Tag: u s treasury
Tubman’s Twenty Moves Us Closer To A More Perfect Union

Tubman’s Twenty Moves Us Closer To A More Perfect Union

The journey toward a more perfect union was quickened with the announcement that Harriet Tubman, abolitionist, Union spy and activist for women’s suffrage, will grace the front of the $20 bill. The Tubman twenty will be unveiled in 2020, timed to honor the 100th anniversary of women’s suffrage.

She will be the first woman on U.S. paper currency in more than a century and the first black American ever. That a black woman who was born a slave will be given such a prominent commemoration is a testament to American exceptionalism, a reminder of the nation’s slow and erratic but continuing march toward a more just version of itself.

Not all Americans see it that way, of course. Some are already grumbling about the demotion of Andrew Jackson, the nation’s seventh president, to the back of the bill. (Fox News’ Greta Van Susteren has called the change “stupid.”) Others insist that the Treasury has simply caved to an ill-conceived political correctness. (Donald Trump claims that’s the case.) A few will venture commentary that has no place in polite society.

Indeed, the announcement of a revamped and more-inclusive currency comes at a fascinating time in our politics, a time when a sizable portion of the electorate is roiled by anger, agitation and fear. While some of that anxiety has its roots in economic uncertainty, much of it — especially among the supporters of Trump’s presidential bid — has its foundation in a deep-seated resentment of the nation’s changing demographics.

It’s no accident that Trump — who is among the “birthers” who insist President Barack Obama is not an American — leads the Republican presidential field while denouncing Mexican immigrants and denigrating Muslims. There is a substantial minority of white American voters who are threatened by the loss of numerical advantage, furious over the election of a black president, and resentful of the growing racial and ethnic diversity in American life.

Trump and his supporters have dominated the political narrative in this election season and ignited a civil war inside the Republican Party. They have panicked the Republican establishment. They have set off alarm bells in faraway capitals.

Yet, the racially intolerant are losing the battle for primacy in the American story. They no longer dominate the nation’s culture or mythology, as the changes in the currency illustrate.

Last year, Treasury Secretary Jacob Lew invited the public to comment on his decision to recast a paper bill to feature a woman. Of the 15 women suggested by the activist group Women on 20s, including Eleanor Roosevelt, Susan B. Anthony and Rosa Parks, Tubman received the most votes.

A genuine American hero, she deserves the honor. As a young woman, she escaped the Maryland plantation that had enslaved her, and then made several trips back to assist others. Over a little more than a decade, she helped around 70 enslaved men and women find their way to freedom, traveling by night, using ingenious disguises and employing the hideouts established by the Underground Railroad.

She became an outspoken advocate for abolition, and when the Civil War broke out, she worked first as a cook and a nurse, and later as a scout and spy for the Union Army. After the war ended, she moved to a home she had purchased in upstate New York and campaigned for women’s suffrage.

Giving her prominence on the $20 bill forces the nation to acknowledge its original sin, slavery, as does demoting Jackson, a slaveowner. An accurate history further notes that the seventh president was notorious for his brutal treatment of native Americans, whom he forcibly removed from their lands. From now on, it will be difficult for history texts to ignore Tubman or to venerate Jackson.

Lew plans other changes, as well. A depiction of a 1913 march for women’s suffrage will be added to the back of the $10 bill, as will portraits of leaders of that movement. Images of Marian Anderson, Martin Luther King Jr. and Eleanor Roosevelt will be added to the back of the $5 bill.

That’s as it should be. The journey toward a more perfect union demands an acknowledgment of where we’ve been.

Cynthia Tucker won the Pulitzer Prize for commentary in 2007. She can be reached at cynthia@cynthiatucker.com.

Photo: Flickr user House Divided Project.

Consumer Spending Bolsters U.S. Second-Quarter Growth

Consumer Spending Bolsters U.S. Second-Quarter Growth

By Lucia Mutikani

WASHINGTON (Reuters) — U.S. economic growth accelerated in the second quarter as solid consumer spending offset the drag from weak business spending on equipment, suggesting a steady momentum that could bring the Federal Reserve closer to hiking interest rates this year.

Gross domestic product expanded at a 2.3 percent annual rate, the Commerce Department said on Thursday. First-quarter GDP, previously reported to have shrunk at a 0.2 percent pace, was revised up to show it rising at a 0.6 percent rate.

The revision to first-quarter growth reflected steps taken by the government to refine the seasonal adjustment for some components of GDP, which economists said left residual seasonality in the data, as well as new source data.

The Fed on Wednesday described the economy as expanding “moderately” while upgrading its view of the labor market and saying housing had shown “additional” improvement. The Fed’s assessment left the door open for a possible hike in interest rates in September, which would be the first rise since 2006.

A separate report showed first-time applications for state unemployment benefits increased 12,000 last week to a seasonally adjusted 267,000. However, claims remained not too far from their cycle lows.

The dollar extended gains against a basket of currencies, while prices for U.S. Treasury debt fell slightly.

Though second-quarter GDP growth was a bit below economists’ expectations for a 2.6 percent rate, the growth composition pointed to firming domestic fundamentals.

A measure of private domestic demand, which excludes trade, inventories, and government expenditures, increased at a 2.5 percent rate after rising at a 2 percent pace at the start of the year.

Growth in the second quarter was boosted by consumer spending as households used some of the windfall from cheaper gasoline in late 2014 and early this year to go shopping. The strengthening labor market also encouraged consumers to loosen their purse strings.

Consumer spending, which accounts for more than two-thirds of U.S. economic activity, grew at a 2.9 percent rate from a downwardly revised 1.8 percent pace in the first quarter. Consumer spending was previously reported to have increased at a 2.1 percent rate at the start of the year.

The saving rate fell to 4.8 percent from 5.2 percent.

Energy Drag Persists

Housing also supported the economy in the second quarter, as did exports, and state and local government spending.

However, the energy sector continued to weigh on growth as it struggles with the lingering effects of deep spending cuts by oil-field companies like Schlumberger (SLB.N) and Halliburton (HAL.N) in the aftermath of a more than 60 percent plunge in crude oil prices last year.

Business spending on structures fell at a 1.6 percent rate after stumbling 7.4 percent at the start of the year. Investment on equipment fell at a 4.1 percent rate.

Spending on mining exploration, wells, and shafts plunged at a 68.2 percent rate, the largest decline since the second quarter of 1986. This category dropped at a 44.5 percent pace in the first quarter.

But there are signs that the energy spending rout might be nearing an end. Data last Friday showed U.S. energy firms added 21 oil rigs last week, marking the third increase over the past 33 weeks.

Schlumberger said last week it believed the North American rig count may be bottoming and that a slow rise in both land drilling and completion activity could occur in the second half of the year.

Exports rebounded in the second quarter, despite a strong dollar, while imports rose moderately. That left a smaller trade deficit that added 0.13 percentage point to GDP growth.

Inventory investment slowed after the first quarter’s brisk pace. Businesses accumulated $110 billion worth of merchandise, down from $112.8 billion in the first quarter, good news for the remainder of the year.

With oil prices rising during the second quarter and consumer spending picking up, inflation accelerated sharply.

The personal consumption expenditures price index rebounded at a 2.2 percent rate, the fastest since the first quarter of 2012, after falling at a 1.9 percent rate at the start of the year. Excluding food and energy, prices increased at a 1.8 percent pace.

(Reporting by Lucia Mutikani; Editing by Andrea Ricci)

Photo: A customer shops at the Wal-Mart Neighborhood Market in Bentonville, Arkansas, June 4, 2015. REUTERS/Rick Wilking

U.S. Stocks Little Changed; Apple Up 0.2 Percent

U.S. Stocks Little Changed; Apple Up 0.2 Percent

New York (AFP) — Wall Street stocks were little changed in early trade Wednesday with Apple posting modest gains after unveiling a spate of new products, including a mobile-payment system and a smartwatch.

About 40 minutes into trade, the Dow Jones Industrial Average dipped 3.01 points (0.02 percent) to 17,010.86.

The broad-based S&P 500 shed 1.25 (0.06 percent) to 1,987.19, while the tech-rich Nasdaq Composite Index gained 0.89 (0.02 percent) to 4,553.18.

Patrick O’Hare, analyst at Briefing.com, said concerns about the Fed accelerating its plans to raise benchmark interest rates are the “excuse du jour” for tepid trade in equities.

But O’Hare also said the “stock market may just be succumbing to some price exhaustion after a huge move.”

O’Hare said the trajectory of Apple stock was consistent with the tech giant’s history of rising in the weeks before product launches and then cooling off after the announcements are made. Apple shares stood 0.2 percent higher.

Dollar General launched a hostile takeover campaign for Family Dollar, offering $80 a share for the company and seeking to scuttle a rival bid from Dollar Tree for $74.50. Family Dollar has said a deal with Dollar General would face major antitrust obstacles.

Dollar Tree lost 0.3 percent while Family Dollar and Dollar General each fell 0.1 percent.

EBay dropped 3.3 percent on worries that Apple’s new mobile wallet system could threaten its PayPal unit.

Although it is possible PayPal could be integrated into the Apple system, “competitive concerns for PayPal will likely continue” in light of the Apple news, said a note from Bank of America/Merrill Lynch.

Dow member Microsoft rose 0.1 percent following reports it is considering a $2 billion deal to buy Mojang AB, the creator of the popular “Minecraft” video game.

Bond prices fell. The yield on the 10-year U.S. Treasury advanced to 2.53 percent from 2.50 percent Tuesday, while the 30-year rose to 3.26 percent from 3.23 percent. Bond prices and yields move inversely.

AFP Photo/Eric Piermont

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