Thursday, March 13, 2014

Friday: PPI, Consumer Sentiment

by Calculated Risk on 3/13/2014 07:14:00 PM

An important development from the WSJ: Senators Strike Deal on Long-Term Jobless Benefits

Congress has been stalled since extended federal jobless benefits expired on Dec. 28, 2013, taking away financial support from an estimated two million people so far.
Under the agreement reached Thursday, those who had lost benefits in late December would receive retroactive payments.
To ensure that the roughly $9.7 billion bill doesn't add to the federal budget deficit, it includes measures designed to generate new revenue.

The deal's fate in the Republican-controlled House of Representatives wasn't immediately clear. House Speaker John Boehner (R., Ohio) had said earlier this year that he would consider renewing the long-term benefits if lawmakers could come up with a plan to offset the cost ...
The key points:
1) Not having extended benefits with so many suffering is unprecedented and bad policy.
2) The bill is retroactive.
3) The bill is paid for.
4) The bill is bipartisan.
5) But it still needs to pass the House.

• At 8:30 AM ET, the Producer Price Index for February from the BLS. The consensus is for a 0.2% increase in prices.

• At 9:55 AM, the Reuter's/University of Michigan's Consumer sentiment index (preliminary for March). The consensus is for a reading of 81.8, up from 81.6 in February.