The Hill’s 12:30 Report — Positive inflation report buried by Biden’s second classified doc discovery

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–> A midday take on what’s happening in politics and how to have a sense of humor about it.* 

*Ha. Haha. Hahah. Sniff. Haha. Sniff. Ha–breaks down crying hysterically.

NEWS THIS MORNING 

Some good news on inflation!:

^ I love this scene from Zootopia.

Consumer prices eased further in December, signaling optimism that the worst of inflation has passed.

The numbers: The annual inflation rate was 6.5 percent in December, dropping from 7.1 percent in November.  

What this could mean for interest rates: “The report is good news for consumers and Wall Street, which is hoping that falling prices will prompt the Federal Reserve to slow down its interest rate hikes. Economists have warned that the Federal Reserve’s rate hikes could send the U.S. economy into a recession. But Fed officials have insisted that they will continue measures to bring down inflation to their target 2 percent rate.” 

Breakdown of consumer prices by industry, via The Hill’s Karl Evers-Hillstrom 

‘U.S. INFLATION SLOWED FOR SIXTH STRAIGHT MONTH IN DECEMBER’:

From The Wall Street Journal’s Gwynn Guilford 

‘CONSUMER PRICES FELL 0.1% IN DECEMBER, IN LINE WITH EXPECTATIONS FROM ECONOMISTS’:

From CNBC’s Jeff Cox

It’s Thursday! I’m Cate Martel with a quick recap of the morning and what’s coming up. Did someone forward this newsletter to you? Sign up here.

🔓 In the White House 

It seems like everyone could use a refresher on handling classified documents: 

The White House confirmed this morning that additional classified documents were found at President Biden’s Wilmington, Del., residence.  

How this unfolded: After the 10 classified documents from Biden’s time as vice president were found in his old Washington, D.C., office, his lawyers searched his residences in Delaware. More classified documents were found in Wilmington, but none were found in his Rehoboth Beach home. 

What we know about these new documents: https://bit.ly/3vYwEY9 

Biden was asked about these documents this morning: He said they were in a “locked garage” with his Corvette. Watch the clip

🤥 In Congress

CNN’s Dana Bash has the best reference to the George Santos saga — ‘He is the Anna Delvey of politics’:

^ Thanks for tweeting this tidbit, Melanie Zanona.  

Four House Republicans are calling on Rep. George Santos (R-N.Y.) to resign from Congress after a slew of misrepresentations about his résumé. 

The four House Republicans from New York, who are all freshmen!: Reps. Anthony D’Esposito, Nick Langworthy, Nick LaLota and Brandon Williams 

If you haven’t been following the saga: New York Magazine’s Matt Stieb compiled a list of the falsehoods Santos has told. The list — and brief explainer for each

TIDBIT: 

CNN’s Kristin Wilson tweeted, “Rep. George Santos just exited his office and said he’ll resign if ‘142 people’ ask for him to resign. ‘If 142 people ask for me to resign, I’ll resign,’ Santos said while exiting his office. Five have so far. Also why 142?”  

Watch Santos’s response when asked if he would resign: From ABC News 

HOW SPEAKER MCCARTHY IS HANDLING IT:

Politico’s Olivia Beavers tweeted a quote from Speaker Kevin McCarthy (R-Calif.): “He’s got a long way to go to earn trust…The voters of his district have elected him. He is seated…” … “He will be held accountable, exactly as anybody else in his body would.”

🏃‍♂️ 2024 

You know the ole expression — If it looks like a ~candidate~, acts like a candidate, and talks like a candidate … :

Former Vice President Mike Pence has not publicly announced whether he plans to run for president in 2024, but in an exclusive interview with The Hill’s Brett Samuels on Wednesday, he sure sounded like a would-be candidate. 

Pence on his active travel schedule: “Over the coming months, we’re going to continue to travel. We’re going to continue to listen very intently, and we’ll make a decision I’m sure that in the months ahead about what role we might play, whether it be as a national candidate or as a voice for our conservative values.”   

Pence on former President Trump: “At the end of the day, I think it’s a new day. I think it calls for new leadership. And I have every confidence that the American people and Republican voters will have better choices come 2024.”   

How Pence is differentiating himself from his former boss: Pence has so far mostly distinguished himself from Trump surrounding the event of the Jan. 6, 2021 attack at the Capitol, though Samuels reported Pence in the interview Wednesday also put daylight between himself and Trump over the role of abortion in election results. 

More from Pence 

DeSantis has a target on his back:

Florida Gov. Ron DeSantis (R), who also hasn’t formally announced whether he will run for president in 2024 but is already considered the early front-runner, is already receiving attacks from other Republicans. 

From whom recently?: South Dakota Gov. Kristi Noem, New Hampshire Gov. Chris Sununu and former President Trump 

Keep in mind: “It’s not unusual for prospective candidates to test out attack lines against would-be rivals as they search for a lane in a budding presidential race. But Keith Naughton, a veteran Republican strategist, said that it makes clear who they see as their biggest threat.” Cough *DeSantis* cough 

More on the early GOP fights — and what this tells us about the 2024 primary, via The Hill’s Max Greenwood

📚 In other news 

Prince Harry sold a casual 1.4 million copies of his book in one day: 

Prince Harry’s memoir “Spare” sold a record-breaking 1.4 million copies in one day, according to publisher Penguin Random House. Details 

Link to the book on Amazon 

The FAA ground stop yesterday is still causing headaches: 

“A wave of flight delays and cancellations rippled into Thursday after a Federal Aviation Administration (FAA) system outage grounded and canceled flights all over the U.S. on Wednesday.”  

Oof: “Nearly 9,000 flights were delayed on Thursday, according to FlightAware, an online flight tracker. Over 1,200 flights were canceled.” The full story

🦠 The COVID-19 numbers

Cases to date: 101 million 

Death toll: 1,091,184 

Current hospitalizations: 38,373 

Shots administered: 665 million 

Fully vaccinated: 69.1 percent of Americans 

CDC data here.

🐥Notable tweets 

If you want a light distraction from work:

@nathaliejacoby1 tweeted, “What’s 100% a total scam, but we still accept it in society?” A lot of Twitter users have chimed in. Read the responses

⏱On tap

The House and Senate are tk. President Biden is in Washington, D.C. Vice President Harris is in Michigan. 

• 8:30 a.m.: Biden received his daily briefing. 
• 11 a.m.: Biden attended a memorial service for former Defense Secretary Ash Carter at Washington National Cathedral.  
• 11:05 a.m.: Harris left for Ann Arbor, Mich.
• 4:45 p.m.: Harris leaves Michigan and returns to Washington, D.C. 
• Jan. 19: The Hill is hosting a virtual event, “The Future of Cities: Mayors Forum.” Speakers and how to RSVP 

All times Eastern.

📺What to watch

• 10 a.m.: Biden delivered remarks on the economy and inflation. Livestream 
• 1:30 p.m.: White House press secretary Karine Jean-Pierre gives a press briefing. Livestream 
• 2 p.m.: Harris participates in a moderated discussion on climate change with Energy Secretary Jennifer Granholm and Kyle Whyte, Professor at the School for Environment and Sustainability at the University of Michigan. Livestream 

🍩 In lighter news 

Today is National Glazed Doughnut Day.

And to leave you smiling, watch this dog’s informal audition for Mary Poppins in an upcoming theatrical performance.