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Gun maker files for bankruptcy following K.C. lawsuit

KANSAS CITY, Mo. | A Nevada-based gun manufacturer filed for bankruptcy after Kansas City sued the company over weapons trafficking last month.

In the Chapter 7 bankruptcy petition filed Feb. 10, Jimenez Arms listed assets of less than $50,000 and outstanding liabilities that surpass $1 million, KCUR-FM reported.

This could pose a challenge for the city should it successfully recover compensation in its lawsuit.

The city sued Jimenez in January, alleging that the gun trafficking created a public nuisance in Kansas City, which has one of America’s highest homicide rates.

Mayor Quinton Lucas said it’s the first such lawsuit filed against the gun industry in more than 10 years.

Consumer prices up 0.1% in January

WASHINGTON | U.S. consumer prices rose modestly last month, weighed down by falling gasoline prices.

The Labor Department said Thursday that its consumer price index blipped up 0.1% in January after rising 0.2% in December. Over the past year, consumer inflation is up 2.5%, biggest gain since October 2018.

Excluding volatile food and energy prices, so-called core consumer inflation rose 0.2% in January and 2.3% over the past year. Gasoline prices dropped 1.6% in January after surging 3.1% in December. They are up 12.8% over the past year.

Workers’ inflation-adjusted hourly earnings rose 0.1% in January after falling 0.1% in December. Their real hourly earnings are up 0.6% over the past year. But because they worked fewer hours, their weekly inflation-adjusted earnings showed “essentially no change’’ over the past year, the Labor Department said.

Average 30-year mortgage rate rises to 3.47%

WASHINGTON | U.S. long-term mortgage rates were flat to slightly higher this week after three straight weeks of declines, as the historically low levels continue as an incentive for potential homebuyers.

Mortgage buyer Freddie Mac said Thursday the average rate for the 30-year fixed-rate mortgage edged up to 3.47% from 3.45% last week. The key rate stood at 4.37% a year ago.

The average rate on a 15-year mortgage was unchanged from last week at 2.97%.

— From AP reports