Don’t check your 401(k) for a short time. We’ll also look at the hurdle of shutting down Senate Majority Leader Charles Schumer and easing sanctions to boost internet access in Iran.
But first, he might become Tom Brady State sports teacher Florida.
Welcome to On The MoneyYour overnight guide to everything that affects your bills, bank account, and bottom line. For The Hill, we’re Sylvain Lane, Aris Foley, and Karl Evers Hellstrom. Someone sending you this newsletter? Subscribe here.
Dow Jones index lowest since 2020 as recession fears grow
Markets are tumbling as they grapple with the latest rate hikes from the Federal Reserve in its battle to fight high inflation for 40 years.
- The Dow Jones Industrial Average fell nearly 500 points to 29,590 at the market close on Friday – its lowest point in nearly two years. Since the Fed began raising interest rates in March, the index has lost more than 13 percent of its value and has fallen more than 19 percent over the year.
Other indicators have followed suit.
- The S&P 500 fell 65 points to close at 3,693 on Friday, down more than 15 percent since March and about 23 percent over the year.
- The tech-heavy Nasdaq fell nearly 200 points, or 1.8 percent, to close at 10,867, down nearly 20 percent since March.
the background: The Fed raised the benchmark interest rate range by 3.25 percentage points from near zero levels in March. Consumer inflation decreased slightly over the summer, falling to 8.3% in August from 8.5% in July and 9.1% in June.
But the Fed’s small progress in fighting inflation comes at the cost of slowing the economy and possibly pushing it into recession, a trade-off that some market commentators don’t think is worth it.
Tobias Burns in Hill He has more here.
Schumer looks for a way out of the box in the Mansion deal
Senate Majority Leader Charles Schumer (DNY) is looking for a way to avoid a government shutdown next week while also delivering on his promise to Senator Joe Manchin (DW.Va) to pass the reform permit before October.
- Most Senate Republicans say they would vote against the government funding measure if the Manchin bill included a reform, and a group of Democrats is pressing Schumer to dismiss the ongoing resolution and allow reform.
- That means Schumer likely falls short of the 60 votes he needs to overcome the expected disruption to a short-term government funding decision that also includes Mansion’s reform provisions, which would change the federal approval process for energy projects.
But Schumer promised Manchin he would include allowing the reform into the temporary funding measure, which must pass by September 30 to avoid a government shutdown.
Alexander Bolton in the hill He has the latest here.
Biden administration eases sanctions to boost Iranian people’s access to the Internet
The Treasury Department announced exceptions to Iran’s sanctions on Friday to allow companies to provide more online services in the country after the Iranian government cut internet access to most parts of the country amid protests.
The ministry said in an announcement that the directive allowed technology companies to provide Iranians with more options for secure external platforms and services.
- The update seeks to update existing penalty waivers for companies to provide Internet access by adding exceptions for social media platforms, video conferencing services, and cloud-based services.
- The sanctions relief comes after the Iranian government cut the internet to most of its citizens in the wake of the violent suppression of peaceful protests in the country. The protests were prompted by the death in police custody of Mahsa Amini, 22.
Rebecca Clare Hill More details here.
The first state in California to ban natural gas heaters and ovens
A new proposal by the California Air Resources Board (CARB) has recognized the state as the first to ban natural gas heaters and furnaces. good to know
The resolution, which was passed unanimously, aims to end sales of water heaters and water heaters by 2030.
- The commitment is part of a broader set of environmental efforts the board approved this week to meet 70 federal parts per billion, for an 8-hour period. ozone standard over the next fifteen years.
- Residential and commercial buildings in California account for nearly five percent of the state’s total nitrogen oxide emissions from natural gas combustion, according to the originally proposed plan, released in August 2022. In addition, space and water heating make up nearly 90 percent percent of total nitrogen oxide emissions. Demand for natural gas associated with construction.
Read more here From The Hill’s Gianna Melillo.
good to know
US Army Innovation Office an introduction An effort to assess cryptocurrency threats to national security and law enforcement, helping authorities prevent illegal uses of digital assets.
“The ongoing program here involves mapping the crypto universe in some detail,” said Mark Flood, DARPA Program Director.
Here are the other things we’re watching:
- United States and Pfizer . will be reduced Their global vaccine donation number is in response to “low demand,” although the company says it remains committed to providing the nearly 1 billion doses the United States has committed to providing.
- The largest online forum for the incel movement. saw an increase in calls for violence, according to a new report released Friday.
That’s enough for today. Thank you for reading and checking out The Hill’s Finance page For the latest news and coverage. We’ll see you next week.