Issue Report
For Immediate Release: 
September 20, 2019
Contact Info: 
Mariel Saez 202-225-3130
The Majority Leader’s Office is now sending a weekly e-mail highlighting economic statistics and news that Members can use as they discuss the state of the economy and how House Democrats are working to spur economic growth, support job creation, and raise wages for the people.

QUOTE OF THE WEEK: “Fed officials are keeping their options open because they face an uncertain outlook...’Since the middle of last year, the global growth outlook has weakened,’ Mr. Powell said. ‘Trade policy tensions have waxed and waned,’ and ‘elevated uncertainty’ is weighing on business investment and exports, he said.” [New York Times, 9/18/19]

STAT OF THE WEEK: A recent Gallup Poll found that 49 percent of people in the U.S think a recession is at least fairly likely in the next year, 50 percent believe the economy is fair or poor, and 48 percent say it's getting worse. In addition, the Economic Confidence Index declined from +24 in August to +17 in September. [Gallup, 09/20/19]

ECONOMIC NEWS YOU MAY HAVE MISSED
  • For the first time, most new hires between the ages of 25 and 54 are people of color. From the Washington Post: "The surge of minority women getting jobs has helped push the U.S. workforce across a historic threshold. For the first time, most new hires of prime working age (25 to 54) are people of color, according to a Washington Post analysis of data the Labor Department began collecting in the 1970s. Minority hires overtook white hires last year.” [Washington Post, 09/09/19]
  • The General Motors strike could have a wide impact on the economic stability of the Midwest. CNN Business reports: “… Economists say the Midwest's economy won't be tipped into recession overnight, or even in a couple of weeks. But if the strike drags on for months, states such as Michigan, Ohio and Indiana could end up in recession later this year or early next year.” [CNN, 09/18/19]
  • Uncertainty within the manufacturing industry is rising. From the Wall Street Journal: “Overall, manufacturers are investing less. U.S. imports of capital goods fell in July to the lowest level since 2017, according to the Census Bureau. That contributed to a narrower U.S. trade gap that month as manufacturers bought less machinery and supplies, the Commerce Department said Wednesday. New orders for capital goods posted their first year-over-year decline in three years in July.” [The Wall Street Journal, 09/08/19]
  • On Wednesday, the Federal Reserve cut interest rates for the second time since this summer, a move that is thought to soften the impact of Trump’s trade war and a slowing global economy. The New York Times reports:  “Longer-term bonds have been trading at interest rates that are lower than those on short-term securities — what is known as the yield curve inverting. It’s an unusual occurrence that often happens before recessions, and one that could signal that investors have become pessimistic about the economic outlook.” [New York Times,  09/18/19]