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Yellen will tour a Livent Corp (LTHM.N) facility in Bessemer City, North Carolina, that processes lithium hydroxide, a key ingredient in electric vehicle batteries. The plant near Charlotte is doubling its capacity due to increased demand for electric vehicles spurred by consumer tax credits of up $7,500 approved in the 2022 Inflation Reduction Act. These include $142 billion in EVs and batteries and $71 billion in clean energy manufacturing, and she attributed much of the investment to tax credits in the inflation reduction act. The Biden administration in coming days is expected to release new guidance on the levels of Chinese content that EV batteries can have and still qualify for IRA tax credits. It will take time for this to fade and for people to feel the benefits of higher wages, he added.
Persons: Janet Yellen, Joe Biden, Yellen, Biden, Donald Trump, Larry Sabato, we're, Sabato, David Lawder, Howard Schneider, Chizu Organizations: . Treasury, U.S, Livent Corp, Midwest, EV, University of Virginia's Center, Politics, Thomson Locations: North Carolina, Bessemer City , North Carolina, Charlotte, EVs, Argentina, Canada, U.S
BESSEMER CITY, North Carolina, Nov 30 (Reuters) - U.S. Treasury Secretary Janet Yellen said on Thursday she believes the U.S. economy does not need further drastic monetary policy tightening to stamp out inflationary expectations and was on track to achieve a "soft landing" with strong employment. "We don't need that now," Yellen said. "I believe the signs are very good that we will achieve this soft landing with unemployment stabilizing more or less we're where it is in this general vicinity, and growth slowing to a sustainable level. So my hope is that Americans gradually will see that things are getting better," Yellen said. Reporting by Howard Schneider, writing by David Lawder, editing by Chris ReeseOur Standards: The Thomson Reuters Trust Principles.
Persons: Janet Yellen, Yellen, Howard Schneider, David Lawder, Chris Reese Organizations: BESSEMER CITY, . Treasury, Federal, Thomson Locations: North Carolina, U.S
REUTERS/Dado Ruvic/Illustration/File Photo Acquire Licensing RightsNov 29 (Reuters) - Microsoft will take a non-voting, observer position on OpenAI's board, CEO Sam Altman said in his first official missive after taking back the reins of the company on Wednesday. The observer position means Microsoft's representative can attend OpenAI's board meetings and access confidential information, but it does not have voting rights on matters including electing or choosing directors. The new OpenAI board is on an active search for six new members with expertise in fields from technology to safety and policy. OpenAI's chief scientist Ilya Sutskever will no longer be part of the board, Altman said. Apart from Altman, Brockman, Sutskever, D'Angelo, OpenAI's previous board consisted of entrepreneur Tasha McCauley, Helen Toner, director of strategy at Georgetown's Center for Security and Emerging Technology.
Persons: Dado Ruvic, Sam Altman, Satya Nadella, Altman, OpenAI, Bret Taylor, Larry Summers, Adam D'Angelo, Mira Murati, Greg Brockman, Greg, Ilya Sutskever, Sutskever, Ilya, Brockman, D'Angelo, OpenAI's, Tasha McCauley, Helen Toner, Akanksha, Krystal Hu, Sayantani Ghosh, Stephen Coates Organizations: REUTERS, Microsoft, U.S . Treasury, Reuters, Georgetown's Center for Security, Emerging Technology, Thomson Locations: OpenAI, Bengaluru, New York, San Francisco
November's trading is in its last hours, with stocks—and a range of other asset classes—on pace for strong monthly gains. Stocks, international currencies, and bitcoin have all risen, with traders betting the Fed is done lifting interest rates as inflation ebbs. The Dow is on track for its highest close of 2023, while the Nasdaq Composite is on track for its best month since January. The yield on the 10-year U.S. Treasury note ticked up, rising to around 4.343%, after three days of declines. Overseas, the Stoxx Europe 600 finished its best month since January.
Persons: Dow, Tesla, Dow industrials Organizations: Treasury, Nasdaq, Dow, Benchmark U.S, Overseas
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailU.S. Treasury lobbies for more power to chase crypto crime outside America: CNBC Crypto WorldCNBC Crypto World features the latest news and daily trading updates from the digital currency markets and provides viewers with a look at what's ahead with high-profile interviews, explainers, and unique stories from the ever-changing crypto industry. On today's show, Kraken's chief legal officer, Marco Santori, discusses the SEC's latest enforcement action against the crypto exchange.
Persons: explainers, Marco Santori Organizations: U.S, Treasury, CNBC Crypto, CNBC Locations: America
Those hopes were reinforced by other data on Thursday showing the labor market gradually easing. Though wages remain elevated, the pace of increase has slowed from earlier in the year as the labor market eases. Personal consumptionINFLATION COOLINGInflation as measured by the personal consumption expenditures (PCE) price index was unchanged in October after rising 0.4% in September. Stripping out housing, the core PCE price index edged up 0.1% after gaining 0.3% in September. Still, the labor market is cooling in tandem with overall demand in the economy.
Persons: Sarah Silbiger, Jerome, Powell, Conrad DeQuadros, Nancy Vanden Houten, Lucia Mutikani, Chizu Nomiyama, Andrea Ricci Organizations: El Progreso Market, Washington , D.C, REUTERS, Brean, Commerce Department's, United Auto Workers, Treasury, Fed, Labor Department, Oxford Economics, Thomson Locations: Mount Pleasant, Washington ,, New York, outlays, U.S
Fresh data shows price pressures are easing and the labor market is gradually cooling, evidence that the slowdown the Fed has tried to engineer with its rate hikes to date is underway. Still, the unemployment rate at last read was 3.9%, only a few tenths of a percentage point above where it was when the Fed first began raising rates in March 2022. UNCERTAIN PATHTraders have been betting heavily that the Fed will keep its overnight benchmark interest rate steady in the 5.25%-5.50% range for the next several months. "I'm not losing too much sleep" over the market's view "because there's a lot of uncertainty about the future path of policy," Williams said. "I'm not thinking about rate cuts at all right now," Daly said.
Persons: John Williams, Williams, Janet Yellen, I'm, Mary Daly, Daly, Jerome Powell, Christopher Waller, Oscar Munoz, Dan Burns, Michael S, Howard Schneider, David Lawder, Chizu Nomiyama, Paul Simao, Andrea Ricci, Will Dunham Organizations: Federal Reserve, New York Fed Bank, Fed, U.S, Treasury, PATH Traders, San Francisco Fed, Spelman College, Derby, Thomson Locations: U.S, New, Atlanta
Nov 30 (Reuters) - The Biden administration has forced a Saudi Aramco venture capital firm to sell its shares in a Silicon Valley AI chip startup backed by OpenAI co-founder Sam Altman, Bloomberg News reported on Thursday. Altman-backed Rain Neuromorphics, a startup designing chips that mimic the way the brain works and aims to serve companies using artificial intelligence (AI) algorithms, raised $25 million in 2022. The agency, the primary U.S. watchdog for deals with national security implications, instructed the Saudi fund to unwind that deal sometime over the past year, the report said. Altman and the U.S. Treasury, which oversees the Committee on Foreign Investment in the United States (CFIUS) process, did not immediately respond to a Reuters request for comment. The US has taken action that could block AI development in the Middle East.
Persons: Biden, OpenAI, Sam Altman, Altman, Aramco's, Harshita Mary Varghese, Chris Sanders, Arun Koyyur, Sherry Jacob, Phillips, Deepa Babington Organizations: Bloomberg, Foreign Investment, Saudi, U.S . Treasury, Department of Treasury, US, Nvidia, Devices, Thomson Locations: Saudi Aramco, United States, U.S
Rates futures markets are showing cuts being priced as early as May 2024, according to LSEG data. The prospects for rate cuts received a boost on Tuesday after Fed Governor Christopher Waller, deemed a hawk, hinted at lower interest rates in the months ahead if inflation continued to ease. Deutsche Bank economists on Monday projected 175 basis points in Fed rate cuts in 2024, but said that those cuts would come with a mild recession in the first half of next year. “Absent rapid Fed easing, we expect a more challenging macro backdrop for stocks next year,” they wrote in a Wednesday report. Others said investors may be overestimating how quickly the Fed might react to signs of slowing inflation.
Persons: Carlo Allegri, Jack Ablin, ” Ablin, Christopher Waller, , Jake Schurmeier, Schurmeier, Thomas Barkin, Charlie McElligott, Michael Green, David Randall, Lewis Krauskopf, Saqib Iqbal Ahmed, Ira Iosebashvili, Andrea Ricci Organizations: REUTERS, Federal Reserve, Treasury, Cresset, Gross, Harbor, Reuters, Richmond Fed, Nomura Securities, Deutsche Bank, JPMorgan, Management, Thomson Locations: Manhattan, New York City , New York, U.S, stoke, Carolina, New York
The yield on the 10-year Treasury was 4 basis points lower at 4.296%. The 2-year Treasury yield was last down by more than 3 basis points at 4.703%. U.S. Treasury yields fell on Wednesday as investors considered the outlook for interest rates and awaited fresh data that could provide hints about the state of the economy. Concerns about the state of the economy and whether higher rates will lead to a recession have also continued. Data published Tuesday suggests that consumers still expect economic contraction, however their overall confidence in the economic outlook rose in November.
Persons: Christopher Waller, Waller Organizations: Treasury, U.S, Investors, Federal Reserve
REUTERS/Kacper Pempel/Illustration/File Photo Acquire Licensing RightsWASHINGTON, Nov 29 (Reuters) - A cyber extortion gang suspected of being an offshoot of the notorious Russian Conti group of hackers has raked in more than $100 million since it emerged last year, researchers said in a report published on Wednesday. An attempt to reach Black Basta via its darkweb site was not immediately successful. Elliptic cofounder Tom Robinson said the massive haul made Black Basta "one of the most profitable ransomware strains of all time." "Conti was perhaps the most successful ransomware gang we've seen," Robinson said. The latest findings suggest "some of the individuals responsible are replicating its success with the Black Basta ransomware."
Persons: Kacper, Russian Conti, Tom Robinson, Robinson, Conti, Black Basta, we've, Basta, Raphael Satter, James Pearson, Gerry Doyle Organizations: REUTERS, Rights, Insurance, U.S . Treasury, Thomson Locations: Russian, bitcoin, Black, Russia, Ukraine, London
Investors betting on a soft landing for the U.S. economy received another morsel of good news on Wednesday. Fresh data showed that the U.S. economy grew at a 5.2% annual rate , the fastest quarterly growth rate since late 2021, when the country was listing Covid-19 restrictions. Hopes that the U.S. economy can avoid a recession--and that the Federal Reserve will slash interest rates next year --have been rippling through global markets. Stocks are rising in early trading, continuing a weekslong winning streak. Now solidly below 13, the VIX is trading near its lowest levels of this year.
Persons: Charlie Munger, Dow, , Salesforce Organizations: Federal, Berkshire Hathaway, Dow industrials, Nasdaq, Gold, Futures Locations: U.S
The growth pace, which was the quickest in nearly two years, however, likely exaggerated the health of the economy last quarter. Economists polled by Reuters had expected GDP growth would be revised up to a 5.0% rate. Inventory investment added 1.40 percentage points to GDP growth, instead of the 1.32 percentage points estimated last month. Higher wages contributed to the economy growing at a 1.5% rate last quarter, the fastest in a year, when measured from the income side. That suggested trade could be a drag on GDP growth this quarter after being a neutral factor in the April-June period.
Persons: Elizabeth Frantz, Christopher Rupkey, There's, Conrad DeQuadros, Jeffrey Roach, Lucia Mutikani, Chizu Nomiyama, Paul Simao, Andrea Ricci Organizations: REUTERS, Commerce Department, Gross, Commerce Department's, Analysis, Reuters, Federal, United Auto Workers, Treasury, Brean, BEA, Fed, LPL Financial, Thomson Locations: Arlington , Virginia, U.S, WASHINGTON, New York, Charlotte , North Carolina
The quickest growth pace in nearly two years reported by the Commerce Department on Wednesday, however, likely exaggerated the health of the economy last quarter. Economists polled by Reuters had expected GDP growth would be revised up to a 5.0% rate. The upward revision to growth last quarter reflected upgrades to business investment on structures, mostly warehouses and healthcare facilities. Inventory investment added 1.40 percentage points to GDP growth. Profits rose at a 0.8% rate in the second quarter.
Persons: Elizabeth Frantz, Christopher Rupkey, There's, Gregory Daco, Jeffrey Roach, Lucia Mutikani, Chizu Nomiyama, Andrea Ricci Organizations: REUTERS, WASHINGTON, Commerce Department, Gross, Commerce Department's, Reuters, Federal, United Auto Workers, Treasury, Federal Reserve, Fed, LPL Financial, Thomson Locations: Arlington , Virginia, U.S, New York, EY, Charlotte , North Carolina
Stock Market Today: What's Next for Berkshire Hathaway
  + stars: | 2023-11-29 | by ( ) www.wsj.com   time to read: +1 min
The yield on the benchmark 10-year U.S. Treasury note fell below 4.3% Wednesday, a significant level when considering where it started the month—hovering above 4.8%. This comes a day after a formerly hawkish Fed official endorsed an extended pause on rate moves. Investors are also digesting Tuesday’s death of Berkshire Hathaway titan Charlie Munger . Contracts tied to the S&P 500, Dow industrials and Nasdaq-100 each ticked up modestly. The benchmark S&P 500 is on pace to end November with its best month since July 2022.
Persons: Berkshire Hathaway, Charlie Munger, Dow, Gold, Hang Seng, Organizations: Treasury, Fed, Dow industrials, Nasdaq, Futures, Hormel Foods Locations: Europe, Berkshire, Asia, Hong
CNBC Daily Open: AI schadenfreude
  + stars: | 2023-11-29 | by ( Clement Tan | ) www.cnbc.com   time to read: +3 min
This report is from today's CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. U.S. Treasury yields dipped on Tuesday, with the yield on the 10-year note last down nearly 6 basis points at 4.33%. Amazon's AI pushAmazon's AWS cloud unit has announced new chips for customers to build and run artificial intelligence applications on, as well as plans to offer access to Nvidia's latest chips. However, the favorable backdrop for Wall Street may have fueled unsustainable gains for a slate of stocks.
Persons: Munger, Charlie Munger, Warren Buffett's, Munger's, Berkshire Hathaway, Buffett, Bob Iger, Iger Organizations: CNBC, Federal Reserve, Treasury, Dow Jones, Nasdaq, Berkshire Hathaway, Berkshire, Disney, ESPN, Microsoft, Federal, CNBC Pro Locations: Frankfurt, Germany, U.S, California
Yields and prices have an inverted relationship, and one basis point equals 0.01%. The 2-year Treasury yield was up by about 3 basis points at 4.885%. The 10-year Treasury yield was 2 basis points higher at 4.4%. U.S. Treasury yields were slightly higher on Tuesday, as investors awaited the release of economic data that could provide hints about the economic outlook. Recent data has suggested that higher rates are having the desired effect and inflation is easing, although it remains above the Fed's 2% target range.
Organizations: U.S, Treasury, Federal Reserve, Fed
Morning Bid: Treasuries gobbled up, oil braces for OPEC
  + stars: | 2023-11-28 | by ( ) www.reuters.com   time to read: +5 min
Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., November 17, 2023. Benchmark Treasury yields fell back more than 10 basis points to 4.37% after a total of $109 billion of 2 and 5-year notes hit the Street on Monday without much disruption. Another weak U.S. housing readout, with sub-forecast new home sales last month, perhaps flattered the post-auction moves. That's likely a mixed blessing for Federal Reserve watchers - the continued buoyancy of consumption but with increasing price discrimination. Fed futures priced about 85bps of rate cuts through next year, starting in June, though many major banks expect even more.
Persons: Brendan McDermid, Mike Dolan, That's, Hong, Louis, Christopher Waller, Michelle Bowman, Michael Barr, Austan Goolsbee, Christine Lagarde, Philip Lane, Dave Ramsden, BoE, Jonathan Haskel, Hewlett Packard, Ed Osmond Organizations: New York Stock Exchange, REUTERS, Treasuries, Treasury, Adobe Digital, Federal Reserve, Louis Fed, U.S . Treasury, Richmond Fed, Dallas Fed, . Treasury, Chicago Fed, European Central Bank, ECB, Bank of England, Citi Trends, Fluence Energy, Reuters, Reuters Graphics Reuters, Thomson Locations: New York City, U.S, Asia, Europe, United States, China, New York, St, Uxin, Canaan, Elbit
NASHVILLE, Tenn. (AP) — A ransomware attack has prompted a health care chain that operates 30 hospitals in six states to divert patients from at least some of its emergency rooms to other hospitals, while putting certain elective procedures on pause, the company announced. All of its hospitals are continuing to provide medical screenings and stabilizing care to patients arriving at emergency rooms, the company said. Ransomware criminals do not usually admit to an attack unless the victim refuses to pay. Education was the sector most likely to be hit, with attack saturation at 80%. While industries across the spectrum have been hit by ransomware, a recent attack on China’s biggest bank that affected U.S. Treasury trading represented a rare attack on a financial institution.
Persons: Sophos, Brett Callow, Emsisoft, , , ” “ We’re, ” Callow, Frank Bajak Organizations: Ardent Health Services, Ardent, , Treasury, Associated Press Locations: Tenn, Nashville , Tennessee, Oklahoma , Texas , New Jersey, New Mexico , Idaho, Kansas, U.S, Soviet
[1/4] A trader works on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., October 27, 2023. In precious metals, gold hit a six-month high with a boost from the softer dollar and expectations for a pause in Fed tightening. There's a growing sense the economy is slowing, that price growth will likely continue to fall, that profit growth will likely fall," said Jack Ablin, chief investment officer at Cresset Capital, in Chicago. The U.S. dollar index slid against most major currencies on Monday and was on track for a monthly decline of more than 3%, which would be its biggest monthly drop in a year. The dollar index was down 0.203%, with the euro up 0.11% to $1.0951.
Persons: Brendan McDermid, Brent, Jack Ablin, Ablin, Christine Lagarde, Jim Barnes, Sterling, Sinéad Carew, Chuck Mikolazczak, Harry Robertson, Wayne Cole, Stephen Coates, Ed Osmond, Chizu Nomiyama, Christina Fincher Organizations: New York Stock Exchange, REUTERS, Treasury, U.S, Federal Reserve, Cresset, Dow Jones, Nasdaq, European Central Bank, Central, Reuters Graphics Oil, Thomson Locations: New York City, U.S, Europe, OPEC, Chicago, Bryn Mawr, Berwyn , Pennsylvania, Israel, New York, London, Sydney
US new home sales fall more than expected in October
  + stars: | 2023-11-27 | by ( ) www.reuters.com   time to read: +2 min
New home sales dropped 5.6% to a seasonally adjusted annual rate of 679,000 units last month, the Commerce Department said on Monday. September's sales pace was revised lower to 719,000 units from the previously reported 759,000 units. Economists polled by Reuters had forecast new home sales, which account for a small share of U.S. home sales, would fall to a rate of 723,000 units. Most homeowners have mortgage rates under 3%, making many reluctant to sell, boosting demand for new construction. Mortgage rates soared as the Federal Reserve aggressively raised interest rates to fight inflation.
Persons: Sarah Silbiger, Freddie Mac, Torsten Slok, Lucia Mutikani, Paul Simao Organizations: REUTERS, Rights, U.S, Commerce Department, Reuters, National Association of Realtors, Federal Reserve, Treasury, Apollo Global Management, Thomson Locations: Washington , U.S, U.S, New York
Morning Bid: Stocks stall after VIX hits pre-COVID low
  + stars: | 2023-11-27 | by ( ) www.reuters.com   time to read: +5 min
Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., November 17, 2023. As U.S. markets return in earnest from the long Thanksgiving weekend, Friday's shortened session threw up a remarkable milestone. Ten-year Treasury yields hovered just under 4.50% first thing, about 10 basis points up from Wednesday's intraday low. Deutsche Bank on Monday said it expected a whopping 175bp of Fed rate cuts in 2024 as a mild recession there hits - leaving the policy rate at just 3.63% at yearend. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Persons: Brendan McDermid, Mike Dolan, Wall, Friday's, Jerome Powell, MSCI's, Christine Lagarde, Bernadette Organizations: New York Stock Exchange, REUTERS, Mike Dolan Global, Treasury, Federal Reserve, Fed, Deutsche Bank, Property, Zhongzhi Enterprise Group, Chaoyang Public Security, Health, Beijing, Exchange, Reuters, Beijing Stock Exchange, Dallas Fed, . Treasury, Central Bank, Sciences, Share, Graphics Reuters, Thomson Locations: New York City, U.S, China, yearend, Asia, European, Gaza, Beijing
The pincer movement of these two policy actions drove the Fed to start losing money in September 2022. The central bank captures the net negative income situation in an accounting measure called a deferred asset, which as of Nov. 22 stood at $120.4 billion. As the Fed sees it, the deferred asset is what must be covered before the central bank can again return excess earnings to the Treasury. The Fed has repeatedly stressed that losing money in no way impacts its ability to operate and conduct monetary policy. The research from the St. Louis Fed estimates it will cover the deferred asset by mid-2027.
Persons: Louis, Joseph Wang, Michael S, Andrea Ricci Organizations: Federal, U.S . Treasury, Federal Reserve Bank of St, Fed, Treasury, Louis Fed, Treasury Department, Reuters, New York Fed, Thomson
The yield on the 10-year Treasury was more than 1 basis point lower at 4.468%. The yield on the 2-year Treasury was last down by 1 basis point at 4.946%. U.S. Treasury yields held steady as markets reopened after Friday's shortened trading day and investors awaited economic data that could affect the Federal Reserve's monetary policy. Investors will be carefully scanning the data for hints about the state of the economy and whether it is cooling as interest rates remain elevated. Fed policymakers have so far given little indication about how long rates will remain elevated for.
Persons: Jerome Powell Organizations: Treasury, U.S, Dallas Fed, Investors
A screen showing the Hang Seng stock index is seen outside Exchange Square, in Hong Kong, China, August 18, 2023. The VIX index of S&P 500 implied volatility - the so-called Wall Street 'fear index' - closed at 12.46 on Friday, its lowest close since January 2020. Three central banks in the Asia & Pacific region hold policy meetings this week. Like Bank Indonesia last week, the central banks of New Zealand, South Korea and Thailand are all expected to leave key rates unchanged. But, broadly speaking, no further tightening from the Fed gives central banks in Asia a bit more breathing room.
Persons: Tyrone Siu, Jamie McGeever, Diane Craft Organizations: REUTERS, People's Bank of, MSCI's, Emerging, Bank Indonesia, U.S . Federal, Fed, PPI, U.S, Treasury, Thomson, Reuters Locations: Exchange, Hong Kong, China, Israel, New Zealand, South Korea, Thailand, Australia, India, Japan, People's Bank of China, MSCI's Asia, Asia
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