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The Fed's big rate cut won't stop a recession, economist David Rosenberg says. Rosenberg's bearish call comes one day after the Federal Reserve delivered a jumbo 50 basis point interest rate cut, the Fed's first rate cut since 2020. AdvertisementBut Rosenberg isn't backing down, likening 2024 to 2007, right before the economy slowed and entered a painful recession. He added: "Half the country is in recession right now when we apply data science to the commentary." AdvertisementAs for the soaring stock market, Rosenberg says investors should heed the warning signs coming out of the bond market.
Persons: David Rosenberg, He's, Rosenberg, , Rosenberg's Organizations: Service, Federal Reserve, BLS
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailU.S. consumers remain healthy, but the sector is not our top pick for stocks: Goldman SachsGoldman Sachs' Ben Snider notes that as U.S. interest rates decline, dividend-paying stocks are becoming increasingly attractive for investors looking to hedge in the current market environment.
Persons: Goldman Sachs Goldman Sachs, Ben Snider Organizations: U.S
Tom Lee is not sold on the stock market's rally after the Federal Reserve cut interest rates. The S & P 500 and Dow Jones Industrial Average popped to fresh records Thursday, a day after the Fed lowered rates by a half percentage point. Many investors expected the central bank to lower rates by just a quarter percentage point. Lee was correctly bullish heading into 2024 and has nailed several bold short-term calls on the market. Despite the mixed backdrop, Lee said small-cap and cyclical stocks, such as industrials and financials, stand to benefit from lower rates.
Persons: Tom Lee, Lee, CNBC's Organizations: Federal Reserve, Dow Jones, Fundstrat Global Advisors, U.S
“Given that sleep is highly visible as a risk factor, non-stigmatizing, and highly treatable … we suggest study of sleep as a risk factor and critical intervention target for youth suicide,” said senior study author Dr. Rebecca Bernert, a suicidologist and founder of the Stanford Suicide Prevention Research Laboratory in California, via email. Suicide is a leading cause of death among children ages 10 to 14, a group that also has high rates of sleep disturbance, according to the study. And sleep disturbances “have emerged as an evidence-based risk factor for suicidal behaviors” among adults, regardless of whether a person has depressive symptoms, the authors said. At that time, guardians answered questionnaires about their child’s sleep health, which included factors such as problems with falling or staying asleep, waking up, excessive sleepiness, sleep-disorder breathing, excessive sweating during sleep, and behaviors that occur when someone partially awakes from deep sleep. Supporting your child’s healthAt all ages, your kids need good nighttime habits that support healthy sleep, Willard said.
Persons: ideation, , Rebecca Bernert, Christopher Willard, wasn’t, ” Willard, Rebecca Berry, University’s, Berry wasn’t, Bernert, ” Bernert, Berry, Sleep, Willard, ” Berry, Organizations: Lifeline, CNN, JAMA, Stanford, Prevention Research, Harvard Medical School, University’s Grossman School of Medicine, Stanford University School of Medicine Locations: California, United States, Massachusetts, Boston, New
Indexes rallied Thursday as investors continue to digest Wednesday's jumbo rate cut from the Fed. The Fed cut rates by 50 basis points in its first rate cut in over four years. AdvertisementUS stocks soared on Thursday in a late reaction to the Federal Reserve's jumbo interest rate cut. On Wednesday, the Fed issued its first interest rate cut since 2020, cutting its benchmark rate by 50 basis points. Bank of America analysts said after the meeting that they see 75 basis points of cuts in the fourth quarter and 125 basis points next year.
Persons: , Jerome Powell's, Dow, today's 50bp, Goldman Sachs, Powell, Gen Z's Organizations: Fed, Service, Federal, Nasdaq, Bank of America, Labor Department, SEC
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailAmerican Bankers Association opposes Trump's credit card interest rate cap proposalCNBC's Eamon Javers reports on news from former President Donald Trump.
Persons: Eamon Javers, Donald Trump Organizations: American, Association
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThis was the best news I've heard from the Fed in years, says Wharton's Jeremy SiegelJeremy Siegel, professor emeritus of finance at University of Pennsylvania’s Wharton School of Business and Wisdom Tree chief economist, joins 'Squawk Box' to discuss the Fed's interest rate decision, why he was 'pleasantly surprised' by the 50 basis point cut, rate path outlook, and more.
Persons: I've, Wharton's Jeremy Siegel Jeremy Siegel Organizations: University of Pennsylvania’s Wharton School of Business
They received some relief on Wednesday when the Federal Reserve cut interest rates by 50 basis points, which will lower mortgage costs. Federal Reserve chair Jerome Powell said the "real issue" behind high prices in the U.S. housing market is a lack of supply, which isn't "something the Fed can really fix." With rates dropping, Powell also said that "more people are likely to start moving," which could boost home sales. Powell also said that shelter costs in the CPI tend to lag behind real-time prices, so the recent slowdown in home and rent prices prices isn't fully reflected yet. The best thing the Fed can do for U.S. households is get "inflation broadly down" and reduce the cost of borrowing by "normalizing" interest rates, Powell said.
Persons: Jerome Powell, There's, Powell's, Powell, it's Organizations: Federal Reserve, Federal, National Association of Realtors, Consumer, CNBC Locations: U.S
As former President Donald Trump insists that the rate cut was fueled by partisan politics, Harris has to thread the needle with her rhetoric, experts told Business Insider. Celebrate the rate cut and she risks fueling Trump's narrative; ignore the rate cut and she doesn't get to claim a desperately needed economic victory. "This is a double edged one for Harris," Mark Blyth, a political economist at Brown University, said. Advertisement"On the other hand, Vice President Harris is running to be president of the same economy that the Federal Reserve is managing," Tedeschi told Business Insider. But Blyth remains skeptical that the rate cut will have a lasting impact in an election that's been defined by volatility.
Persons: Kamala Harris, Donald Trump, Harris, doesn't, Mark Blyth, Joe Biden's, Ernie Tedeschi, Mike Johnson, Tedeschi, Powell, Trump, Blyth, people's, they've, Danny Hayes, Thursday Harris, Dow Organizations: Service, Federal Reserve, Brown University, Yale Budget, Republicans, Wall Street Journal, Trump, Blyth, George Washington University, Business
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailFormer Fed Gov. Dan Tarullo: Fed is pivoting to a more future-oriented approach to monetary policyDaniel Tarullo, Harvard Law School professor and former Federal Reserve Governor, joins 'Squawk Box' to discuss the Fed's interest rate decision, what was behind FOMC's decision to cut 50 basis points, takeaways from Fed Chair Powell's commentary, and more.
Persons: Dan Tarullo, Daniel Tarullo Organizations: Former, Harvard Law School, Federal Reserve Locations: takeaways
You can opt-out at any time by visiting our Preferences page or by clicking "unsubscribe" at the bottom of the email. Go to newsletter preferencesSign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read previewMike Molloy is a nutrition coach to elite athletes and regular folk alike. This story is available exclusively to Business Insider subscribers. Having strong social connections is well-established as an important factor in longevity, and if your friends and family also encourage you to live a healthy life, all the better.
Persons: , Mike Molloy, Molloy, Sleep Molloy Organizations: Service, Business, Research
Recalibrate for risk Protecting your portfolio from sharp losses begins with understanding your comfort with risk and ensuring that your asset allocation reflects your long-term goals. "But over that period when markets were down, there were opportunities to harvest losses in stocks, individual names that experienced big pullbacks." And they've been a good buy for clients who are nearing retirement, seeking income and appreciate bonds' ability to offset stocks' volatility. Options for buffering losses Options are also playing a role in investors' portfolios as financial advisors try to mitigate volatility. Call options give investors the right to buy a stock at a specified strike price before a certain date.
Persons: Stocks, Goldman Sachs, Arun Prakash, Prakash's, Rafia Hasan, San, Hasan, they've, Andrew Herzog, We're, Herzog, he's, Gregory Guenther, Morningstar, " Guenther Organizations: Federal, Wealth Management, Fed, Treasury Bond ETF, SEC, GrantVest Financial Locations: San Francisco, Plano , Texas, Matawan , New Jersey
Every weekday the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a.m. Jim Cramer has been debating swapping Morgan Stanley for Goldman Sachs , which he argued is a "cheaper and better" bank option. As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB.
Persons: Jim Cramer, Morgan Stanley, Goldman Sachs, Jim, Lisa Su, Su, Piper Sandler, Abbott, Stocks, Jim Cramer's Organizations: CNBC, Federal Reserve, Nasdaq, Dow, Nvidia, Micro Devices, Micro, AMD's, Abbott Labs, Darden, AMD Locations: Turin
[The stream is slated to start at 1:15 p.m. Please refresh the page if you do not see a player above at that time.] President Joe Biden is speaking at the Economic Club of Washington, D.C., on Thursday, where he is expected to celebrate falling inflation and interest rates. The president's remarks come the day after the Federal Reserve announced its decision to cut interest rates by a surprisingly aggressive 50 basis points. "The declines in inflation and interest rates are welcome, but no one's declaring victory," National Economic Council Director Lael Brainard told reporters ahead of Biden's remarks.
Persons: Joe Biden, Lael Brainard, Biden's Organizations: Economic, of Washington, of Washington , D.C, Federal Reserve Locations: of Washington ,
Indexes rallied to record highs as investors cheered Wednesday's rate cut from the Fed. Jobless claims reinforced the Fed's message of a strong labor market, with last weeks's claims down 12,000. AdvertisementMajor stock indexes surged to record highs on Thursday, a day after a jumbo rate cut from the Federal Reserve. On Wednesday, the Fed cut interest rates for the first time in four years, slashing its benchmark rate by 50 basis points. The Fed's dot plot shows the central bank will likely cut another 50 basis points this year and 100 basis points next year.
Persons: , Dan Ives, Ives, Jerome Powell, Powell, Richard Bernstein Organizations: Fed . Tech, Nvidia, Meta, Service, Federal Reserve, Dow Jones Industrial, Nasdaq, Broadcom, ASML, Labor Department, Treasury, Fed, Trump Media Locations: Here's
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThe market gave the Fed 'permission' to cut 50 basis points this time, says Roger FergusonFormer Federal Reserve Vice Chairman Roger Ferguson joins 'Squawk Box' to discuss the Fed's interest rate decision, what was behind the central bank's decision to cut rates by 50 basis points, key takeaways from Fed Chair Powell's commentary, and more.
Persons: Roger Ferguson Organizations: Roger Ferguson Former Federal
They were lucky enough to lock in a 2.79% mortgage rate when they bought it — the average 30-year fixed mortgage rate is over 5% today. However, one non-financial factor began to lure the couple away from Colorado: family. Due to Massachussets' "higher cost of living," Nicole said the move has had a significant impact on their finances. For these people, buying a new home could mean taking on a significantly higher mortgage rate and monthly mortgage payment than they previously had. Lastly, while they live closer to family, Nicole said this hasn't saved them money on childcare.
Persons: , Nicole Stanley, Jacob, Nicole, who's, Jacob don't, Jacob aren't Organizations: Service, Business, . Colorado, Denver, BI Locations: Denver, Aurora , Colorado, Colorado, Mattapoisett , Massachusetts, Massachusetts, New York, California, — Massachusetts, Massachuseets
On the positive side, Wharton professor Jeremy Siegel called the decision the "best news" the Fed has offered in years. He said the Fed "moved too fast" with its 50-point cut. This is unusual, since investors will typically snap up these assets after a rate cut. Related storiesSome on Wall Street noted that the Fed's decision to cut beyond 25 basis points was essentially a signal that the central bank is moving past inflation. To Contopoulos point, this may be premature, as August's consumer price index report still stood above the 2% inflation target.
Persons: , Wharton, Jeremy Siegel, Michael Contopoulos, Bernstein, Contopoulos, Powell, Narayana Kocherlakota Organizations: Service, Business, Bernstein Advisors, CNBC, Wall, University of Rochester
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailUBS: China will benefit less from the Fed's rate cut than other APAC marketsEva Lee, head of Greater China equities at UBS, explains why she thinks China will not benefit much from the Federal Reserve's interest rate cut, and why it may also make it easier for the PBOC to move on its policy.
Persons: Eva Lee Organizations: UBS Locations: China
Heading into a lower interest-rate environment, there is one stock that should be on investors' radar, according to Ariel Investments' Charles Bobrinskoy: Oracle. " AI is all about analyzing your data, and Oracle controls a lot of that data." While Bobrinskoy said Oracle used to be "way too cheap," it is currently "getting pretty close to fairly valued." Bobrinskoy now expects there to be a rotation into value stocks given the view that there is a lower risk of a recession. "Value stocks are very cheap," he continued.
Persons: Ariel, Charles Bobrinskoy, CNBC's, Bobrinskoy, BorgWarner, Stocks Organizations: Ariel Investments, Oracle, Federal Reserve
Trump says Fed's rate cut was 'political move'
  + stars: | 2024-09-19 | by ( ) www.cnbc.com   time to read: +1 min
Republican presidential nominee and former U.S. President Donald Trump holds a rally at Nassau Veterans Memorial Coliseum, in Uniondale, New York, U.S., September 18, 2024. Republican presidential candidate Donald Trump said on Thursday the U.S. Federal Reserve's decision to cut interest rates by half of a percentage point was "a political move." Most people thought it was going to be half of that number, which probably would have been the right thing to do," Trump said in an interview with Newsmax. The Federal Reserve on Wednesday kicked off what is expected to be a series of interest rate cuts with an unusually large half-percentage-point reduction. Trump said last month that U.S. presidents should have a say over decisions made by the Federal Reserve.
Persons: Donald Trump, Trump Organizations: Nassau Veterans Memorial Coliseum, Republican, U.S, U.S . Federal, Newsmax, Federal Reserve, Senate, Fed Locations: Uniondale , New York, U.S, U.S .
Nvidia CEO Jensen Huang presents the Nvidia Blackwell platform at an event ahead of the COMPUTEX Forum, in Taipei, Taiwan, on June 2, 2024. Led by a 7.4% gain in shares of Tesla and a 4% jump in Nvidia , the Nasdaq rose 2.5% on Thursday, its fourth-sharpest rally of 2024. Nvidia, whose processors are powering the generative AI boom and services like OpenAI's ChatGPT, gained 4% on Thursday to $117.87. Su said AI is going to make its way into "all aspects of our lives," including education and drug development. Among the other top tech companies, Apple and Meta also closed with big gains, each rising almost 4%.
Persons: Jensen Huang, Nvidia Blackwell, it's, they're, Lisa Su, Jim Cramer, Su, Tesla Organizations: Nvidia, COMPUTEX, Investors, Federal Reserve, Tesla, Nasdaq, Federal, Market, Microsoft, Oracle, Devices, Broadcom, AMD, Apple, Meta Locations: Taipei, Taiwan
New York CNN —A group of news organizations filed an emergency petition Thursday, asking Nevada’s highest court to unseal the ongoing family succession battle playing out in a Reno courtroom that will determine the future of Rupert Murdoch’s vast media empire. But his three other eldest children, who have more moderate views, are fighting the change. The Murdoch case was only revealed after The New York Times published a report revealing its existence in July. “The public has immense interest in which of Murdoch’s children will succeed him,” the news outlets said in their petition. In its petition to the high court, the news outlets argued that selective redactions can be made to protect truly private information.
Persons: Nevada’s, Rupert Murdoch’s, Murdoch, Lachlan –, , Rupert, Organizations: New, New York CNN, Fox, The New York Times, CNN, Washington Post, Nevada Supreme, Fox News, Street Journal Locations: New York, Reno, Washoe, Nevada, American
"You need to know that a rate cut is never bad for stocks, as long as it's telegraphed," he said. "A large rate cut, as long as it's communicated to the media with plenty of time in a considered way, is also acceptable." Investors were anticipating interest rate cuts for some time, with most convinced the Federal Reserve would issue a September cut, but unsure whether it would be by 25 or 50 basis points. By Thursday's close, Wall Street seemed more confident about the cut. Cramer added that a double rate cut means even more cash will flow in from the sidelines.
Persons: CNBC's Jim Cramer, Thursday's, Cramer, you'll Organizations: Federal Reserve, Dow Jones Industrial, Nasdaq, Fed, Big Tech Locations: homebuilding, cyclicals
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with Shaktikanta Das, Reserve Bank of India's GovernorCNBC's Tanvir Gill spoke to Shaktikanta Das, Reserve Bank of India's governor, in an exclusive interview for CNBC Conversations. He discussed the strength of the Indian Rupee, India's inflation outlook, as well as the RBI's interest rate considerations.
Persons: Shaktikanta Das, CNBC's Tanvir Gill Organizations: Reserve Bank, India's, CNBC
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