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San Francisco Fed president Mary Daly: We want to finish the inflation fight

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San Francisco Fed president Mary Daly: We want to finish the inflation fight


Listen and subscribe to Opening Bid on Apple Podcasts, Spotify, or wherever you find your favorite podcasts.

The market is spooked by an inflation-concerned Fed not smashing the pedal down to slash rates and appease bullish investors.

The vibe is not lost on San Francisco Fed president Mary Daly, seen often as a policy dove who’s a voting member on the FOMC this year.

“Well, it was a close call, frankly, and it took a lot of deliberation as it often does with myself and my team, and then also with the FOMC participants. Ultimately, I decided that it was appropriate to reduce [interest rates] 25 basis points — that will be 100 basis points of recalibration. And I see that as right-sizing the policy rate level to the economy,” Daly said on Yahoo Finance’s Opening Bid podcast (video above).

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Added Daly, “So I see the recalibration period now as completed. We now are back to the time we can make our decisions more slowly. Data-dependent, using the data to affect the incoming forecast and, you know, determine how many rate cuts we’ll ultimately do next year. We’ll have to be agile and data-dependent.”

On Wednesday, the Federal Reserve reduced interest rates by 25 basis points to a range of 4.25% to 4.5%. It marked the Fed’s third straight rate cut of 2024, which began with a blast — a 50 basis point reduction on Sept. 18.

Daly voted for the reduction in interest rates. The lone dissenting vote — a rarity under the Jerome Powell-led Federal Reserve — was newly appointed Cleveland Fed president Beth Hammack.

Hammack preferred not to cut interest rates.

“I mean, we might get really positive inflation news and we’ll react to that if we do. But I do think that we want to make sure we finish the job,” said Daly, who noted getting inflation to 2% helps build trust and credibility for the Fed.

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“So we are resolute to get that job done and that will mean restricted policy through the year [in 2025] in all likelihood.”

San Francisco Fed president Mary Daly talks with Yahoo Finance executive editor Brian Sozzi on the outlook for Fed policy on Yahoo Finance’s Opening Bid vodcast. · Yahoo Finance

But what spooked a market that has been bidding up Big Tech stocks such as Apple (AAPL) and Meta (META) with reckless abandon in December was the Fed not committing to aggressive rate cutting in 2025.

The consensus among Fed officials is now for two rate cuts next year, down from the four forecast in September. The outlook for inflation is further clouded by potential moves by the incoming Trump administration, such as possible tariffs on China.

The Dow Jones Industrial Average promptly finished Wednesday’s session down more than 1,100 points. Stocks stabilized Thursday and Friday, with the latter supported by a slower increase than expected on the Personal Consumption Expenditures (PCE) index.

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San Francisco man who sexually assaulted relatives gets 25-year prison sentence

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San Francisco man who sexually assaulted relatives gets 25-year prison sentence



A San Francisco man convicted of sexually assaulting two of his relatives was sentenced to a lengthy prison term, prosecutors announced Tuesday.

The San Francisco District Attorney’s Office said in a press release that a judge sentenced Sergio Alvarado, 60, to a total of 25 years and four months in state prison following his convictions.

A jury found Alvarado guilty of three counts of forcible rape and one count of forcible oral copulation for crimes that happened in 2014. He was also convicted of attempted forcible oral copulation on a minor and assault in a 2019 case involving a different victim.

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Prosecutors said Alvarado sexually assaulted the first victim repeatedly over a period of several months. Several years later, Alvarado assaulted the other victim, a 16-year-old relative, in his car after he offered to drive her to a job interview, the DA’s Office said.

“Family violence occurs within ongoing relationships that are expected to be protective, supportive, and nurturing,” said Assistant District Attorney Sheila Johnson in a prepared statement. “Mr. Alvarado’s exploitation of that trust caused two generations of women profound psychological trauma. Hopefully, seeing him brought to justice restores their sense of humanity and sends the message that violence of this kind will not be tolerated.”  



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Holiday travel at San Francisco airport being affected by winter weather

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Holiday travel at San Francisco airport being affected by winter weather


With rain and wind in the forecast, it may make some people’s holiday travel a little more difficult.

At San Francisco International Airport, more than 400 flights have been delayed. Maggie Nelson’s was delayed coming into the airport. 

“It seemed like everyone was in a panic or a hurry to get anywhere,” said Nelson. “The plane was crowded. There was a lot of turbulence.”

Nelson flew in from Redmond, Oregon, usually a quick flight to SFO, just under two hours, but she ended up being delayed nearly that long.

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“Originally, we were supposed to take off at 2 p.m. and then our flight got delayed to 2:50 p.m., and then it got delayed again,” Nelson explained. “I don’t think we took off until 3:30 p.m. because of high winds or something.”

California is in the middle of an intense storm period. Two systems bringing heavy rain and strong winds, and Nelson could feel all of it.  

“The turbulence was pretty bad,” said Nelson. “There was a point where I got nauseous. I was like ‘Are we there yet? Is this over?’”

While she’s grateful to be on solid ground, Shon Alkaslasi was about to take off or at least try to.

“United sent a text that wind might affect operations,” said Alkaslasi. 

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He arrived early, just in case of holiday traffic, now he’s anticipating he may be delayed. He’s travelling home to Los Angeles, another area in the middle of the storms.

“I would say I’m not the biggest fan of turbulence so I am a little bit nervous about that,” Alkaslaski detailed. “But if they say it’s totally safe to travel, I’m not usually concerned but the feeling of bumps on a plane is just not the most comfortable and I’ll have to deal with it.”

Airport Duty Manager Crystal David said overall things haven’t been too bad, but West Coast flights, like Alkaslasi’s and Nelson’s, are the ones most likely to be impacted.

“SFO is on a ground delay program throughout the night, through midnight and so right now it’s about 127 minutes because of winds,” said David. “Mostly it’s the west coast flights are that are being affected right now with delays of up to 35 minutes for the west coast traffic.”

She said the delays could continue into the morning, when even stronger winds are expected. She recommends travelers check in with their airlines.

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But for Nelson, she’s just glad she made it home.

“I used to live a lot closer so it’s a lot harder to come home now so when I do get to come home, I try to take advantage of that and appreciate it,” said Nelson. 



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Executive chef of new buzzy San Francisco restaurant Bourbon Steak visits ABC7

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Executive chef of new buzzy San Francisco restaurant Bourbon Steak visits ABC7


SAN FRANCISCO (KGO) — ABC7 got in the holiday spirit Monday with the executive chef of San Francisco’s buzziest restaurants that just opened in October — to a lot of fanfare.

We’re talking about Bourbon Steak, inside the Westin St. Francis Hotel.

Legendary celebrity chef Michael Mina’s latest opening brings him back to San Francisco, and everyone came to celebrate: a cable car, Mayor Daniel Lurie, and Warriors superstar Stephen Curry — a partner in this venture who created the bourbon bar Eighth Rule inside the restaurant.

But they’re not just about style. They are first and foremost about steaks.

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Because they are on the menu for so many holiday gatherings, we are delighted that Bourbon Steak executive chef Kevin Schantz joined us on ABC7’s “Midday Live.”

Watch the full interview in the player above.


If you’re on the ABC7 News app, click here to watch live

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