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By Kristin Myers, Editor-in-Chief

What's Happening Today

Home prices slowed their growth as the latest data from CoreLogic shows home prices rose 20.2% in May from a year ago, down from an annual gain of 20.9% in April. This is the 16th straight month that American homebuyers have seen home price increases in the double digits, even as mortgage rates continue to rise. The slowing home price growth comes as housing affordability gets further and further out of reach for many interested buyers, and average mortgage rates sit at over 6% for a 30-year fixed-rate loan.

Stocks are tumbling to kick off a new trading week amid concerns about a potential recession. While many economists, business leaders, and Americans themselves believe a recession is coming either later this year or early next year, Federal Reserve Chair Jerome Powell said last week that although a recession was a "possibility" and paths to a "soft landing" have gotten narrower, he believes that the American economy remains strong and will be able to weather the Fed's campaign of interest rate hikes to address inflation.

Meanwhile, Treasury Secretary Janet Yellen and China's Vice Premier Liu He met to discuss a number of economic issues, including U.S. tariffs on Chinese goods. As soon as this week, the Biden administration could announce lifting some tariffs on China, which have made goods imported from China more expensive for manufacturers and consumers alike. Tariffs were levied against Chinese imports under President Trump, a policy that the current administration has considered easing to help address surging inflation, which recently jumped to a fresh 40-year high. Removing or reducing tariffs against China could bring the cost of some goods down and help rein in inflation, which would be a welcome relief for many American consumers.

- Kristin

Editors' Picks

Shoppers Lose Resilience as They Face Off Inflation (The Balance)

US Recession Chances Surge to 38%, Bloomberg Economics Model Says (Bloomberg)

Americans Tap Pandemic Savings to Cope With Inflation (The Wall Street Journal)

How Much Should I Save for an Emergency? (The Balance)

What You Need To Know About the Federal Open Market Committee Meeting (The Balance)

Biden Could Announce Easing in Some China Tariffs This Week, Say Sources (MarketWatch)

Can I Pay for College With a Savings Account? (The Balance)

Off the Charts

Wondering what bitcoin mining is and why the rewards for mining have declined?

Bitcoin mining is a process that helps verify bitcoin transactions, and create new bitcoin. However, it becomes more difficult by design over time. The reward for mining bitcoin decreases as the amount of unmined bitcoin declines. "Halving," or a 50% reduction in rewards for bitcoin miners, occurs every time another 210,000 blocks of bitcoin are mined. Bitcoin mining rewards are halved approximately every four years.

In 2009, when bitcoin was launched, the reward for successfully mining a bitcoin block was 50 bitcoins. The first halving occurred in 2012, reducing the mining reward to 25 bitcoins. Halving has occurred twice since 2012, with the last instance in May, 2020. The current reward for mining a block of bitcoin is 6.25 BTC, and the next halving is expected in 2024.

Number of the Day

31.5% - That's how much of the average monthly income is spent on new homeownership costs—a figure that's now at its highest level since the housing bubble of 2007.