Gas prices reach fresh record high, why a booster may be more important than ever, and more COVID news | Nation
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Here’s some COVID news for today, May 10:
Gas prices jump to fresh record highs
In another blow to the US economy, prices at the pump soared to fresh record highs.
The national average price for regular gasoline climbed more than four cents on Tuesday to $4.37 a gallon, according to AAA. That takes out the prior record of $4.33 set on March 11.
The gas spike — prices are up 17 cents in the past week alone — will only add to inflationary pressures that have raised recession fears, rocked financial markets and soured Americans’ views on the economy. Get more info on rising gas prices here:
How China’s lockdowns are taking a toll on global companies
International brands are revealing the damage to their bottom lines from China’s “zero Covid” policy, where tens of millions of people remain in lockdown and almost every major business has been disrupted.
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In recent weeks, dozens of mainland Chinese cities, including the financial hub of Shanghai, have been locked down as authorities work to stamp out the coronavirus. For industries ranging from Big Tech to consumer goods, that’s destroying both supply and demand — and giving executives another major headache. Find out more here:
Why Covid-19 vaccine boosters may be more important than ever
With waning immunity and a coronavirus that seems to become more infectious with each new variant, the Biden administration predicts that up to 100 million more people could get Covid-19 in the fall and winter. That estimate makes it crucial that as many people as possible get booster shots of Covid-19 vaccine, experts say. And if you’re eligible, it’s a good time to get a second booster.
Less than half of eligible Americans — only about a third of the total US population — have gotten a first booster dose, according to the US Centers for Disease Control and Prevention. Get more information here:
CDC adds Caribbean getaway to its ‘high’ risk travel category
The US Centers for Disease Control and Prevention has added one destination — a relaxed Caribbean playground — to its “high” category for Covid-19 risk.
The British Virgin Islands moved up to Level 3 on Monday; it previously had been at Level 2.
The islands are known for the famous Virgin Gorda Baths (a bay dotted with giant granite boulders); water sports such as diving and sailing; and a pace that is more casual than some of the Caribbean’s hot spots. Get more CDC travel ratings here:
Peloton struggles to get the wheels turning
Peloton’s uphill ride to get more sales is getting rougher as more people return to gyms and other pre-pandemic exercise routines and embrace cheaper options.
The maker of high-end exercise bikes and treadmills, once highflying in the early days of the pandemic, on Tuesday reported mounting losses and slowing sale. It also offered a bleak sales outlook for the current quarter and said it had signed a commitment to borrow hundreds of millions of dollars, raising questions for some investors about the chances of a turnaround. Read more here:
Read more of today’s COVID headlines:
States with the largest drop in services spending during COVID-19
States With the Largest Drop in Services Spending During COVID-19

Photo Credit: David Tadevosian / Shutterstock
Amid rising inflation, consumers nationwide are now facing increased prices for a wide variety of goods. The COVID-19 pandemic disrupted global supply chains at the same time that many households had more to spend from government stimulus funds, increased savings, and rising incomes. The economy is now seeing the effects, with significantly higher prices for goods like cars and home appliances due to low supply and heightened demand.
One of the factors contributing to inflation in the price of goods is lower spending in services during the pandemic. Service-based industries like transportation, lodging, restaurants, and entertainment venues have seen weakened demand due to consumer concerns about exposure to COVID-19. Dollars that might have gone toward services have increasingly flowed toward durable goods instead. For example, many households sought out substitutes when services were restricted, like home exercise equipment for fitness or consumer electronics for entertainment. Others took rising wages and money saved from forgoing trips, performances, and restaurant meals and used it for big-ticket purchases like cars, furniture, and technology.
Data from the U.S. Bureau of Economic Analysis shows how spending between goods and services has differed during the pandemic. Both categories saw sharp declines in spending in the wake of COVID-19 shutdowns in March and April 2020. But while both categories have since bounced back over time, the growth in spending on durable goods has increased at a much faster rate. Spending on durable goods is now 32.7% higher than it was at the beginning of 2019, while spending on services is up only 7.7% over the same span.
Consumer spending on durable goods has rapidly increased since COVID

The divergence between increased spending on durable goods and decreased spending on services in 2020 was apparent nationwide, but the magnitude of these trends varied by state. States with lower drops in spending on services included Mountain West locations like Idaho, Montana, and Arizona, where COVID outbreaks did not appear until later than many parts of the country and residents may have been more inclined to spend as usual.
In contrast, states with the biggest drop in services spending included remote states like Alaska and Hawaii, where residents spend large amounts to travel in normal years were unable to during COVID. Other states like New York, Massachusetts, and California also saw large drops due to significant COVID outbreaks and stringent public health restrictions affecting businesses like restaurants and entertainment venues.
Services and durable goods spending by state

The data used in this analysis is from the U.S. Bureau of Economic Analysis. To determine the states with the largest drop in services spending during COVID-19, researchers at Smartest Dollar calculated the percentage change in household consumption expenditures for services from 2019 to 2020. In the event of a tie, the state with the greater total decrease in services spending was ranked higher. Services spending includes health care services, recreation services, food services, accommodations, financial services, and insurance, among others. Durable goods spending includes things like appliances, home furnishings, outdoor equipment, electronics, sporting goods, and vehicles.
Here are the states with the largest drop in services spending during COVID.
15. Georgia

Photo Credit: Luciano Mortula – LGM / Shutterstock
- Percentage change in services spending (2019-2020): -6.8%
- Total change in services spending (2019-2020): -$18,509,200,000
- Percent change in durable goods spending (2019-2020): +9.6%
- Total change in durable goods spending (2019-2020): +$4,396,000,000
- Per capita services spending (2020): $23,701
- Per capita durable goods spending (2020): $4,687
14. Washington

Photo Credit: f11photo / Shutterstock
- Percentage change in services spending (2019-2020): -7.1%
- Total change in services spending (2019-2020): -$17,388,600,000
- Percent change in durable goods spending (2019-2020): +8.6%
- Total change in durable goods spending (2019-2020): +$3,358,900,000
- Per capita services spending (2020): $29,678
- Per capita durable goods spending (2020): $5,504
13. Rhode Island

Photo Credit: Richard Cavalleri / Shutterstock
- Percentage change in services spending (2019-2020): -7.5%
- Total change in services spending (2019-2020): -$2,361,000,000
- Percent change in durable goods spending (2019-2020): +4.5%
- Total change in durable goods spending (2019-2020): +$191,200,000
- Per capita services spending (2020): $27,388
- Per capita durable goods spending (2020): $4,240
12. Virginia

Photo Credit: Sean Pavone / Shutterstock
- Percentage change in services spending (2019-2020): -7.6%
- Total change in services spending (2019-2020): -$19,051,300,000
- Percent change in durable goods spending (2019-2020): +8.0%
- Total change in durable goods spending (2019-2020): +$3,233,600,000
- Per capita services spending (2020): $26,939
- Per capita durable goods spending (2020): $5,097
11. North Dakota

Photo Credit: Jacob Boomsma / Shutterstock
- Percentage change in services spending (2019-2020): -7.8%
- Total change in services spending (2019-2020): -$1,774,300,000
- Percent change in durable goods spending (2019-2020): +8.9%
- Total change in durable goods spending (2019-2020): +$359,600,000
- Per capita services spending (2020): $27,278
- Per capita durable goods spending (2020): $5,732
10. Pennsylvania

Photo Credit: Gang Liu / Shutterstock
- Percentage change in services spending (2019-2020): -7.8%
- Total change in services spending (2019-2020): -$30,522,900,000
- Percent change in durable goods spending (2019-2020): +4.7%
- Total change in durable goods spending (2019-2020): +$2,830,800,000
- Per capita services spending (2020): $28,142
- Per capita durable goods spending (2020): $4,887
9. Vermont

Photo Credit: Sean Pavone / Shutterstock
- Percentage change in services spending (2019-2020): -8.0%
- Total change in services spending (2019-2020): -$1,565,400,000
- Percent change in durable goods spending (2019-2020): +3.0%
- Total change in durable goods spending (2019-2020): +$90,000,000
- Per capita services spending (2020): $28,897
- Per capita durable goods spending (2020): $4,929
8. Minnesota

Photo Credit: Checubus / Shutterstock
- Percentage change in services spending (2019-2020): -8.3%
- Total change in services spending (2019-2020): -$14,401,900,000
- Percent change in durable goods spending (2019-2020): +5.4%
- Total change in durable goods spending (2019-2020): +$1,669,100,000
- Per capita services spending (2020): $28,245
- Per capita durable goods spending (2020): $5,772
7. California

Photo Credit: Eric Urquhart / Shutterstock
- Percentage change in services spending (2019-2020): -8.3%
- Total change in services spending (2019-2020): -$109,783,100,000
- Percent change in durable goods spending (2019-2020): +4.5%
- Total change in durable goods spending (2019-2020): +$8,007,500,000
- Per capita services spending (2020): $30,960
- Per capita durable goods spending (2020): $4,749
6. Maryland

Photo Credit: f11photo / Shutterstock
- Percentage change in services spending (2019-2020): -8.4%
- Total change in services spending (2019-2020): -$15,999,900,000
- Percent change in durable goods spending (2019-2020): +3.8%
- Total change in durable goods spending (2019-2020): +$1,041,200,000
- Per capita services spending (2020): $28,721
- Per capita durable goods spending (2020): $4,650
5. Massachusetts

Photo Credit: ESB Professional / Shutterstock
- Percentage change in services spending (2019-2020): -8.6%
- Total change in services spending (2019-2020): -$22,081,300,000
- Percent change in durable goods spending (2019-2020): +2.9%
- Total change in durable goods spending (2019-2020): +$1,022,300,000
- Per capita services spending (2020): $34,024
- Per capita durable goods spending (2020): $5,212
4. Illinois

Photo Credit: JoelC024 / Shutterstock
- Percentage change in services spending (2019-2020): -8.6%
- Total change in services spending (2019-2020): -$32,527,800,000
- Percent change in durable goods spending (2019-2020): +6.7%
- Total change in durable goods spending (2019-2020): +$3,870,300,000
- Per capita services spending (2020): $27,316
- Per capita durable goods spending (2020): $4,927
3. New York

Photo Credit: Lukas Uher / Shutterstock
- Percentage change in services spending (2019-2020): -9.3%
- Total change in services spending (2019-2020): -$64,227,600,000
- Percent change in durable goods spending (2019-2020): +1.9%
- Total change in durable goods spending (2019-2020): +$1,561,700,000
- Per capita services spending (2020): $32,338
- Per capita durable goods spending (2020): $4,354
2. Hawaii

Photo Credit: Izabela23 / Shutterstock
- Percentage change in services spending (2019-2020): -9.6%
- Total change in services spending (2019-2020): -$4,294,100,000
- Percent change in durable goods spending (2019-2020): +4.5%
- Total change in durable goods spending (2019-2020): +$238,400,000
- Per capita services spending (2020): $28,612
- Per capita durable goods spending (2020): $3,959
1. Alaska

Photo Credit: Jacob Boomsma / Shutterstock
- Percentage change in services spending (2019-2020): -10.1%
- Total change in services spending (2019-2020): -$2,579,000,000
- Percent change in durable goods spending (2019-2020): +9.1%
- Total change in durable goods spending (2019-2020): +$357,700,000
- Per capita services spending (2020): $31,450
- Per capita durable goods spending (2020): $5,879
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