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1. Hotel execs say show must go on despite economic concerns
U.S. hoteliers are preparing for some potentially rocky conditions this year, as evidenced by discussions held during the first day of the Hunter Hotel Investment Conference, HNN reports. Hotel deals pace hasn't picked up, trade wars could raise prices and deter inbound travel demand, interest rates may not drop as fast as hoped and there's the possibility of a recession in the near future.
Even so, they still have businesses to run and guests to serve, executives said, meaning everyone will have to do the best they can to navigate any challenges that pop up.
"You have to redirect people back to the norm," said Bob Webster, vice chairman of CBRE, regarding normalized interest rates. "We were on a 15-year sugar high. On a sugar high two things happen: You’re excited and you're fat. So now we're on a low-carb diet, and we’re going back to where we all started."
2. Illinois legislature considers new 'junk fee' bill
The Illinois state legislature will consider a new bill that would require hotels, restaurants, food delivery apps and live ticket companies to disclose all fees before a customer decides whether to complete the purchase, the Chicago Sun-Times reports. A similar bill stalled in the legislature's previous session, but there's a renewed push on the measure now that airlines have been removed from the bill.
State Sen. Bob Morgan, a sponsor of the Illinois Junk Fee Ban Act, said, "We as consumers make a choice all the time about what we pay for and when we’re going to price shop, but if we are blind to the actual cost of things because they’re hiding the fees, then we’ve got a serious problem."
Keenan Irish, vice president of government relations and member engagement for the Illinois Hotel & Lodging Association, said the hotel industry supports efforts to increase price transparency for guests.
“We appreciate the proponents’ willingness to address our technical concerns, and while we are currently neutral on the legislation, negotiations are ongoing to provide further clarity on a few details,” Irish said.
3. Fed expected to keep interest rates steady
The Federal Reserve's Federal Open Market Committee will announce its decision on interest rates at 2:30 p.m. Wednesday, and the general expectation is the committee will hold rates steady at 4.25% to 4.5%, Forbes reports. The committee will also release its quarterly economic projections, sharing insights into what the central bankers think about economic growth, inflation, unemployment and where interest rates may settle by the end of the year.
The Fed "will have to rethink their projections now that the first tariffs have taken effect and the White House looks set to eventually impose larger tariffs than initially seemed likely,” David Mericle, Goldman’s chief U.S. economist, wrote in a Sunday note to clients, as cited by Forbes.
4. Inflation cools in Eurozone but rises in Canada
Inflation rose 2.3% year over year in February for the Eurozone, coming in below the 2.4% estimate and down from the 2.5% seen in January, the Wall Street Journal reports. The European Central Bank has a target annual inflation rate of 2%, and the slowing inflation comes as the Eurozone economy slows as well. The European Central Bank lowered its projections for gross domestic product several times, most recently to 0.9% in 2025.
In Canada, data shows the consumer-price index increased to 2.6% growth year over year in February, the Wall Street Journal reports. It's the largest increase in eight months and comes after six straight months of inflation coming in or below the Bank of Canada's 2% target.
5. Another major storm hits Plains, Midwest
A strong winter storm is making its way across the U.S. just days after an earlier storm caused major destruction and killed more than 40 people, CNN reports. The storm moving over the Plains and Midwest currently is creating blizzard conditions and potentially spreading existing wildfires with strong winds.
The strong wind is also picking up dust in parts of New Mexico and Texas, lowering air quality and reducing visibility for drivers.
“There is no safe place on a highway when a dust storm hits,” the National Weather Service in El Paso, Texas, said Tuesday.