Washington solved a 3.69-cent problem in the middle of a $100+ oil shock. And soon the Fed will likely charge you more for every dollar. On Monday the House voted, without a single objection, to permanently stop making the penny.
Eastern, the Federal Reserve is expected to raise interest rates for the first time since July 2023. First the government let its smallest unit of money become worthless. Then it held a vote to congratulate itself on noticing.
Now the central bank will charge you more for every dollar that survived. Don’t Short Yourself offers weekly money tips to help you earn it, stack it and grow it. I would like to receive updates and special offers from Dow Jones and affiliates.
I can unsubscribe at any time. The penny did not die of natural causes. It was inflated to death.
Every coin America has ever abolished, from the half-cent in 1857 forward, died the same way. The price level rose until the coin could no longer buy anything, at which point minting it became a charitable donation to the zinc industry. Inflation is the serial killer here.
Mint just signed the paperwork. Get the facts straight, because half of Monday’s coverage had them backward. The House passed H.R. 10167, the Common Cents Act, which orders the Treasury to cease penny production for general circulation and keeps every existing penny as legal tender.
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