Current Events in August 2016

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    Comcast objects to FCC proposal to restrict 'pay-for-privacy' broadband pricing

    ISPs want consumers to pay extra to avoid being tracked for advertising purposes

    Comcast is objecting to proposed rules that would outlaw the growing practice of charging broadband subscribers who don't agree to watch behaviorally targeted ads.

    The Federal Communications Commission (FCC) is considering a rule that would do just that, but rather than protecting consumers, Comcast says it "would harm consumers by, among other things, depriving them of lower-priced offerings."

    In a filing with the FCC, Comcast argues that, "a bargained-for exchange of information for service is a perfectly acceptable and widely used model throughout the U.S. economy, including the Internet ecosystem" and says it is "consistent with decades of legal precedent and policy goals related to consumer protection and privacy."

    But FCC Chairman Tom Wheeler notes some crucial distinctions in the case of broadband advertising. In a July 11 letter to Rep. Michael Burgess (R-Texas), Wheeler observed that: "A consumer, once connected to broadband service, cannot simply avoid the network in the same manner as a consumer can instantaneously (and without penalty) switch search engines, surf among competing websites, and select among diverse applications."

    Wheeler said consumers wanting to switch services would face charges including: "(1) early termination fees; (2) installation fees; (3) activation fees; and (4) the cost of new or replacement equipment (if owned equipment is not compatible with the new service)."

    Wheeler noted that even if the consumer could afford those costs, many cities lack a competing broadband provider. 

    "Devastating impact"

    Privacy groups beg to differ. The non-profit advocacy organization Free Press says widespread adoption of the practice would have a "devastating impact on our most vulnerable populations."

    "It could mean that only people with the necessary financial means could protect their privacy and prevent their ISPs from sharing their personal information with predatory online marketers," said Sandra Fulton, Free Press' government relations manager, in a blog posting.  

    "Under pay-for-privacy models, consumers who are unable to pay the higher broadband cost will likely see their ISPs share their data with shadowy online data brokers who use this information to tailor marketing messages," Fulton said. "While unregulated and unaccountable data brokers are a threat to everyone’s privacy, they’re notorious for targeting low-income communities, people of color and other vulnerable demographics."

    Senators object

    Senators Elizabeth Warren (D-Mass.) and Bernie Sanders (I-Vt.) are supporting the FCC's proposed rule. In a letter to the FCC, the senators said, "Every click a consumer makes online paints a detailed picture of their personal and professional lives, and this sensitive information should be protected by strong privacy standards." 

    "Not only is a pay-for-privacy standard counter to our nation's core principle that all Americans have a fundamental right to privacy, but it also may disproportionately harm low-income customers, the elderly, and other vulnerable populations," the senators wrote.

    Comcast is objecting to proposed rules that would outlaw the growing practice of charging broadband subscribers who don't agree to watch behaviorally targe...

    Spirit flips its rewards program in August -- gives more points for less spending

    It's intended to tweak major carriers who now award points based on spending, not miles

    Major airlines have been fiddling with their rewards programs, changing them to award points based on spending rather than miles. Budget carrier Spirit Airlines is taking a different tack in August -- awarding more miles to those who spend less.

    “We want to fly in the face of changing loyalty programs and reward customers for saving money, not spending it,” Bobby Schroeter, Spirit’s vice president of consumer marketing, said. It's called the “Save More, Get More” promotion.

    Throughout August, Free Spirit members will earn 1,000 bonus miles for flights in which the base fare is $75 or less. Spirit will award 500 bonus miles for flights that cost between $76 and $125. The ultra-low-cost carrier will award 125 bonus miles to those who purchase tickets that cost between $126 and $150.

    The bonuses are increased to 2,500 miles, 1000 miles and 500 miles, respectively, for members of Spirit’s $9 Fare Club.

    The bonus miles will be awarded on top of the normal Free Spirit miles that members earn for a flight. Free Spirit members are awarded one mile for every two miles that they fly, while elite members are awarded on a mile-for-mile basis.

    Interested participants can visit here to register for the campaign and book a flight.

    Major airlines have been fiddling with their rewards programs, changing them to award points based on spending rather than miles. Budget carrier Spirit Air...

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      How much are you really saving at the gas pump?

      Gasbuddy survey finds consumers could be pocketing a lot more

      Gasoline prices are lower for this time of year than they have been in recent memory. Consumers should be pocketing significant savings.

      But are they? Gas price website GasBuddy surveyed consumers' fuel-purchasing habits and has concluded that consumers may be saving, but they are actually paying more than they should.

      The biggest threats to consumers, the site claims, are procrastination, craving convenience, and being creatures of habit.

      How can following long-established habits hurt? Gasbuddy found that an overwhelming majority of consumers – 76% – go to the same station to fill up on a regular basis. They do so because they believe it has the lowest price, but often it doesn't, and they don't bother to find out.

      Smart shopping

      “Make sure you’re shopping smart and checking that your go-to fill-up spot is, in fact, the cheapest,” said Vera Gibbons, senior consumer analyst at GasBuddy. “You never know when a nearby station is running a promotion or may have changed its pricing strategy, so always double-check.”

      Another money wasting habit is waiting until the gas gauge hits empty before filling up again. If you wait until you're running on fumes, price become less important. You just want to get some fuel in your tank, regardless of what it costs.

      “According to our research, most people can save around 20 to 30 cents per gallon by shopping around for the cheapest station within a city. In some cities like Chicago, Los Angeles, Seattle and Washington, D.C., the savings could be upwards of 70 cents per gallon,” Gibbons said.

      But who takes the time to do that when the gas gauge needle is hovering over “E?”

      Why didn't the motorist cross the road?

      Other consumers are overpaying for fuel because they refuse to cross the road. The survey found 40% of respondents choose a gas station based on location, while 14% admit to choosing a station depending on how easy it is to get into.

      Convenience also enters into the money-wasting equation when a station offers a cash discount but the consumer pays with plastic. Admittedly, it's a pain to go inside the station and pre-pay with cash for the gas. But those who do so might save up to 15 cents a gallon, Gibbons says.

      “Paying with cash might be less convenient for those who only carry cards, but it’s a simple way to save some extra money,” she said.

      Even so, the survey found 86% of consumers buy gasoline with a credit or debit card.

      With gas prices historically low, some consumers are paying a little more for a premium grade of gasoline. Twelve percent of consumers in the survey admitted to doing that.

      That's a big money-waster, Gibbons says. Unless a manufacturer specifically requires premium fuel, 87 octane will work just fine.

      Gasoline prices are lower for this time of year than they have been in recent memory. Consumers should be pocketing significant savings.But are they? G...

      Employment on the rise in July

      The gains came in the non-manufacturing sector

      Although July was a better month for employment than June, the pace of new job creation continues at a less than robust pace.

      According to the July ADP National Employment Report, private sector employment increased by 179,000 jobs from June to July -- 3,000 more jobs than were created in June.

      The report, produced by the ADP Research Institute in collaboration with Moody's Analytics, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.

      "This month's employment number falls short of the 12-month average primarily because of slowing in small business hiring," said Ahu Yildirmaz, vice president and head of the ADP Research Institute. "As the labor market continues to tighten, small businesses may increasingly face challenges when it comes to offering wages that can compete with larger businesses."

      Strength in services

      Service-providing employment added 185,000 jobs last month, with professional/business services contributing 59,000. Trade/transportation/utilities increased by 27,000 jobs and financial activities added 11,000.

      Goods-producing employment lost 6,000 jobs in July, following June losses of 28,000, with the construction industry down 6,000. Manufacturing rebounded, gaining 4,000 jobs after losing 15,000 a month earlier.

      Payrolls for businesses with 49 or fewer employees increased by 61,000 jobs in July, while employment at companies with 50-499 employees rose by 68,000. Large companies -- those with 500 or more employees -- hired 50,000 new workers; firms with 500-999 employees added 16,000, and companies with more than 1,000 employees put another 33,000 people on the payroll.

      "This month's employment number falls short of the 12-month average primarily because of slowing in small business hiring," said Ahu Yildirmaz, vice president and head of the ADP Research Institute. "As the labor market continues to tighten, small businesses may increasingly face challenges when it comes to offering wages that can compete with larger businesses."

      Although July was a better month for employment than June, the pace of new job creation continues at a less than robust pace.According to the July ADP ...

      Another drop -- the third straight -- for mortgage applications

      Contract interest rates are working their way higher

      For the third time in as many weeks, applications for mortgages were on the decline.

      The Mortgage Bankers Association reports applications were down 3.5% in the week ending July 29.

      The Refinance Index fell 4%, sending the refinance share of mortgage activity from 61.1% to 60.7%. The adjustable-rate mortgage (ARM) share was unchanged at 4.7%, the FHA share fell to 9.4% from 10.1%, the VA share rose to 12.1%, and the USDA share of total applications increased to 0.7% from 0.6% the week before.

      Contract interest rates

      • The average contract interest rate for 30-year fixed-rate mortgages (FRMs) with conforming loan balances ($417,000 or less) slipped two basis points -- from 3.69% to 3.67% -- with points decreasing to 0.30 from 0.36 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate decreased from last week.
      • The average contract interest rate for 30-year FRMs with jumbo loan balances (greater than $417,000) dipped to 3.65% from 3.67%, with points decreasing to 0.24 from 0.32 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.
      • The average contract interest rate for 30-year FRMs backed by the FHA dropped two basis points to 3.54%, with points decreasing to 0.32 from 0.35 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.
      • The average contract interest rate for 15-year fixed-rate mortgages went to 2.93% from 2.94%, with points increasing to 0.36 from 0.32 (including the origination fee) for 80% LTV loans. The effective rate was unchanged from last week.
      • The average contract interest rate for 5/1 ARMs fell six basis points to 2.90%, with points decreasing to 0.24 from 0.30 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.

      The survey covers over 75% of all U.S. retail residential mortgage applications.

      For the third time in as many weeks, applications for mortgages were on the decline.The Mortgage Bankers Association reports applications were down 3.5...

      Looking for work? Hit the road

      More companies seeking out-of-towners to fill positions

      There 's been a slight uptick in the percentage of job seekers moving for new employment in the first half of the year.

      Outplacement consultancy Challenger, Gray & Christmas reports that in the first two quarters of 2016, an average of 11.3% of job seekers have relocated for new positions. The relocation rate reached 12% in the second quarter -- the highest percentage since the final three months of 2014, when 15% of job seekers found work in new towns.

      “The number of metropolitan areas experiencing labor shortages is growing,” said John A. Challenger, CEO of Challenger, Gray & Christmas. “As it does, employers in these areas will have to seek candidates from beyond the borders of the local talent pool. Job seekers who are willing to pull up stakes and relocate for new opportunities are finding welcoming arms.”

      The latest data from the Bureau of Labor Statistics show 108 metropolitan areas with unemployment rates below 4.0%, including such major cities as San Francisco, Dallas, Denver, Boston, and Cleveland.

      “When the unemployment rate gets in the 3% to 4% range, it becomes extremely difficult to find any available workers, let alone ones with the particular experience and skill set required for unfilled job openings. So, employers have to cast a wider net,” said Challenger.

      Making it worthwhile

      Simply seeking candidates from other cities and towns is not enough. Most people don't want to go through the hassle of relocating. Companies, according to Challenger, will have to offer a bigger carrot to entice candidates.

      A keyword search on Indeed.com reveals that there are currently more than 25,600 job postings on the site indicating “paid relocation” incentives.

      The 2016 Atlas Van Lines Corporate Relocation Survey found that 89% of employers offer some type of relocation reimbursement to new hires. More than one-third (36%) of respondents indicated that they provide full reimbursement for moving expenses, while another 38% offer partial reimbursement that varies based on factors such as salary and position.

      “Even with incentives, relocation is rarely the most desirable option for job seekers,” said Challenger. “There is a lot of risk involved and costs can often exceed what the new employer is willing to pay. This is why we typically never see relocation rates top 20%, even when business and economic conditions are at their best.”

      Getting help

      If there are professional associations related to your occupation or industry, Challenger advises joining the local chapter in your new area. Charitable and service organizations are another way to expand your social and professional network.

      Do not overlook your new neighbors, either. “Making new friends and getting to know people in your new area will not only make the transition easier,” Challenger noted, adding that “these are the people who will help you if your new employment situation does not work out.”

      There 's been a slight uptick in the percentage of job seekers moving for new employment in the first half of the year.Outplacement consultancy Challen...

      Hampton Creek recalls baking mixes containing Native Forest Coconut Milk Powder

      The product may be contaminated with Salmonella

      Hampton Creek is recalling baking mixes that contain the Native Forest Coconut Milk Powder.

      The product may be contaminated with Salmonella.

      There have been no reports of any health issues.

      The following products, sold nationwide, are being recalled:

      White Cake Mix
      UPC Code: 854829006886
      Weight: 20 OZ
      Sell By Date: 5/25/2017
      Packaging Type: Cardboard Box
      Cinnamon Roll Cake Mix
      UPC Code: 854829006442
      Weight: 26.9 OZ
      Sell By Date: 5/28/2017
      Packaging Type: Cardboard Box
      Chocolate Chunk Muffin Mix
      UPC Code: 854829006565
      Weight: 20.8 OZ
      Sell By Date: 6/6/2017
      Packaging Type: Cardboard Box
      Yellow Cake Mix
      UPC Code: 854829006428
      Weight: 20 OZ
      Sell By Date: 6/2/2017, 7/13/2017
      Packaging Type: Cardboard Box
      Blueberry Muffin Mix
      UPC Code: 854829006855
      Weight: 23.3OZ
      Sell By Date: 6/4/2017
      Packaging Type: Cardboard Box
      Devil’s Food Cake Mix
      UPC Code: 854829006435
      Weight: 20 OZ
      Sell by date: 6/7/2017
      Packaging Type: Cardboard Box

      What to do

      Customers who purchased the recalled products should not consume them, but discard it or return it to the retailer for a full refund.

      Consumers with questions may contact the company at (844) 423-6637, Monday – Friday from 9:00 – 6pm (PST) or by email at wecare@hamptoncreek.com.”

      Hampton Creek is recalling baking mixes that contain the Native Forest Coconut Milk Powder. The product may be contaminated with Salmonella. ...

      Excessive drinking increases risk of respiratory infection, study finds

      Findings show that increased drinking correlates with lower levels of nitric oxide in the lungs

      A new study from Loyola Medicine and Loyola University Chicago shows that drinking excessive amounts of alcohol is not only bad for your liver – it can also have a severe impact on your lungs.

      Researchers have found that those who drink alcohol have less nitric oxide in their lungs than those who do not. This is important because nitric oxide helps protect these vital organs from harmful bacteria that often cause infection.

      Dr. Majid Afshar, lead author of the study, confirms the finding, saying that “alcohol appears to disrupt the healthy balance in the lung.” He and his colleagues believe that their findings could be important to those who abuse alcohol and those who are affected by asthma, since altered levels of nitric oxide could create complications with medication.

      Increased risk of infection

      The researchers came to their conclusions after studying over 12,000 adults who participated in the U.S. Centers for Disease Control and Prevention’s National Health and Examination Survey between 2007 and 2012. Those included in the study were asked about their level of alcohol consumption and were given physical examinations that measured levels of nitric oxide in their lungs.

      Out of all the participants, the researchers found that 26.9% could be classified as excessive drinkers, defined as an individual who had more than one drink per day on average for women and two drinks per day for men. After controlling for several variables, the test results showed that these individuals exhaled lower levels of nitric oxide than those who did not drink. This correlation was proven to be pervasive; the more that participants reported drinking, the lower their levels of nitric oxide were.

      These findings indicate that the likelihood of respiratory infections is much higher for those who drink excessively. Asthma patients need to be especially cautious, the researchers say. Measuring nitric oxide levels for these individuals is extremely common in order to see how well certain medications are working. Afshar and his colleagues believe that consuming alcohol may invalidate or obscure those results, which could lead to improper dosage recommendations.

      The full study has been published the journal Chest. 

      A new study from Loyola Medicine and Loyola University Chicago shows that drinking excessive amounts of alcohol is not only bad for your liver – it can als...

      Development of anti-HIV medication could be huge for mothers and infants

      Researchers say the current medication is able to prevent new infections in women

      The effects of HIV are continuing to be felt on a global scale. Health officials say that young women are especially susceptible to the infection, which is bad news for their future offspring; recent statistics show that 45% of HIV-infected women will transmit the virus to their young, usually via breastfeeding. Those numbers become worrying when you consider that 1.5 million women with HIV will become pregnant this year.

      In order to counteract this dangerous epidemic, researchers at the University of North Carolina at Chapel Hill have been hard at work creating a new HIV medication. Its clinical name is 4’-Ethynyl-2-fluoro-2’deoxyadenosine, or EFdA.

      Early pre-clinical trials using animal models have yielded some positive results, and those working on the project believe that EFdA could prevent vaginal and oral transmission of HIV, a potentially huge development for the medical community.

      “We discovered that EFdA can prevent vaginal transmission of HIV, which would prevent new infections in women. In addition, we were also able to show that EFda can prevent oral transmission of HIV which would prevent infants who are born to mothers already living with HIV from acquiring the virus during breastfeeding,” said lead author Dr. Martina Kovarova.

      Potentially huge impact

      Kovarova and her colleagues began testing EFdA on mouse models under two different trials. For both cases, a daily dose of the medication was able to prevent HIV from developing, despite multiple exposures to high doses of the infection.

      The researchers say that these results are very encouraging. The next phase of testing will attempt to find correct doses of EFdA to see if it can be made more effective. In particular, Kovarova says that she and her team will try to find how long the medication can stay effective so that less frequent doses need to be taken.

      The development of EFdA could have a huge global impact, especially in underdeveloped nations without much access to modern medicine.

      “The majority of new HIV infections in women and children occur in developing countries with limited resources. The availability of an anti-HIV drug that is potent enough to be used as a preventative agent in both women and infants has the potential to make a significant impact on the global HIV epidemic,” said senior author Dr. Angela Wahl.

      The full study has been published in the Journal of Antimicrobial Chemotherapy.

      The effects of HIV are continuing to be felt on a global scale. Health officials say that young women are especially susceptible to the infection, which is...

      Southwest Airlines pilots demand ouster of CEO

      The pilots blame CEO Gary Kelly for the July 20 tech meltdown that grounded thousands of flights

      Southwest Airlines pilots are calling for the resignation of CEO Gary Kelly, blaming him for the tech meltdown that left the airline in shambles for days last month. The pilots were joined by the mechanics of the Aircraft Mechanics Fraternal Association.

      “As tenured employees and frontline leaders of this company, we can no longer sit idly by and watch poor decision after poor decision deeply affect our customers and Southwest Airlines," Capt. Jon Weaks, president of the Southwest Airline Pilots Association, said in a prepared statement after the union's board voted 20-0 to approve a no-confidence vote in Kelly.

      Weaks said Kelly and Chief Operating Officer Mike Van de Ven have a "misguided focus on cost control" that has caused "years of operational deficiencies, unprecedented labor strife, and continued culture erosion at the company."

      "We believe that a change is needed for the best interests of Southwest Airlines and the loyal customers we serve," the union said and urged the Southwest board to replace both top executives.

      A lone router

      Kelly maintains that the July 20th outage was caused by the failure of a lone router at the airline's Love Field data center in Dallas. 

      The router, like the thousands of others in the data center, had a backup system in place. But Kelly said the "unique" way the router failed, what he described as a "partial failure," didn't signal the backup that it was needed, allowing a singular disruption to metastasize into a crisis, the Dallas Morning News reported.

      Kelly compared it to a once-in-a-thousand-years flood. "In 45 years, we've never had a challenge like this one," Kelly said.

      But Weaks said that under Kelly's management, "there has been an inability to prioritize the expenditure of record-breaking revenues toward investments in critically outdated IT infrastructure and flight operations" and said those "decisions have directly lead to the operational failure at Midway Airport in January 2014, chaotic crew scheduling during the summers and holidays of 2014-2016, and our most recent 'meltdown' related to technological infrastructure this past month."

      The glitch caused the cancellation of 2,300 flights, stranding hundreds of thousands of consumers and costing Southwest tens of millions of dollars. 

      Southwest Airlines pilots are calling for the resignation of CEO Gary Kelly, blaming him for the tech meltdown that left the airline in shambles for days l...

      Why Wall Street hates the airlines' more consumer-friendly policies

      Giving consumers a break seen as bad for business

      Oil prices have been low for a couple of years now, and among the beneficiaries have been the nation's airlines.

      With lower fuel costs, airlines have added capacity, gotten more competitive on fares, and brought back a few creature comforts. But while consumers might approve of the changes, Wall Street investors certainly don't.

      In the Bizarro World of Wall Street, just about everything that is good for consumers – low gasoline prices, for example – is seen as bad for business. As far as Wall Street is concerned, companies that can extract the highest profit margins from consumers are to be valued. Companies that give consumers a break are to be avoided, since it is assumed they will be less profitable.

      Airline stocks getting pounded

      Currently, investors are punishing airlines. When airlines imposed baggage fees – and fees for just about everything else – and cut capacity, Wall Street cheered. Less competition meant airlines could charge more. Again, bad for consumers but good for business.

      TheStreet.com reports investors are currently punishing Southwest Airlines over its refusal to impose baggage fees; it's the only major airline that doesn't charge for checking a bag. The airline has thus far also refused to trim its capacity, which would allow it to charge more for tickets.

      The airline recently said it expects revenue per available seat mile to go down a bit in the current quarter.

      Lower profits at American

      American Airlines, meanwhile, is also suffering from lower profits. But Fortune Magazine points out many airlines are slashing fares as an offensive move, to keep smaller discount carriers from making inroads during a period of rock bottom fuel costs.

      Still, Wall Street doesn't like it one bit.

      “All told, the Big Four––American, Delta, United Continental, and Southwest—have shed almost $30 billion in market cap since March, a full 25% of their value,” Fortune reports. “That’s big change from just a few years ago when airlines stocks were soaring.”

      The business publication concludes that airlines are destined to return to their more competitive past, with smaller profit margins and lower stock prices. It might not be good for investors, but it might work out just fine for consumers.  

      Oil prices have been low for a couple of years now, and among the beneficiaries have been the nation's airlines.With lower fuel costs, airlines have ad...

      Children with autism may benefit from weighted backpacks at school

      New Nesel Packs feature hugging straps that can keep kids feeling calm and secure

      Weighted blankets may provide nighttime comfort to those with anxiety. Now, weighted backpacks may provide daytime comfort to children with autism.

      Research shows that added weight and pressure on the body can help mitigate the effects of an overstimulated sensory system, and that’s the idea behind Nesel Packs.

      The business venture of a group of students from the University of Minnesota, Nesel Packs are sensory-friendly backpacks that have been designed to help calm children on the autism spectrum while they’re at school.

      In addition to serving as a vehicle for laptops and school supplies, the vest-like backpacks come with fabric-lined straps that are wider at the base. The straps are “really meant to hug you,” co-founder Martha Pietruszewski told KARE11.

      Calming effects

      The hugging effect of the straps could provide a means of receiving deep touch pressure, which has been shown to help calm children with autism.

      After his eye-opening experience working with kids on the autism spectrum, co-founder Jake Portra set out to create a product that could cater to the unique struggles and talents of kids with autism.

      Children and adults with autism are often more sensitive to light, sound, and touch, according to AutismHelp.org.

      "I thought hopefully we can make a product that allows them to forget about those difficulties when they're at school,” Portra said.

      Nesel Packs, which come in a variety of colors, are designed to fit kids between ages six and 12. They can be pre-ordered for $115.

      Other products 

      While Nesel Packs may be the first sensory friendly backpack to hit the market, other products have been designed with the same goal in mind.

      The Snug Vest is an inflatable vest that also provides deep pressure therapy. Other products, like the Chill-Out Chair, don’t have to be worn to impart a sense of calm.

      Taking a load off in the Chill-Out Chair promises a pressurized cocoon-like experience for kids with autism and disabilities.

      Weighted blankets may provide nighttime comfort to those with anxiety. Now, weighted backpacks may provide daytime comfort to children with autism. Res...

      Average new car sold for over $34,000 in July

      Kelley Blue Book says traditional five-year monthly payment now averages $550

      New cars keep going up in price. And if consumers keep paying the price, that probably won't end anytime soon.

      The average transaction price (ATP) in July was $34,264, according to Kelley Blue Book (KBB). That's up 2.5% from July 2015 and a 0.2% rise from June.

      “Low interest rates, longer loan terms and increased leasing are helping consumers afford their monthly payments, which would be upwards of $550 per month on a traditional 60-month term,” said Tim Fleming, analyst for Kelley Blue Book.

      In fact, leasing is a major enabler of ever-higher prices. Edmunds.com just reported there were more auto leases in the first half of 2016 than the first half of any year in history.

      Fiat Chrysler buyers faced biggest increases

      Consumers buying Fiat Chrysler models last month paid the biggest increases. The report shows the average Fiat Chrysler model sold for $35,153, a year-over-year increase of 3.8%.

      General Motors models carried the second-highest price increases, rising to $39,104, an increase of 3.3%. Toyota and Ford both raised prices by 2.2%. Toyota benefited from strong price support for the Tacoma truck, which raised its ATP 12% year-over-year.

      Even Volkswagon, still recovering from the diesel emissions scandal, was able to wring out a price increase, with the ATP rising 1% from last July.

      The KBB numbers show trucks, vans, sports cars, and high-end luxury cars were able to raise prices the most. Van prices were up 7.5%, sports car prices were up 7.3%, truck prices gained 7.1%, and luxury car prices were up 7%.

      Nissan loses ground

      Where might consumers find a bargain? If last month's sales figures are any indication, it might be at a local Nissan dealer.

      Nissan was the only carmaker to report a lower year-over-year ATP, which was down 1%. However, the Infinity rose 4% on a higher mix of SUV sales. Titan XD pickup prices also surged in July, but sales volume wasn't enough to move the needle.

      Though peaking new car sales have been forecast for months now, Fisher says he's not sure how much more prices can rise without greatly impacting sales.

      “As the price gap to late-model used cars increases, more shoppers may turn to the pre-owned market for their next vehicle, which could mark a big departure from the new-car sales growth the industry has seen during the past five years,” he said.

      New cars keep going up in price. And if consumers keep paying the price, that probably won't end anytime soon.The average transaction price (ATP) in Ju...

      Home prices post solid gains in June

      The same month saw rises in both personal income and spending

      Home prices moved higher in June on both an annual and a month-over-month basis.

      The CoreLogic Home Price Index (HPI) shows prices nationwide -- including distressed sales -- rose 5.7% year-over-year and 1.1% compared with May 2016.

      “Mortgage rates dipped in June to their lowest level in more than three years, supporting home purchases,” said CoreLogic Chief Economist Dr. Frank Nothaft. “Local markets with strong economic growth have generally had stronger home-price growth. Among large metropolitan areas, Denver had the lowest unemployment rate and the strongest home-price appreciation.”

      The CoreLogic HPI Forecast projects home prices will increase by 5.3% on a year-over-year basis from June 2016 to June 2017, and on a month-over-month basis by 0.6% from June 2016 to July 2016.

      "Home prices continue to increase across the country, especially in the lower price ranges and in a number of metro areas," said Anand Nallathambi, president and CEO of CoreLogic. "We see prices continuing to increase at a healthy rate over the next year.”

      Personal income and spending

      From the government, word that consumers were earning more and spending it in June.

      The Bureau of Economic Analysis (BEA) reports personal income inched ahead 0.2% or $29.3 billion, with disposable personal income (DPI) -- what you have left after taxes -- up $24.6 billion or 0.2%.

      Personal consumption expenditures (PCE) rose $53.0 billion (0.4%).

      Earning, spending and saving

      June's increase in personal income came mainly from increases in private wages, salaries, and nonfarm proprietors’ income. These were partly offset by declines in personal dividend income and personal interest income.

      The increase in spending primarily reflected increases in outlays for electricity and gas, healthcare services, and other nondurable goods that were partly offset by a drop in spending for new motor vehicles.

      Personal saving was $732.0 billion in June, putting the personal saving rate -- personal saving as a percentage of disposable personal income -- at 5.3%, the same as May.

      The complete report is available on the BEA website.

      Home prices moved higher in June on both an annual and a month-over-month basis.The CoreLogic Home Price Index (HPI...

      McDonald's gets rare praise from Consumers Union

      Consumer organization says chain delivered on antibiotic-free promise ahead of schedule

      It's not often that Consumers Union praises a fast food company, but the policy and advocacy division of Consumer Reports says McDonald's deserves a pat on the back for meeting its pledge to stop selling chicken that had been given medically important antibiotics.

      In fact, the group says the fast food company met its commitment sooner than it had promised.

      In praising McDonald's, Consumers Union called on Yum Brands to take the same step, demanding that meat and poultry suppliers limit or discontinue antibiotics use. It says the Centers for Disease Control and Prevention (CDC) has warned that too much use of antibiotics makes the drugs less effective against bacteria.

      'Reckless overuse'

      “The reckless overuse of these critical medications on healthy livestock is contributing to our antibiotics resistance crisis,” said Jean Halloran, Director of Food Policy Initiatives for Consumers Union.

      She said McDonald’s has proven that it’s possible to eliminate antibiotic use on a large scale without affecting supply.

      “We urge Kentucky Fried Chicken and other fast food restaurants to follow McDonald’s lead and make the same commitment to public health,” she said.

      McDonald’s is several months ahead of schedule. When it announced it would phase out antibiotics in its chicken, it promised to do so by March 2017. Chik-fil-A, which sells more chicken than any fast food chain, says it will stop sales of poultry raised on antibiotics by 2019.

      Animals given 80% of U.S. antibiotics

      Consumers Union says about 80% of all the antibiotics used in the U.S. are not consumed by humans but by animals. The drugs are used to make the animals grow faster, and also to help keep them free of disease. When humans consume the meat, they're getting some of the antibiotics.

      The CDC is leading efforts to reduce the use of antibiotics, both by prescription and in livestock. The health agency says at least two million people a year in the U.S. become infected with bacteria that are resistant to antibiotics. Of those, it says at some 23,000 people die.

      It's not often that Consumers Union praises a fast food company, but the policy and advocacy division of Consumer Reports says McDonald's deserves a pat on...

      How eating healthy fats boosts brain health

      Consuming the right kinds of fats is the key

      Studies have shown that eating too much in one sitting can lead to a habit of overeating. The idea is that eating too much shuts down a hormonal pathway that lets your brain know that you’re full. We recently reported on one study that showed that eating foods high in fat content caused inflammation in the brain that contributed to this problem.

      However, a new study shows that denouncing all fats may not necessarily be right either. Although the researchers admit that overeating is problematic, they say that consumers should include some “good” fats in their diet.

      “These days, great attention is dedicated to the influence of the diet on people’s wellbeing. Although the effects of high fat diet on metabolism have been widely studied, little is known about the effects on the brain,” said professors Marianna Crispino and Maria Pina Mollica from the University of Naples Federico II.

      Unsaturated fats

      The researchers say that much of the negative news about fatty diets revolves around saturated fats. These are the types of fats that you would find in products like butter, lard, and fried foods. The researchers say that foods with unsaturated fats are actually good for you.

      “The difference was very clear and we were amazed to establish the impact of a fatty diet onto the brain. Our results suggest that being more aware about the type of fat consumed with the diet may reduce the risk of obesity and prevent several metabolic diseases,” said Crispino.

      Some foods that have high levels of unsaturated fats include nuts like almonds, walnuts, hazelnuts, macadamia nuts, and flax seeds. Other foods like avocados, peanut butter, salmon, and sardines also have high levels. If all those options don't seem appealing, try cooking with vegetable oils as an alternative.

      The full study has been published in Frontiers in Cellular Neuroscience.

      Studies have shown that eating too much in one sitting can lead to a habit of overeating. The idea is that eating too much shuts down a hormonal pathway th...

      What 'camping' means to a millennial

      Wi-Fi, stoves, and amenities are making camping a more leisurely experience

      The great outdoors holds great appeal to millennials. Of the 1.2 million households that went camping in 2015, nearly half were millennials. But as you might guess, a millennial’s style of camping is somewhat different than a baby boomer’s.

      The quest for adventure paired with the allure of getting back to nature may be what drives millennials to go camping, but it’s amenities that make the experience enjoyable.

      When it comes to drawing the interest of millennials, campgrounds that boast stoves, ready-pitched tents, and Wi-Fi may have an edge over grounds that feature mother nature in her rawest form.

      Staying connected

      Camping may offer a reprieve from technology, but millennials would prefer not to ditch the devices altogether. There are, after all, photos to be taken and shared.

      "We want that photo. For me, I want it for the memories, but of course, I think you could generally say that we want to post it and share it with our friends on Facebook and Instagram and Snapchat," travel blogger Trevor Morrow told CBS News.

      To those who insist that technology-laden camping isn’t “real” camping, Morrow counters by saying that everyone should be allowed to camp in a way that feels comfortable to them.

      “I say camping can be whatever you want it to be. As long as you’re getting nature, it’s a start.”

      Casual camping

      Millennials’ quest for a comfortable camping experience has outdoor apparel manufacturers busy creating cool, user-friendly clothing. For brands like The North Face, appealing to millennials means showcasing the softer side of camping.

      Instead of featuring clothing geared toward extreme rock climbers, for instance, advertisements may feature clothing designed to be comfortable during an evening spent chatting around a campfire or watching a sunset on Big Sur beach.

      Camping is undergoing a change, says Morrow -- from “outdoors” to “outside.”

      And for young campers who would prefer to camp in a cozy cabin rather than a tent, there are resources for that too. Sites like Hipcamp enable nature lovers to find a cabin in which to enjoy their next foray into the wilderness.

      The great outdoors holds great appeal to millennials. Of the 1.2 million households that went camping in 2015, nearly half were millennials. But as you mig...

      Blue Bell Creameries faces fine over Listeria outbreak

      $850,000 fine reduced to $175,000 if company avoids future problems

      The Texas Department of State Health Services has completed an agreement with Blue Bell Creameries that levies an $850,000 fine for last year's Listeria outbreak.

      However, the company only has to pay $175,000 immediately. The remainder will only be enforced if the company violates the terms of the agreement. Texas health officials said the fine was called for because Bluebell allowed adulterated product to enter the marketplace and cause illness.

      When Bluebell issued the massive recall in March 2015, it required the massive cleaning of four production plants and the layoffs of a large number of employees. The company ultimately dismissed 37% of its workforce.

      According to the Centers for Disease Control and Prevention (CDC), the contamination of Blue Bell products led to a multistate Listeria outbreak that claimed three lives and put 10 people in the hospital.

      Listeriosis is a life-threatening infection caused by eating contaminated food. People at high risk for listeriosis include pregnant women and their newborns, adults 65 and older, and people with weakened immune systems.

      Terms of the agreement

      Under the agreement with Texas, Blue Bell must notify state health officials if any tests indicate a possibility of Listeria contamination in product, ingredients, food surfaces, machinery, and other equipment in its Brenham, Texas plant.

      The company must also make sure its ice cream is completely free of pathogens before it can be sold to the public. It must also continue to give state health department inspectors complete access to its plants to take samples.

      While the fine imposed against the company might appear small, it is something out of the ordinary. Bill Marler, a lawyer who represents victims of foodborne illness, told the Dallas Morning News that food companies usually don't pay fines.

      "Any fine is very unusual. That is why any amount is significant," he told the newspaper.

      Besides Texas, Blue Bell Creameries has production facilities in Oklahoma and Alabama.

      The Texas Department of State Health Services has completed an agreement with Blue Bell Creameries that levies an $850,000 fine for last year's Listeria ou...