plenty of time for the economic picture to change before the September FOMC meeting, the numbers have been trending in the Fed’s direction.”

As inflation rose to its highest level in more than 40 years in mid-2022, the Fed embarked on a series of aggressive hikes that took its benchmark borrowing rate to its highest level in some 23 years. However, the Fed has been on pause for the past year as it evaluates fluctuating data that earlier this year showed a resurgence in inflation but lately has displayed a gradual cooling that has many policymakers discussing the likelihood of at least one cut this year.

Futures markets have priced in about a 90% chance of a September reduction followed by cuts at both the November and December FOMC meetings, according to the CME Group’s FedWatch measure.

Fed officials, though, have been cautious in their remarks and have stressed that there is no set policy path, with data guiding the way.

This post appeared first on NBC NEWS

The applause was loudest at the beginning, when Prime Minister Benjamin Netanyahu declared to a joint meeting of Congress that Israel “will win” in its fight against Hamas. They applauded, too, when he spotlighted the resilience of those who remain hostages in Gaza and lauded the bravery of the Jewish state’s front-line soldiers.

Far fewer stood and cheered when he spoke of his “vision” for the Palestinian territory’s future.

To many Democrats who’ve been critical of Netanyahu, the Israeli leader merely confirmed what they already knew.

“In fact, [he] doubled down,” said Rep. Jason Crow (D-Colo.), who watched Wednesday’s address from the back of the House chamber. It’s “absurd … to think that doing more of the same is going to deliver a different result,” he said.

Nearly 10 months into Israel’s Gaza offensive, amid deepening frustration from the Biden administration and isolation on the world stage, Netanyahu made no gestures toward compromise. There was no talk of Palestinian autonomy. No discussion of Palestinian rights to life and freedom. No attempt to address the grievances that have fueled Palestinians’ decades-old anger toward Israel.

Instead, he spoke of a “demilitarized and deradicalized” Gaza; a Gaza under Israeli control “for the foreseeable future.”

“This is the moment for the leader of Israel to lay out a vision for the future,” Sen. Peter Welch (D-Vt.) recalled thinking as he watched the speech on a TV in his office, one of more than 50 Democratic lawmakers who boycotted the address. But “he didn’t. He offered no road map.” He hadn’t changed a bit, Welch said.

The Biden administration has for months sought to negotiate an ambitious, three-phase peace agreement to end Israel’s war in Gaza, with the White House asserting amid Netanyahu’s Washington visit that the negotiating parties were closer “than we’ve ever been before” to agreeing on a short-term cease-fire and initial hostage release. The next step, according to Biden, would involve negotiations over a permanent end to the fighting and full Israeli withdrawal from Gaza, along with the release of all remaining hostages.

It’s phase three of the plan, which would culminate in new Palestinian governance, security, rebuilding and a path to statehood, that is the most essential ingredient to the success of any long-term peace, experts say.

But if the concept of a viable Palestinian future wasn’t one of Netanyahu’s considerations before the war, which began with October’s deadly Hamas attack into Israel, his remarks in recent days left little reason to believe that anything in his thinking has changed.

“Obviously he didn’t talk at all about a long-term plan for the Palestinians because Netanyahu has effectively renounced a Palestinian state,” said Sen. Chris Murphy (D-Conn.), who chairs a Senate subcommittee focused on the Middle East. “I think his plan for a while has been to have no workable plan.”

Liberal Democrats on Capitol Hill who have grown more frustrated with Israel’s conduct over the course of the war have begun to acknowledge that the Israeli government has largely foreclosed on phase two of the peace plan as well.

Satellite imagery, witness testimony and the comments of military commanders have shown for months that preparations are underway for a long-term Israeli presence in Gaza. In recent months, Israel fortified a strategic route, known as the Netzarim Corridor, that carves Gaza into two and allows for the quick deployment of Israeli troops throughout the territory.

Israeli forces have razed homes and bulldozed acres of farmland to create and expand buffer zones along their strategic corridor, and along Gaza’s borders with Israel and Egypt. Israeli commanders have talked about a plan for “full freedom of operation” for their forces. They have churned earth and rubble into defensive berms. And they have begun building military bases and transforming seized buildings for other military purposes.

Even as Biden administration officials insisted this week that they are close to securing a deal between Israel and Hamas, officials also quietly acknowledged that Netanyahu has continued to put demands on the table.

After meeting with the prime minister Thursday, Vice President Harris, who is set to replace President Biden atop the Democratic presidential ticket, urged the warring parties to “get the deal done” so that negotiators can move on to subsequent parts of the peace plan and “we can get a cease-fire to end the war.”

Netanyahu’s national security minister Itamar Ben Gvir, who along with Israel’s finance minister, Bezalel Smotrich, opposes a cease-fire deal and has called for building Jewish settlements in Gaza, responded to Harris on social media. “There will be no truce,” he proclaimed.

Observers say Netanyahu’s political survival depends on both men.

The split screen between the administration’s projected optimism about an agreement and the reality in Gaza has both frustrated and baffled some Washington analysts.

In recent months, as the Israeli government has defied Biden in Gaza, and as Smotrich and far-right allies have accelerated Israeli settlement expansion in the occupied West Bank, administration officials have alluded to a willingness by Israel’s Arab neighbors to play a role in Gaza’s future governance and security. Some have suggested that a revitalized Palestinian Authority — the weak, corrupt and deeply unpopular governing apparatus in the West Bank — might even run Gaza.

“With a deal, a rebuilding of Gaza will begin [with] Arab nations and the international community, along with Palestinian and Israeli leaders, to get it done in a manner that does not allow Hamas to rearm,” Biden said in the May address, when he laid out his three-phase peace plan.

“This question of what comes next, what comes after this conflict, is one that we have discussed extensively with our Arab partners, with the Palestinians, with the Israeli government over the course of the last four or five months,” Barbara Leaf, the assistant secretary of state for near eastern affairs told lawmakers in June. Leaf acknowledged that the Palestinian Authority was facing a “severe financial crisis” because Israel controls its revenue flow and had largely restricted it since Oct. 7.

“The Arab world is horrified by what’s going on,” Yousef Munayyer, an expert on the Israeli-Palestinian conflict at the Arab Center Washington DC, a think tank, said in a recent interview casting doubt on the path advocated by the president. “The idea that they’re going to somehow flip a switch and think that there’s going to be some sort of transformational deal — I don’t know what planet you’re looking at this from.”

Loveluck reported from Jerusalem.

This post appeared first on washingtonpost.com

During her rise through America’s most prestigious schools, law firms and judicial clerkships, Usha Vance rarely — if ever — volunteered her opinions on the nation’s bitterly partisan politics to friends and colleagues.

But she did express revulsion at former president Donald Trump’s actions on Jan. 6, 2021.

Vance told friends she was outraged by Trump’s incitement of the deadly riot at the U.S. Capitol and lamented the social breakdown that fueled his political support, according to one friend, who spoke on the condition of anonymity to discuss sensitive conversations. Her view at the time contrasts with the later pronouncements of her husband and Trump’s newly minted running mate, JD Vance, who has downplayed the storming of the Capitol and called participants who were jailed “political prisoners.”

“Usha found the incursion on the Capitol and Trump’s role in it to be deeply disturbing,” the friend recalled. “She was generally appalled by Trump, from the moment of his first election.”

Speaking the morning after Usha Vance introduced her husband at the Republican National Convention and watched his speech from the same VIP box as Trump, the friend added, “It was surreal to see her sitting next to him last night.”

That sensation is widely shared among her friends, former co-workers and fellow alumni, more than two dozen of whom spoke to The Washington Post for this story. Some watched in disbelief on July 17 when Usha Vance, 38, addressed an overwhelmingly White crowd on the convention floor that tittered uneasily as she joked about her husband learning to cook Indian food and audibly gasped when she mentioned her vegetarian diet.

A spokesperson for JD Vance declined to comment for this story or to say whether Usha Vance voted for Trump in 2020 and 2016. The spokesperson did not dispute the friend’s description of Usha’s opinions about Trump and Jan. 6. When the riot occurred, Usha Vance was working as a lawyer and her husband was several months away from launching his Senate campaign.

Jai Chabria, a Republican strategist for JD Vance’s 2022 Senate campaign and a family friend, said Usha’s views of the former president have changed, mirroring the evolution of her husband, once a fierce Trump critic.

“Usha has had a similar shift in views and fully supports Donald Trump and her husband and will do whatever she can to ensure their victory this November,” Chabria said in a statement provided by the Vance spokesperson. A Trump campaign spokeswoman did not comment for this story.

In many ways, Usha Chilukuri Vance — born to prosperous Indian Hindu immigrants, raised in Southern California and employed, until she quit last week, at a San Francisco law firm known for its self-consciously progressive office culture — appears to represent the sort of cultural and economic elite whom Republicans often rail against. A self-described “Order Muppet” remembered for her circumspect manner and almost fanatically detailed scheduling habits, she is very different, temperamentally, from the freewheeling former president and his incendiary MAGA movement.

Though she worked for prominent conservative judges and voted in the 2022 Republican primary in Ohio when her husband was on the ballot, she has registered to vote as a Democrat at least twice, records show: as a teenager in San Diego in 2004 and as a law student in New Haven, Conn., in 2010. In the fall of 2014 she registered to vote in D.C. without a party affiliation, according to elections officials.

But the forces that propelled her to the convention have long been evident, those who know her say: extraordinary ambition and deep devotion to her husband.

That ambition was contagious. JD Vance has long credited his wife as a catalyst in the evolution that led him from a troubled childhood in an Ohio steel town to the summits of finance, media and politics, calling her his “spirit guide” through the ruthlessly competitive landscape that awaited him at Yale. Her motivations and influence are key to understanding the vice-presidential nominee, who has said he “really benefits from having a sort of powerful female voice” guiding his decisions.

“She unequivocally increased his odds of success,” said Dan Driscoll, a friend who attended Yale Law School with the couple.

In JD’s early years with Usha, Driscoll said, “if you had … said, ‘You’re going to end up on your school board and go to your kid’s Little League games and own a small manufacturing business that employs people in your community,’ I think he would have defined that as success.”

Instead, picked at age 39 to be Trump’s running mate on the GOP presidential ticket, JD Vance has been anointed as the heir apparent to the leader of a movement that has transformed American politics. Vance, who greeted a raucously cheering crowd on the convention stage with an earsplitting grin, is clearly reveling in his new heights of success.

That success is also drawing new scrutiny to his much more private wife, the potential second lady, Usha Vance.

The ambitions of ‘Judusha’

Vance’s parents immigrated to the United States from southern India, settling in San Diego in the 1980s. Her father came from a family of prominent academics, a relative told the Indian Express, saying of Usha: “I always knew that she would excel academically and in any profession she chooses. You see, it runs in the family. Her great grandfather, her grandfather, her father — are all toppers. She follows in their footsteps.”

Her father is an engineer and her mother a microbiologist. Both are academics: Vance’s mother is a provost at the University of California at San Diego, and her father lectures at San Diego State University.

“I did grow up in a religious household, my parents are Hindu, and that was one of the things that made them such good parents, that make them really very good people,” she said in a recent Fox News interview.

Vance attended public high school; graduated in 2007 from Yale College, where she was elected to Phi Beta Kappa; and embarked on a prestigious teaching fellowship in China. She taught English and American studies at Sun Yat-sen University in Guangzhou, according to a Yale announcement that described her as having “devoted much of her time at Yale to public education, volunteering in local elementary schools and as a Girl Scouts troop leader.”

Peter Hamilton, another Yale graduate who participated in the program, recalled his surprise when he walked into Vance’s bedroom and saw the walls were covered in hundreds of color-coded Post-it notes that organized her week into 15- or 30-minute intervals.

“It was kind of intense,” said Hamilton, now an assistant professor in world history at Lingnan University in Hong Kong. “It really stuck with me. … I always thought of Usha as quite serious and highly intelligent, in a well-plotted-out kind of way.”

Vance ended her two-year fellowship in China after only one year, according to Hamilton, enrolling in Cambridge University and earning a master’s degree for her research on “the methods used for protecting printing rights in seventeenth-century England,” according to the esteemed Gates Cambridge scholarship program.

Next up: Yale Law School, where she impressed classmates by the sharpness of her intellect but left many guessing about her core political convictions. She did not join any ideological groups such as the conservative Federalist Society or liberal American Constitution Society, according her LinkedIn page and former law firm’s biography.

“People respected her intelligence,” said Doug Lieb, who was editor in chief of the Yale Law Journal while Usha worked on the review’s managing board. “She was not the sort of person who was trying to provoke controversy. I think she has a technical brain. If she thought you were technically wrong about something, she would point that out.”

Like Hamilton, Lieb still vividly recalls her organizational methods.

“Her notes were always, like, tabbed and highlighted and very meticulous and categorized,” said Lieb, who is now a civil rights attorney in New York and attended the Vances’ wedding.

Vance appeared to poke fun at her own tendencies in a 2012 Facebook post, sharing a link to an article in the online magazine Slate — “What kind of Muppet are you, chaos or order?” — and writing, “I don’t think there’s any doubt that I am an Order Muppet.” (Screenshots of Vance’s Facebook page, which is not publicly accessible, were shared with The Post.)

In an environment teeming with overachievers, Vance stood out not only for her “seemingly superhuman capacity to achieve” but as “a kind, unassuming friend who had no trouble bridging seemingly disparate social groups,” said James Eimers, a law school classmate who now works at a consulting firm that advises applicants to college and graduate school.

JD and Usha met and started dating in their first year at Yale Law School. They earned the moniker “Judusha,” a melding of their names that came to imply “awe and reverence that they were intimidating as a power couple,” said Josh McLaurin, JD’s former roommate, now a Democratic state senator from Georgia who has been outspoken in his criticism of the vice-presidential nominee’s politics.

The legacy of Yale Law’s most famous power couple — Hillary and Bill Clinton — still loomed over the campus, with many students bent on mimicking what one graduate called the “Clinton template”: several years spent burnishing elite credentials before returning to a (preferably Southern or Midwestern) home state to launch a political career.

It was a path some predicted the Vances might follow, and one that Usha seemed to invoke with admiration in a Facebook post in August 2012, the summer before their final year in law school.

“Driving through Arkansas, listening to Bill Clinton tell us about his life. Best road trip ever,” she wrote.

The post was written near Chester, a tiny town in northwestern Arkansas. She tagged a companion who accompanied her: JD Vance.

From San Francisco to Cincinnati

Usha and JD married in Kentucky in 2014 — and were separately blessed in a Hindu ceremony. Around the same time, she embarked on a series of highly competitive clerkships for Republican-appointed judges, including U.S. District Judge Amul Thapar in Eastern Kentucky, Judge Brett M. Kavanaugh on the U.S. Court of Appeals for the D.C. Circuit and Chief Justice John G. Roberts Jr. of the Supreme Court.

Records from the D.C. Board of Elections show that in 2015, while clerking for Kavanaugh, Vance switched her voter registration from no party to Democratic. But on Friday, the elections office told The Post that the switch to a Democratic affiliation had been a clerical error.

Between and after her stints clerking, she was a litigator at Munger, Tolles & Olson, which has represented corporate behemoths such as Pacific Gas & Electric Co. and the Walt Disney Co. The San Francisco law firm’s workplace culture makes it “a top contender in the cool, woke category” of large legal offices, according to a January 2019 article in the American Lawyer. On its website the firm touts its “Diversity, Equity and Inclusion Committee” and its welcoming attitude toward “intersex, transgender, non-binary, and gender nonconforming people.”

When Vance began working at Munger Tolles, her husband was still years away from lashing out against “woke DEI” corporations and “far-left gender ideology.” With the 2016 publication of his memoir, “Hillbilly Elegy,” he instead emerged as a thoughtful, center-right commentator on the White working class with one foot in Middletown, Ohio, and the other in Silicon Valley, where he worked with conservative venture capitalist Peter Thiel.

Vance supported her husband as he expressed this iteration of his politics, sometimes sharing links on Facebook to his commentary in publications such as the Atlantic, where in 2016 he likened Trump to “cultural heroin. He makes some feel better for a bit. But he cannot fix what ails them, and one day they’ll realize it.”

In her post about that article, Vance noted her husband’s “firm stand against Trump.”

The Vances have raised their three children, born between 2017 and 2021, in deep-blue enclaves. In 2018 they bought a $1.4 million home in the East Walnut Hills neighborhood of Cincinnati, and when in the D.C. area, they live in a $1.6 million house in Del Ray, a sought-after neighborhood in Alexandria, Va.

In July 2021, JD Vance announced that he was running for the Senate in Ohio. His victories in the Republican primary and general election were widely credited to Trump’s endorsement and Thiel’s financial backing. Usha was not a fixture on the campaign trail, although she did star in an ad, calling him “an incredible father” and “my best friend.”

“She doesn’t crave the political spotlight, but she was very much a part of the campaign,” said Chabria, the GOP strategist who worked on the 2022 race.

Vance voted in her husband’s Republican primary that year, records show. (Ohio voters do not register by party, and can vote in either the Democratic or Republican primary contests.) During the same election cycle, she donated to Blake Masters, a far-right Republican — funded, like her husband, by Thiel — who lost a Senate race in Arizona.

After moving to Ohio, Usha Vance joined the board of the Cincinnati Symphony Orchestra. During her husband’s brief tenure in the Senate, she continued to work as a litigator, resigning from Munger, Tolles & Olson on the day JD Vance was announced as Trump’s vice-presidential pick.

Cincinnati Mayor Aftab Pureval, a Democrat and the first Indian American to lead the predominantly Democratic city of just over 300,000, said he has never run into JD or Usha Vance at any social functions or community events.

“I’ve never met her,” Pureval said, adding that while he strongly opposes the Republican ticket, “I wish her only the best.”

A new spotlight

Last week, Usha Vance moved from relative obscurity into the spotlight at a packed convention hall in Milwaukee. Ohio state Sen. Niraj Antani, an Indian American Republican and Hindu, said he was thrilled to see her onstage.

“Having an Indian American potentially as the second lady is inspiring to so many,” he said. “I’ve received countless calls, texts and emails from our community wanting to meet and support JD and Usha.”

Other Trump supporters were less enthused. An outpouring of racist bile directed against Usha Vance from the far right has erupted online. Nick Fuentes, a white supremacist and antisemite who visited the former president at his Mar-a-Lago resort in 2022, questioned the wisdom of having JD Vance on the ticket, asking, “What kind of values does a man have to marry somebody that far outside your race, who isn’t even a Christian?”

Her appearance also generated confusion, for very different reasons, on the other side of the political spectrum. Some friends and colleagues said they have struggled to reconcile their affection for Usha Vance with the hard-right turn of her husband’s politics.

Among other things, JD Vance has denigrated those crossing the border illegally from Mexico, pushed legislation that would criminalize gender transition procedures for minors, and said he would have acquiesced to Trump’s efforts to overturn the results of the 2020 election — as then-Vice President Mike Pence did not — by certifying fraudulent slates of electors.

“Am I surprised to see Usha speaking onstage at a major political convention? No. She’s brilliant,” said Chad Callaghan, a Los Angeles-based writer and marketing director who said he was friendly with her in college. “Am I surprised to see her there to support a man who seems to be building political power by punching down at trans folks and immigrants? Yeah, that part caught me off guard.”

In her speech introducing JD, which lasted less than five minutes, Usha Vance herself offered no clues to how she was processing the moment. At a convention suffused with fervor for its presidential nominee, she did not once mention Trump.

But she did acknowledge in passing what so many who know her said they felt as they watched her onstage: amazement.

“It’s safe to say that neither JD nor I expected to find ourselves in this position,” she said. “But it’s hard to imagine a more powerful example of the American Dream. A boy from Middletown, Ohio —”

At that point Vance was forced to take a lengthy pause, looking from side to side as her voice was drowned out by raucous cries from the crowd. They were chanting her husband’s name.

Aaron Schaffer and Alice Crites contributed to this report.

This post appeared first on washingtonpost.com