Weekend reads: Rising inflation and the Federal Reserve’s response to it

US consumer prices rose 0.9% in June – a sharp one-month increase and in fact the largest since 2008.

But Federal Reserve Chairman Jerome Powell said during congressional testimony on Thursday that it will take time before improvements in the labor market indicate a change in central bank policy that keeps interest rates very low. A decline in bond yields indicates that investors are not worried about inflation, at least not yet.

Here’s a sampling of MarketWatch’s coverage of inflation and its implications for consumers, investors, and policymakers:

A change of mind about where to retire

Cummins Falls State Park near Cookeville, Tennessee (Getty Images / iStockphoto)

As part of her Where Should I Retire series, Silvia Ascarelli suggests three possible locations for a couple who planned to retire in Utah and now want to consider different places amid drought and pollution concerns.

To find your own retirement location, try MarketWatch’s upgraded retirement location tool, which now includes data for more than 3,000 US counties.

How to fix an underfunded state pension system?

Andrea Riquier interviews David Eager, who became executive director of the Kentucky Public Pension Authority five years ago when it was considered one of the worst-funded state pension systems in the U.S. Eager has a positive view of the political aspects of the job, as he has can “[get] the train on the track.”

A legacy dilemma

It can be difficult to agree with family members on what to do with an inherited home. (Getty Images/iStockphoto)

Jacob Passy writes the column The Big Move. This week he helps a man who has inherited a house with his brother and sister. The good news is that there is no mortgage loan. But they disagree on what to do now.

Bustling markets

Michael Brush warns that there are signs that the stock market is ready for a correction, typically defined as a 10% or more drop. Mark Hulbert has a similar warning to bond investors and two strategies for surviving a stock market crash.

Other opinions on the health of securities markets:

  • Expect a 10% or worse correction in US stocks in mid-August, says this forecaster with a proven track record

  • MarketWatch Options Trader: For now, remain optimistic on the S&P 500 despite some red flags

Payments for child tax credits continue

For 2021, the federal tax credit per child has been increased from $2,000 to a maximum of $3,600. Instead of making people wait until they file their 2021 tax returns in 2022, the Internal Revenue Service sends electronic check payments for half the credit in monthly installments beginning July 15.

Here’s related coverage:

The shifting labor market

Small business owners are increasingly confident as the US economy has recovered, but record numbers are raising wages as qualified labor is hard to find. Meanwhile, more and more employees are losing their jobs in the gig economy because employers outsource.

A comparison of two electric trucks

The GMC Hummer EV is powered by next-generation propulsion technology that enables unprecedented off-road capability, exceptional on-road performance and an immersive driving experience.

Matt DeLorenzo of Kelly Blue Book compares two electric truck models from General Motors Co. GM,
and Tesla Inc. TSLA,
drivers love to see on the road: the GMC Hummer and Tesla’s Cybertruck.

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