Levels of mental and physical exhaustion from workplace stress reached a new pandemic record at the end of last year, a global survey from Future Forum shows.
State of play: Of 10,243 full-time desk-based workers polled in six major economies, 42% reported burnout — which the World Health Organization defines as feelings of energy depletion, increased negativism and mental distance from one's job and a dip in efficacy at work.
Twitter on Wednesday updated its advertising policies to allow cannabis ads to run on its service in states where cannabis is legal, in accordance with federal guidelines.
Why it matters: The policy represents the biggest step forward that any major tech company has made toward allowing cannabis advertising where it's legal in the U.S.
The U.S. government could be at risk of a payment default as early as July if the debt limit isn't raised, the nonpartisan Congressional Budget Office said on Wednesday.
Why it matters: The estimate, released alongside the agency's outlook for the federal deficit and the economy in the next 10 years, comes as Congress braces for a fight over raising the debt ceiling — a necessary step so the government can continue paying its bills.
The U.S. budget deficit is on track to surge over the coming decade, the Congressional Budget Office said Wednesday, with cumulative deficits of $18.8 trillion — nearly 20% higher than the agency projected last May.
Driving the news: The non-partisan agency said the higher estimate mostly stems from steeper borrowing costs that makes it more expensive for the government to repay its debt. The national debt, it said, is on track to rise to 118% of GDP in 2033, from 98% this year.
The old adage "fool me twice, shame on me" should be ringing in your ears if you happen to be lining up behind a new crypto-centric exchange whose founders fooled you once already.
Why it matters: Open Exchange, a new venue for traders expected to launch this month, is billed as a solution for people harmed by the crypto crises. Its leaders are industry veterans whose own failed companies helped create that harm.
A judge on Wednesday denied a previously filed motion by the U.S. trustee, requesting an appointment of a neutral, independent examiner to look into FTX and what led to the crypto exchange's collapse.
Details: It could cost creditors too much time and money, U.S. bankruptcy judge John Dorsey said during the hearing, estimating expenses at more than $100 million.
The new year also brought some momentum in the manufacturing sector, new data out this morning shows, as factory output picked up momentum after slowing late last year.
Driving the news: Overall, industrial production was unchanged last month from December — but that was due to a 10% drop in output by utilities, a result of a warmer-than-usual winter.
Manufacturing output jumped by 1%, following a steep 1.8% decline in December, suggesting some underlying resilience activity at factories in the United States.
Mining output rose 2%, as capacity utilization in the U.S. industrial sector ticked down.
Between the lines: Industrial output invariably falls during recessions, and that is not what is happening so far.
What they're saying: "The big increases in manufacturing and mining output in January, after weakness at the end of 2022, point to continued resilience in the US economy and a pickup in economic activity in early 2023," said PNC chief economist Gus Faucher.
The U.S. economy roared into 2023, with January's exceptionally strong retail sales number, out this morning, serving as the latest evidence.
Why it matters: The strength — across consumer spending, the job market and inflation — to start the year muddles the outlook for how high the Federal Reserve may ultimately have to raise rates.
It heightens odds that the central bank will end up tightening the screws more than it has been signaling.
Reflecting that possibility, the yield on a six-month Treasury security surged above 5% this morning for the first time since 2007.
Driving the news: Retail sales rose 3% in January, the Census Bureau said, reversing November and December's back-to-back declines. Consumers spent more in every single category the government tracks — except gasoline stations, where sales were flat.
Importantly, the component that feeds into GDP calculations — retail sales excluding autos, building materials and gasoline — surged 1.7% in January.
Economists at JPMorgan raised their Q1 GDP projection to 2%, from 1%, on the news.
Yes, but: The apparent strength of the retail sales data is exaggerated by seasonality quirks — namely, consumers shifting their buying patterns to include less of a surge during the holidays and therefore less of a pullback in January.
The big picture: The Fed wants to see the economy continue to cool off, but the data flow in recent days suggests the opposite. The big question is whether that means officials will start to consider raising rates higher than the 5.1% that was their consensus view in December.
What they're saying: In a note Tuesday,Deutsche Bank chief U.S. economist Matthew Luzzetti and several colleagues wrote that three things have become clear since the Fed's last policy meeting two weeks ago.
"First, the labor market is so far remarkably resilient to Fed tightening," they wrote.
"Second, less progress has been made towards disinflation" given Tuesday's inflation numbers.
Third, financial conditions have failed to tighten enough for the Fed to have confidence that these first two trends will improve meaningfully in the coming months."
For those reasons, the Deutsche Bank economists have increased their forecast for the "terminal rate" of the Fed's target to 5.6%, from 5.1%.
What's next: Data on jobs and inflation for February, due out in early March, will shed some light on how much of the January boom was an artifact of seasonal adjustment.
Either way, when the Fed releases a new set of economic projections —including for its target interest rate — it will be fascinating to learn if officials see a need to change their plans by pushing rates higher.
The acting chief of the Federal Aviation Administration (FAA)has issued a "safety call to action" after several narrowly-averted catastrophes in the past few months have raised serious concerns throughout the aviation community.
Why it matters: It's a public acknowledgement that the agency is acutely aware of those incidents, and is taking steps to investigate and learn from them.
The costs of shelter kept inflation stubbornly high in January.
The big picture: Early on, COVID-era inflation was driven by the cost of stuff — cars, lumber, bikes, for example. But now, getting inflation under control hinges on controlling costs for services, a segment in which housing is the heavyweight.
A new innovation lab dedicated to solving the world's most pressing transportation problems is opening soon in Detroit — the first phase of Ford Motor's ambitious research hub, Michigan Central.
Why it matters: The driving principle behind Michigan Central, a vision of Ford executive chair Bill Ford, is that improved transportation leads to better economic mobility — equitable access to jobs, health care, education and more.
When White House officials gather Wednesday night in the Indian Treaty Room for Brian Deese's farewell party, they’ll be saying more than just goodbye to a colleague. They’ll be watching a power center head for the exits.
Why it matters: Deese's departure as director of the National Economic Council will leave an enormous hole for Fed Vice Chair Lael Brainard to fill inside the West Wing, according to current and former administration officials.
