Jordan Goodman/jordan@moneyanswers.com w/Mitchell in the Morning, 5/8/23 - KFYR Radio On-Demand

1. Federal Reserve keeps raising rates because they think inflation is still too hot. Last week was 10th in a row to the highest level in 16 years. Rates on CDs and money market funds are now over 5%. 2. High rates are putting pressure on medium and smaller sized banks because their deposit costs are rising while their bond and mortgage portfolios are falling in value. Last week First Republic was taken over and merged with JP Morgan Chase and this will happen with more banks in coming months. Rates on CDs and money makret fnds are now over 5%. 3. Treasury says June 1 is the deadline to raise the national debt ceiling or the US won’t be able to pay its bills and Republicans and Democrats are far apart on a compromise to avoid a first ever default on the US debt in 3 weeks. 4. Unemployment numbers were still quite strong on Friday but the two previous months were revised downward sharply. Layoffs and strikes like of the Hollywood writers rising all over as workers demand higher wages.