Aurelia Butler

(Reuters) – The United States Postal Service (USPS) said on Friday it wants to raise the price of first-class mail stamps to 68 cents from 66 cents effective Jan. 21.The proposal, which must be approved by the Postal Regulatory Commission, would raise mailing services product prices by about 2%, significantly less than prior price hikes.Stamp prices are up 32% over the last four years since early 2019 when they were 50 cents. First-class mail volume fell 3% last year to it lowest level in 50 years and is down 51% since 2006.The USPS said on Friday “as inflationary pressures on operating expenses continue and the effects of a previously defective pricing model are still being felt, these price adjustments are needed to provide the Postal Service with much needed revenue.”First-class mail, used by most people to send letters and pay bills, is the highest revenue-generating mail class, accounting for $24.2 billion, or 31%, of the $78.8 billion in total USPS revenue in 2022.In April, USPS cut projected losses through 2031 by more than half after winning financial relief from the U.S. Congress, instituting regular price hikes and adopting reforms.USPS has been raising stamp prices twice yearly and expects its “new pricing policy to generate $44 billion in additional revenue” by 2031. More

WASHINGTON (Reuters) – The U.S. faces an uphill battle to persuade other International Monetary Fund member countries to expand the IMF’s lending war chest without boosting the shareholdings of China, India and Brazil, government officials and development experts say. As global finance officials prepare to gather in Marrakech, Morocco, for next week’s IMF and World Bank annual meetings, where a review of IMF quota resources is expected to be a contentious topic, some are already anticipating another delay in making decisions.”Quota increases without realignment would politically weaken the Fund,” a Brazilian official told Reuters, adding that Brazil, China and India deserved a bigger role in the IMF commensurate with their growing stature in the global economy.Quotas contributed by member countries in proportion to their voting power now account for more than 40% of the Fund’s $1 trillion in lending firepower, which has been taxed by years of COVID-19, inflation, climate shocks and spillovers from Russia’s war in Ukraine.The rest of the funding is made up of emergency capital pledges and bilateral lending, sources seen as less reliable.Boosting the quotas would allow developing countries to access bigger loans and provide more certainty than current arrangements. The IMF argues that the increased resources are “vital” to safeguard the global economy against future shocks.The quotas have not been increased since 2010, a move that gave a bigger voice to China, Brazil and other fast-growing emerging market economies at the expense of European countries.If such an exercise were to be repeated, China would be likely to see the biggest increase, as it controls just 6.08% of the IMF’s voting power but makes up 18% of global gross domestic product based on IMF estimates. The U.S. is by far the IMF’s largest shareholder with 16.5% of voting power. But with anti-China sentiment firmly entrenched in the U.S. Congress, any move to increase China’s share would cause a political backlash for U.S. President Joe Biden as he seeks re-election next year.The plan that U.S. Treasury Secretary Janet Yellen is pushing at the Morocco meetings would have countries contribute new money in proportion to their current shares, with changes to the formula to come later.NEW REPRESENTATION As a sweetener for emerging markets, the U.S. is proposing to add a fifth deputy managing director to represent the interests of middle-income countries and another Executive Board member to represent more countries from sub-Saharan Africa.Doing so, Ivory Coast President Alassane Ouattara said on Thursday, would “increase the voice and agency of member countries who are the most vulnerable” at the Fund.Mark Sobel, a former U.S. Treasury and IMF official now with the OMFIF financial think tank, described the proposed new positions as “sugarcoating” for the U.S. plan, but was skeptical that they would bring enough large economies on board to secure China’s support. He said members could postpone a decision for many months, as they have in the past.A spokesperson for China’s embassy in Washington declined to comment on the U.S. quota proposal. Martin Muhleisen, a former IMF strategy chief, said the plan “puts the Chinese on the spot to agree”. Otherwise, Beijing would be in the position of opposing new resources for distressed developing countries for its own political gain, he added.DELAYS POSSIBLEThe Brazilian official, who spoke on condition of anonymity because the IMF quota discussions are private, said negotiations in Marrakech would be “intense” but the U.S. proposal was not the only solution.”You could extend the discussion for another year,” the official said, or combine the current, 16th review of quotas due by Dec. 15 with the 17th review and accelerate the timetable.A delay would be a major disappointment for the IMF after contentious 2019 negotiations left quota resources and shareholding untouched. But some development experts say that a delay, perhaps until after U.S. elections in 2024, may be an easier path forward, partly because the IMF is not in danger of running short of resources. Its total loans outstanding now stands at about $150 billion, less than half its quota-based lending capacity.”The Fund’s not tight,” said Mark Plant, a former IMF official now with the Center for Global Development. “If we hit another crisis, it could get tight.” More

Roksolana Pidlasa, the budget committee head, revealed that the bill (No. 10038) passed after intense debates, amplifies state budget expenses by UAH 317.1 billion ($11.6 billion). Of this amount, a substantial part (UAH 302.6 billion or $11 billion) is directed towards the security and defense sector. This increase is primarily financed by a rise in government borrowing (UAH 290.7 billion or $10.6 billion).The Ministry of Defense, Ministry of Internal Affairs, and the Ministry of Social Policy are among the major beneficiaries of this boosted funding, with increments of UAH 211 billion ($7.7 billion), UAH 79 billion ($2.9 billion), and UAH 16.5 billion ($603 million) respectively.Other departments such as the Ministry of Foreign Affairs, Main Intelligence Directorate, State Security Administration will also see their budgets rise by UAH 1.3 billion ($47 million), UAH 2.5 billion ($91 million), and UAH 230.5 million ($8.4 million) respectively.Additional funding has also been allocated for the Ministry of Strategic Industries (UAH 4.3 billion or $157 million), Ministry of Education (UAH 572 million or $20.9 million), and the Economic Security Bureau (UAH 219 million or $8 million).Furthermore, the State Service for Special Communications and the Foreign Intelligence Service will receive enhancements of UAH 570 million ($20.8 million) and UAH 500 million ($18.3 million) respectively. The Ministry of Energy will also experience a surge in funding by UAH 350 million ($12.8 million).Finance Minister Serhiy Marchenko attributed this surge in military campaign funding to support from businesses, taxpayers, and war bonds placement, underlining the urgency of these budget amendments. He emphasized that international aid cannot be funneled towards military uses.The changes also cover allowances for military personnel, special equipment procurement, defense industry development programs, provisions for internally displaced persons, textbooks for schools, and funding for National Guard, State Border Guard Service, Security Service of Ukraine, Foreign Intelligence Service, and State Special Communications.These budgetary adjustments, approved by the Cabinet on September 12, set a record as they push total budget expenditures over UAH 3.39 trillion ($124 billion) and widen the deficit beyond UAH 2 trillion ($73 billion).This article was generated with the support of AI and reviewed by an editor. For more information see our T&C. More

This article is an on-site version of our Disrupted Times newsletter. Sign up here to get the newsletter sent straight to your inbox three times a weekToday’s top storiesThe Labour party hailed its overwhelming victory in the Scottish constituency of Rutherglen and Hamilton West as proof that it is heading for Downing Street. The centre-left opposition party won nearly 60 per cent of the vote, with a 20 percentage point swing. Pollsters said the result could give Labour the chance of winning dozens of seats in Scotland in a general election next year.Moldova’s president has claimed Russia’s Wagner paramilitaries were behind a thwarted coup attempt that aimed to depose her as head of state as part of a campaign to destabilise the country. “The situation is really dramatic and we have to protect ourselves,” Maia Sandu said in an interview with the Financial Times.A group of Metro Bank bondholders contacted the UK lender’s board on Monday offering a £600mn capital injection, but the company has yet to accept the offer, according to two people familiar with the matter. The challenger bank sent representatives for the consortium of bondholders a letter on Friday morning that acknowledged the offer which is still on the table.For up-to-the-minute news updates, visit our live blogGood evening.A surprisingly strong US labour market report reignited a bond market sell-off today as investors bet that the Federal Reserve would have to raise interest rates again if it is to bring inflation under control. The US economy created 336,000 new jobs last month, according to Bureau of Labor Statistics data, far exceeding economists’ predictions, as companies in the world’s largest economy continued to hire despite an aggressive tightening of monetary policy by the Fed over the past 18 months.New job openings were reported across all sectors of the economy from leisure and hospitality to healthcare and professional industries. Even the government maintained a healthy hiring rate, creating 73,000 new positions last month, despite the threat of a shutdown.You are seeing a snapshot of an interactive graphic. This is most likely due to being offline or JavaScript being disabled in your browser.In addition, the number of positions created in August and July was revised up while the US unemployment rate remained at 3.8 per cent as the labour market showed no signs of cooling despite interest rates going from near zero to above 5 per cent since March 2022. “Low unemployment and higher wages have helped middle class workers cope with higher prices and borrowing costs. However, as the Fed continues to fight inflation, the labour market will need to remain strong if we are to achieve the proverbial soft landing [for the US economy],” said Joseph R Gaffoglio, president of Mutual of America Capital Management.The US bond market resumed its sell off in the morning session on Wall Street. Yields, which move in the opposite direction to prices, on longer-dated Treasuries rose to fresh 16-year highs as investors bet that US interest rates would stay “higher for longer”, with the possibility that the Fed could raise interest rates at its next meeting at the end of the month. The yield on the 10-year US government bonds rose to 4.887 per cent while the yield on 30-year Treasuries rose to 5.05 per cent. Equities fell in morning trading in New York before reversing those losses by midday. Rising bond yields threaten deeper economic turmoil, writes the Financial Times in its editorial today, as businesses and households face higher borrowing costs. A slowdown in the US economy will export volatility around the world, Mohamed El-Erian wrote ahead of the release of today’s jobs data. Need to know: UK and Europe economyThe FT editorial board’s verdict on UK prime minister Rishi Sunak’s big speech on Wednesday? His plans “do not amount to a coherent programme to address the major challenges the country faces, long-term and short.” Here’s more detail on how cash diverted from the HS2 rail project will be deployed. UK house prices dropped for the sixth consecutive month in September, according to mortgage provider Halifax, laying bare the effect of high mortgage rates on the property market as Britons struggle to afford new homes. The average house is now £278,601, down £15,000 from its peak of £293,500 reached in June last year. Meanwhile activity in the UK construction industry plunged in September, according to a new survey.Russia is turning to increasingly irregular revenue-raising measures to fund its war in Ukraine, including one-off taxes and levies, including “voluntary donations” western businesses have to pay when leaving Russia.Need to know: Global economyThe head of the IMF has said the “remarkable resilience” of the global economy this year has cut the chances of a painful recession in the coming quarters, even as she warned of weak growth over the next five years. Kristalina Georgieva highlighted “strong momentum” in the US economy while also singling out India as a bright spot.The World Trade Organization cut its estimate by half for global exports growth, amid a manufacturing slowdown and increasing trade fragmentation. Ngozi Okonjo-Iweala, WTO director-general, said the projected slowdown was “cause for concern, because of the adverse implications for the living standards of people around the world”. After a week of turmoil among the Republicans in the US House of Representatives following the ousting of Speaker Kevin McCarthy, party officials are worried about the loss a rainmaker who raised hundreds of millions of dollars. Here’s our guide to the contenders to succeed McCarthy.Seizing opportunities to export green energy, food and critical minerals could transform Latin America’s fortunes, the head of the region’s biggest development bank told the Financial Times. As Marrakech prepares to host the annual meetings of the World Bank and IMF, the FT in this special report highlights Morocco’s post-Covid bounceback in tourism despite last month’s earthquake, Casablanca’s ambition to be a leading gateway for investment into Africa, and the country’s emergence as the continent’s leading carmaker. Bangladesh is grappling with a weakening economy as its government prepares to extend its nearly two decades in power after national elections in January. But for critics of prime minister Sheikh Hasina the shine is coming off the country’s economic miracle.Need to know: businessExxonMobil is in talks to buy Pioneer Natural Resources in what would be the oil supermajor’s biggest acquisition in more than two decades, according to people familiar with the matter. Pioneer is the largest oil producer in Texas and had a market capitalisation of $50bn at the close of trading on Thursday.China’s Alibaba was accused of “possible espionage” at its Liège logistics hub in Belgium. European governments have been increasing scrutiny of the alleged risks posed by Chinese companies as part of a wider reassessment of the EU’s traditional openness to trade with Beijing.The UK regulator Ofcom referred the $500bn cloud computing industry to the Competition and Markets Authority for an antitrust investigation, after finding that Microsoft and Amazon dominated the market. EU and US regulators are also examining cloud computing companies after customers complained about being “locked in” to a single provider. TSMC, which controls 90 per cent of the global market for the most advanced made-to-order chips, has opened its first plant in the US, but the Taiwanese company has struggled with the American approach to construction and labour. An FT Big Read explains.As a result of falling sales, insolvencies and disappearing finances, plant-based “meat” companies are rebranding by highlighting what they say are the sector’s health benefits. Science round upThe World Health Organization recommended approval of a new malaria vaccine made by Oxford university that has shown sustained protection in children. The disease remains a significant global health threat, especially in Africa, although it is both preventable and curable. A vaccine-like drug to prevent HIV, the virus that can lead to Aids, administered once a year, could be ready just after 2030, according to developer ViiV. VH184 is an antiretroviral designed to block the action of an enzyme that inserts the genetic code of the HIV virus into the host cell’s DNA.Last month was the hottest September ever, passing the previous record by an “extraordinary” 0.5C to hit a global average of 16.38C. This year is likely to be the warmest year on record, the European earth observation agency said.The Nobel Prize in Medicine went to a team whose discoveries led to the messenger RNA vaccines that played a key role in the battle against Covid-19. The physics prize went to a trio of scientists for advances in electron dynamics, showing how to create extremely short pulses of light that can be used to measure the movements of electrons. Chemistry went to the creators of “quantum dots”, tiny nanoparticles with applications in electronics ranging from display screens to medical technology. Moderna’s combined Covid and influenza vaccine was found to be as effective as separate shots in early trials, giving the US biotech company hope that approval could come by 2025.An FT Big Read delves into the health controversy surrounding artificial sweeteners. Industry says they are a vital weapon against obesity and diabetes but scientists are far from fully understanding the impact of the products that have become ubiquitous on supermarket shelves.Since Russia first invaded parts of Ukraine in 2014, the number of drug-resistant infections in western Europe has been rising — and a significant number have been in Ukrainians, according to a flurry of scientific papers. Read more in our special report: The Future of Antibiotics.Science commentator Anjana Ahuja calls on governments to declutter space. Cheaper satellites have contributed to a growing problem of space junk as they come to the end of their operational lives. Some good news‘Roos playing air guitar, angry birds and foxes with cigars: It’s the Comedy Wildlife Photo Awards 2023.Hello, old friend. The Happy Turtle, a finalist in this year’s awards More

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Yellen’s agenda includes a speech at the Mohammed VI Polytechnic University, highlighting MDB reform progress and U.S. support for Ukraine amidst Russia’s war. She will also participate in the G20 Finance Ministers and Central Bank Governors Meeting, MDB Evolution Roundtable, IMF Roundtable, Ukraine Ministerial Roundtable, and a facilities tour supported by the World Bank.Beyond Marrakech, Yellen is set to attend Luxembourg’s Eurogroup Finance Ministers Meeting to bolster U.S.-EU relations and coordinate Ukraine support. Other engagements include a Global Sovereign Debt Roundtable, World Bank Development Committee plenary meeting, G20 Finance Ministerial meeting, a press conference at the Mohammed VI Museum for Water Civilization, the Poverty Reduction and Growth Trust (PRGT) Roundtable, and a working dinner for G20 finance ministers.Notably, the Treasury Secretary will be discussing IMF quotas and strengthening EU-US ties during her trip. In Luxembourg, she is expected to meet with euro area finance ministers to discuss a critical minerals cooperation agreement set to be advanced during a meeting with European Commission President Ursula von der Leyen and European Council President Charles Michel.One of Yellen’s significant tasks involves addressing the Russian oil price cap issue due to Ukraine’s invasion. She will also host an IMF roundtable and participate in the Global Sovereign Debt Roundtable to address debt restructuring issues for low-income countries, emphasizing China’s role in debt relief.Additionally, Yellen will deliver a reform speech at the World Bank advocating increased funding for climate change initiatives, which is expected to contribute to the ongoing global dialogue on sustainable development. A potential meeting with Chinese officials, facilitated by established US-China working groups, could further US-China economic relations and set the stage for a future Biden-Xi meeting.This article was generated with the support of AI and reviewed by an editor. For more information see our T&C. More