Forbes Daily: Hopes Dim For Rate Cuts As Inflation Crushes Consumers |
There’s now an app for the Trump administration’s new investment accounts for children.
The Treasury Department announced the launch of the Trump Accounts app Thursday, which it said will be how users access the program. It provides an initial $1,000 deposit for children born in the U.S. between 2025 and 2028. Parents are responsible for enrolling their children in the program, which is one reason experts say it is unlikely to help the most financially vulnerable.
Nearly 6 million children have already been signed up, with contributions set to begin July 4.
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The U.S. and Iran reached a tentative deal that would extend the ceasefire by 60 days and reopen the Strait of Hormuz, though President Donald Trump has yet to sign off.
Anthropic surpassed OpenAI to become the world’s most valuable AI startup, with a valuation of $900 billion after its latest fundraise.
Blue Origin’s new rocket exploded during testing, a major setback for the Jeff Bezos-backed rocket company as it seeks to challenge Elon Musk’s SpaceX.
Consumers Under Strain
New data released Thursday adds to the cracks beginning to show in the U.S. economy.
Real Gross Domestic Product grew at a rate of 1.6% annually in the first quarter, according to a revised estimate from the Bureau of Economic Analysis. That’s slower than its earlier 2% estimate, and the downward adjustment comes from updates to inventory investment and a moderation in consumer spending, particularly on healthcare.
The data raises concerns about stagflation—a phenomenon defined by stagnating growth, rising prices and high unemployment that is particularly challenging for policymakers to address. The Federal Reserve’s preferred inflation metric, the personal consumption expenditures price index, rose 3.8%........