Inflation lifts first-quarter profits - May 5, 2022

The Federal Reserve on Wednesday issued its biggest rate hike in 22 years, raising interest rates by half a percentage point to counter inflation. Some economists fear that the Fed’s actions could be too late for avoiding recession. More measures to cool the economy are expected throughout the year, potentially amounting to the fastest withdrawal of monetary support in decades. The agency warned that the war in Ukraine and pandemic lockdowns in China will likely continue to push prices higher in coming months. Inflation continues to lift first-quarter profits for many companies, spurring better-than-expected earnings for Bud brewer Anheuser-Busch InBev and a record quarterly profit for Shell. Strong oil and gas trading has contributed to surging profits for U.S. shale companies as well as UK energy giant BP, which reported more than a double in profits despite a hit of more than $24 billion from ditching its business in Russia. Many companies that spoke out on state laws to restrict abortion have so far remained silent on Roe v. Wade, underscoring the difficult logistical issues that some corporations could face if they vow to maintain their health care promises from coast to coast. Apple, Amazon, Citigroup and Yelp are among the companies that have publicly offered to cover some costs for employees who need to travel out of state for an abortion. With women making up more than half of the workforce, experts say the effects of abortion on business must be considered. According to one paper, women who were unable to get abortions were less likely to be employed full-time six months after denial of care. The maker of TurboTax has been ordered to pay $141 million to customers across the U.S. who were deceived by misleading promises of free tax-filing services. An investigation of the company followed media reports that found the company was steering low-income tax filers toward its commercial products even if they qualified for federally supported free services. A spokesperson for Intuit, the maker of the tax sof