The US Treasury has $252 billion in cash on hand to fund government operations. Google, Microsoft, and Apple combined had more cash on hand at the end of last year.
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Prices as of 4 pm EST, 4/19/23
Macro
House Speaker Kevin McCarthy proposed a bill to raise the debt ceiling by $1.5 trillion for a year.
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The plan calls for a $130 billion reduction in federal spending, including cuts to Covid funds, tougher work requirements for anti-poverty benefits, easier regulations for energy projects, and an end to some tax breaks for clean-energy projects (like EVs).
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McCarthy says the bill would save taxpayers $4.5 billion over 10 years.
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Democrats immediately rejected the plan.
The Fed’s latest anecdotal Beige Book report showed little change in overall economic activity in recent weeks.
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It revealed slight easing in the labor market as wages moderate from admittedly elevated levels.
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Overall price rose during the period but the pace of increases has slowed.
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The report also showed tightening lending standards and declining lending volumes and loan demand.
US mortgage rates increased by the most in 2 months last week, rising to 6.43%.
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Demand for mortgage applications fell 10% from the previous week, the biggest drop since February.
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Meanwhile, a new Redfin report reveals median US home sale prices experienced their biggest YoY drop since 2012, falling 3.3% in March from a year earlier.
Redfin
Stocks
Florida Governor Ron DeSantis’ vendetta with Disney rages on.
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A DeSantis-appointed oversight board plans to cancel agreements made under previous leadership allowing the company to control land near its theme parks.
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If canceled, the +60-year agreement would hinder Disney’s ability to expand its resort.
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A legal fight is likely as experts argue voiding the contract could violate state contract and zoning laws.
