Real Time Economics: U.S. and China Resume Trade Talks

This is the web version of the WSJ’s newsletter on the economy. You can sign up for daily delivery here. Here we go again. The U.S. and China resumed trade talks last week, though divisions within the Trump administration make it hard to figure out whether we’re heading for a truce or more tariffs. Good morning. Jeff Sparshott here to take you through the day’s top economic news. We’ll also look at Amazon’s new headquarters, tech’s battle for talent, oil prices, and why foreigners are shunning U.S. colleges and British jobs.  LET’S TALK Treasury Secretary Steven Mnuchin spoke with his Chinese counterpart, Vice Premier Liu He, about a deal to ease trade tension. Friday’s phone call didn’t lead to a breakthrough but the renewed discussions indicate the two sides are trying to make progress ahead of a meeting between President Trump and Chinese President Xi Jinping at the end Continue reading "Real Time Economics: U.S. and China Resume Trade Talks"

Real Time Economics: Trump’s Trade Agenda | Who Cares About the Economy? | It’s Fed Day!

This is the web version of the WSJ’s newsletter on the economy. You can sign up for daily delivery here. President Trump and Democrats have a shared skepticism of free trade. That doesn’t mean they’ll agree on a renegotiated Nafta—or the rest of the White House’s trade agenda. The new deal with Mexico and Canada could prove an early test when the administration seeks approval from a Democrat-controlled House next year.  Good morning. Jeff Sparshott here to take you through the latest developments affecting the global economy, including lessons and fallout from midterms, what to expect from the Fed, China’s surging exports, and big tech and dying startups. DON’T BET THE HOUSE ON IT President Trump said split control of Congress “could be a beautiful, bipartisan-type of situation.” He praised likely House Speaker Nancy Pelosi, saying he was prepared to negotiate over issues ranging from infrastructure to the environment. Continue reading "Real Time Economics: Trump’s Trade Agenda | Who Cares About the Economy? | It’s Fed Day!"

Real Time Economics: U.S. Jobs Numbers On Tap, Trump Signals Progress With China

This is the web version of the WSJ’s newsletter on the economy. You can sign up for daily delivery here. It’s jobs day! The U.S. employment report for October is out at 8:30 a.m. ET. Today we also look at progress and prospects for resolving the U.S.-China trade fight, slower growth at U.S. factories, so-so worker productivity, labor disruptions, and the company that’s following you by tracking your smartphone. GOOD COP President Trump said he had a “very good conversation” with President Xi Jinping of China, signaling progress in the nations’ trade dispute. The president’s upbeat assessment came as an impasse over trade has threatened to undermine a planned meeting between the two leaders at the Group of 20 leaders summit in Buenos Aires later this month, Vivian Salama, Aruna Viswanatha and Kate O’Keeffe report. Mr. Trump said the two discussed many issues by telephone on Thursday, Continue reading "Real Time Economics: U.S. Jobs Numbers On Tap, Trump Signals Progress With China"

Real Time Economics: U.S. Wages Poised for a Breakout | China’s Factories Slow | Millennials Drive Homeownership

This is the web version of the WSJ’s newsletter on the economy. You can sign up for daily delivery here. Good morning. Today we look at the U.S. labor market, inflation, homeownership in America, a two-year low for China manufacturing activity, and warnings on tariffs.  BREAK ON THROUGH U.S. workers’ wages are poised to break through a 3% annual growth ceiling that’s held firm for nearly a decade when the Labor Department releases the October jobs report on Friday. Economists project that average hourly earnings advanced 0.2% on the month in October. That roughly 5-cent-an-hour gain would result in wages advancing 3.1% from a year earlier. Wages haven’t exceed 3% year-over-year growth since April 2009. (At that time, wages were growing because employers we’re letting go of less-experienced, lower-paid workers, leaving higher-earning workers on payrolls.) The strong annual gain in October in part reflects that Continue reading "Real Time Economics: U.S. Wages Poised for a Breakout | China’s Factories Slow | Millennials Drive Homeownership"

Real Time Economics: The Best Major for College Grads | U.S.-China Impasse | Slower Growth Ahead for the U.S.?

This is the web version of the WSJ’s newsletter on the economy. You can sign up for daily delivery here. Good morning. Today we look at college grads stuck working in jobs that don’t require a degree, U.S.-China trade talks, trade policy fallout, early signs that the economy may cool in the final months of the year, and the rising supply and strong demand for marijuana that won’t get you high. FRIES WITH THAT BACHELOR’S DEGREE? It’s a tight job market, but some college majors aren’t much help in landing a job that requires a college degree. No, we’re not talking about English literature. Some more vocationally geared majors—like fitness studies, criminal justice and business—can be worse choices than English or gender studies, according to a new report by labor analytics firm Burning Glass Technologies. College graduates who studied homeland security and law enforcement had a 65% probability of Continue reading "Real Time Economics: The Best Major for College Grads | U.S.-China Impasse | Slower Growth Ahead for the U.S.?"

Plastic Watch: Recycling Woes

Although recycling is far from a viable solution to the world’s plastic problem, even these inadequate efforts are lacking, as press accounts from last week of corruption in the UK recycling industry, and Japan’s lag in implementing even the limited plastic reduction measures undertaken elsewhere reveal.

Real Time Economics: Why China’s Stock Market Rebounded After Another Sign of Slowing Economic Growth

This is the web version of the WSJ’s newsletter on the economy. You can sign up for daily delivery here. Good morning. Today we look at China’s big-guns response to tepid economic data, volatility in U.S. markets, how trade tensions could lock U.S. hog farmers out of the world’s biggest pork market, and more speculation on where Amazon will plunk its HQ2. CHINA’S ECONOMY SLOWS… China’s economic expansion slowed to its weakest pace since the financial crisis. While the economy remains on track to meet Beijing’s full-year growth target of about 6.5%, the third-quarter performance underscores recent trouble—a scaleback of industrial production, slowing retail sales, anemic big-ticket investments and rising corporate defaults, Lingling Wei reports. Part of the slowdown is due to Beijing’s initiative of the past two years to contain debt and fend off financial risks. Even though the country started to loosen its control on credit Continue reading "Real Time Economics: Why China’s Stock Market Rebounded After Another Sign of Slowing Economic Growth"

Real Time Economics: U.S. and China Impose Tariffs, Put Off Talks

This is the web version of the WSJ’s newsletter on the economy. You can sign up for daily delivery here. Good morning. Today we look at the latest in the U.S.-China trade fight, happy days for used-car salesmen, why unions are going on strike more often, zombies, and the confluence of economics, earthquakes and God. TRADE FIGHT HEATS UP (AGAIN) China scotched trade talks with the U.S. that were planned for the coming days and accused the Trump administration of being a trade bully. Beijing’s latest moves followed the White House’s decision to implement $200 billion in tariffs on Chinese goods Monday. China is responding with $60 billion in tariffs against the U.S., a measure that President Trump promised to meet with yet another $267 billion in levies. If the White House goes ahead with the final tranche in a few weeks or months, just about Continue reading "Real Time Economics: U.S. and China Impose Tariffs, Put Off Talks"