What the end of Federal Reserve independence could mean

WASHINGTON (AP) — President Donald Trump’s attempt to fire a member of the Federal Reserve’s governing board has raised alarms among economists and legal experts who see it as the biggest threat to the central bank’s independence in decades. The consequences could impact most Americans’ everyday lives. Economists worry that a loyal Fed that sharply cuts short-term interest rates could result in higher inflation and, over time, higher borrowing costs for things like mortgages, car loans and business loans. Trump is trying to fire Fed governor Lisa Cook over mortgage fraud allegations. She has filed a lawsuit seeking to block her firing.

What happens to Trump’s tariffs now that a federal appeals court has knocked them down?

WASHINGTON (AP) — President Donald Trump has audaciously claimed virtually unlimited power to bypass Congress and impose sweeping taxes on foreign products. Now a federal appeals court has said: Not so fast. The U.S. Court of Appeals for the Federal Circuit ruled Friday that Trump went too far when he declared national emergencies to justify imposing sweeping import taxes on almost every country on earth. The ruling largely upheld a May decision by a specialized federal trade court in New York. But the 7-4 appeals court decision tossed out a part of that ruling striking down the tariffs immediately, allowing his administration time to appeal to the U.S. Supreme Court.

Court finds Trump's tariffs an illegal use of emergency power, but leaves them in place for now

WASHINGTON (AP) — A federal appeals court has ruled President Donald Trump illegally used emergency powers to impose sweeping tariffs but left them in place for now. The U.S. Court of Appeals for the Federal Circuit ruled Friday that Trump wasn’t legally allowed to declare national emergencies and impose import taxes on almost every country on earth, largely upholding a May decision by a specialized federal trade court in New York. But the court tossed out a part of that ruling, striking down the tariffs immediately and allowed his administration time to appeal to the Supreme Court.

Fed governor Cook seeks court order blocking her firing by Trump

A case that could provide the Trump administration with new and expansive power over the traditionally independent Federal Reserve got its first court hearing Friday. Federal Reserve Governor Lisa Cook has requested an emergency injunction to block President Donald Trump’s attempt to fire her over allegations that she committed mortgage fraud when she purchased a home and condo in 2021. She was appointed to the Fed’s board by former president Joe Biden in 2022. If her firing is allowed to stand, it would likely erode the Fed’s longstanding independence from day-to-day politics. No president has ever fired a Fed governor in the agency’s 112-year history.

Key US inflation gauge holds mostly steady though core inflation ticks higher

WASHINGTON (AP) — The Federal Reserve’s preferred inflation gauge mostly held steady last month despite President Donald Trump’s broad-based tariffs, but a measure of underlying inflation increased. Prices rose 2.6% in July compared with a year ago, the Commerce Department said Friday, the same annual increase as in June. The figures illustrate why many officials at the Federal Reserve have been reluctant to cut their key interest rate. While inflation is much lower than the roughly 7% peak it reached three years ago, it is still running noticeably above the Fed’s 2% target.

Stocks pull back from their latest all-time highs on Wall Street

Stocks lost ground on Wall Street a day after the market hit its latest all-time highs. The S&P 500 fell 0.6% Friday. The index ended August up 1.9%, its fourth straight month of gains. The Dow Jones Industrial Average fell 92 points, or 0.2%. The Nasdaq composite fell 1.2%. Treasury yields were mixed in the bond market. The government said prices mostly held steady last month. European markets were mostly lower and Asian markets closed mixed. U.S. markets will be closed on Monday for the Labor Day holiday.

Duty-free no more: Parcels worth under $800 no longer qualify for a US tariff exemption

NEW YORK (AP) — Low-value imports no longer are eligible to enter the U.S. duty-free. An order signed by President Donald Trump eliminated a widely used customs exemption for international shipments worth $800 or less as of 12:01 a.m. Eastern time on Friday. The national postal services of more than 30 countries have temporarily suspended sending some or most U.S.-bound packages because of the change. They say they didn't have enough time or information to prepare for collecting the new import taxes on small parcels. Logistics experts say that in addition to bringing new costs for sellers and buyers, the end of the “de minimis” exception is likely to delay orders.

What Brazil’s soy moratorium fight means — and what happens next

BOGOTA, Colombia (AP) — Brazil’s soybean moratorium, credited with curbing Amazon deforestation since 2006, faces an uncertain future after the country’s competition regulator ordered its suspension while probing potential cartel-like behavior among traders. The investigation follows complaints from farm lobby groups and the congressional agriculture committee, which argue the pact restricts competition. Environmentalists warn ending it could reverse years of gains and damage market access. A federal judge has paused the suspension for now, but CADE’s review and court challenges leave the moratorium’s fate unclear.

More companies pull thousands of packages of shrimp for potential radioactive contamination

More companies are recalling tens of thousands of packages of imported shrimp that may contain radioactive contamination. AquaStar USA Corp of Seattle is recalling packages of refrigerated cocktail shrimp sold at Walmart and medium peeled, tail-off shrimp sold at Kroger and other stores. H&N Group, a California seafood distributor, is recalling frozen shrimp sold to grocery stores on the East Coast. The products may be contaminated with Cesium-137, a radioactive isotope. Federal officials issued a safety alert and urged recalls after the contamination was found in shipping containers and a sample of frozen breaded shrimp.

Spirit Airlines files for bankruptcy again but vows to keep flying

Spirit Airlines has filed for fresh bankruptcy protection months after emerging from a Chapter 11 reorganization. The budget carrier said on Friday that it would continue operating as normal during the voluntary restructuring, and customers still can book trips and use tickets. Spirit's parent company recently expressed "substantial doubt" about its financial future, citing weak demand for domestic leisure travel and ongoing market challenges. Despite cost-cutting efforts, including pilot furloughs, Spirit says it needs more cash and may sell aircraft and real estate. The airline is also trying to attract upscale travelers with tiered pricing and additional amenities.