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All three major U.S. stock indexes notched their third straight daily declines, with megacap tech- and tech-related shares weighing most. Tesla Inc (TSLA.O), along AI-related stocks such as Microsoft Corp (MSFT.O) and Nvidia Corp (NVDA.O) were the heaviest drags. "There could be one more rate hike, but I don’t think anyone's buying the fact that there will be two. "A big portion of today’s weakness is because Tesla had one of its worst days in a while," Detrick added. "After a record win streak some kind of weakness is perfectly acceptable and normal."
Persons: Tesla, Jerome, Ryan Detrick, Powell, Detrick, Stephen Culp, Shubham Batra, Johann M Cherian, Ankika Biswas, Aurora Ellis Organizations: FedEx, Barclays, NEW, Federal, Carson Group, Tesla, Microsoft Corp, Nvidia Corp, . House Financial Services, Nasdaq, Dow Jones, Tesla Inc, United Parcel Service Inc, Thomson Locations: Omaha, Bengaluru
[1/3] Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., May 30, 2023. REUTERS/Brendan McDermidSummary U.S. stocks mostly lowerTreasury yields risePowell updates on U.S. rate outlook in testimonyNEW YORK, June 21 (Reuters) - Global stock indexes mostly fell and Treasury yields rose on Wednesday as Federal Reserve Chair Jerome Powell said the fight to lower inflation still has a "long way" to go. The pan-European STOXX 600 index (.STOXX) lost 0.47% and MSCI's gauge of stocks across the globe (.MIWD00000PUS) shed 0.35%. The U.S. dollar index initially rose following the release of Powell's testimony, but was last down slightly. Treasury yields rose on Powell's hawkish tone.
Persons: Brendan McDermid, Powell, Jerome Powell, Rick Meckler, Brent, Medha Singh, Lawrence White, Wayne Cole, Jacqueline Wong, Lincoln, Alex Richardson, David Goodman, Richard Chang Organizations: New York Stock Exchange, REUTERS, Treasury, Financial Services, Cherry Lane Investments, Nasdaq, Dow Jones, U.S, Thomson Locations: New York City, U.S, New Vernon , New Jersey
Ms. Musselwhite doesn’t know how much her monthly payments will be, but she’s thinking about where she might need to cut back — and her partner’s student loan payments will start coming due, too. Then it began to shrink, as those who continued loan payments were able to make progress while interest rates were set at zero. A greater share of Black families with children were eligible than white and Hispanic families, although their prepandemic monthly payments were smaller. (That reflects Black families’ lower incomes, not loan balances, which were higher; 53 percent of Black families were also not making payments before the pandemic.) Economists at the University of Chicago found that rather than paying down other debts, those eligible for the pause increased their leverage by 3 percent on average, or $1,200, compared with ineligible borrowers.
Persons: Musselwhite, Beamer Organizations: Institute, Federal Reserve, University of Chicago
Investors also were digesting China's move to cut its benchmark loan prime rates (LPR) for the first time in 10 months on Tuesday. Among Beijing's moves to stimulate the country's slowing recovery, the People's Bank of China lowered the medium-term lending facility rate on Thursday. Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., May 11, 2023. Against a basket of six major currencies, the dollar was up 0.22% on the day, with the euro down 0.14% to $ 1.0907 . The Australian dollar fell after its latest central bank meeting minutes showed that keeping interest rates unchanged had been under consideration.
Persons: Dow, Brendan McDermid, Jerome Powell, Powell, Joe Manimbo, Brent, Caroline Valetkevitch, Saqib Iqbal Ahmed, Joice Alves, Selena Li, Anisha, Susan Fenton, Jason Neely, Richard Chang Organizations: Treasury, People's Bank of, Federal Reserve, Dow Jones, Nasdaq, Traders, New York Stock Exchange, REUTERS, . House, Representatives, Financial Affairs, Thomson Locations: U.S, People's Bank of China, New York City, China . U.S, New York, London, Hong Kong, Bengaluru
U.S. stock futures were near flat on Tuesday evening as investors took a breather from last week's market rally. S&P 500 futures inched down by 0.06% and Nasdaq 100 futures lost 0.03%. The S&P 500 slid 0.47%, and the Nasdaq Composite lost 0.16%. Stocks are overbought and in need of a catalyst, according to Quincy Krosby, chief global strategist for LPL Financial. Indeed, last week the S&P 500 hit its highest level since April 2022 and posted its fifth consecutive positive week.
Persons: Quincy Krosby, Jerome Powell, Powell, Krosby, Winnebago Organizations: New York Stock Exchange, Dow Jones, Nasdaq, FedEx, Dow, LPL, U.S, Home, Financial Locations: New York City . U.S, Quincy
New US home construction surges by most in 3 decades in May
  + stars: | 2023-06-20 | by ( ) www.reuters.com   time to read: +3 min
Housing starts rose to a seasonally adjusted annual rate of 1.631 million units last month from April's downwardly revised 1.34 million, the Commerce Department said on Tuesday. May's rate was the highest since April 2022, which was then the highest since 2006. Starts rose by double-digit margins in the South, Midwest and West while declining by nearly 19% in the Northeast. Permits for future construction, for instance, rose 5.2% to the highest since October at 1.491 million units, led by a 27.1% surge in the Northeast. Permits for single-family projects rose 4.8% while multi-family were up 7.8%.
Persons: April's, Ben Ayers, Alicia Huey, Dan Burns, Conor Humphries, Andrea Ricci Organizations: Federal Reserve, Housing, April's downwardly, Commerce Department, Reuters, Nationwide, National Association of Home Builders, Mortgage, Association, Thomson Locations: South, Midwest, West, Wells Fargo
PARIS, June 18 (Reuters) - U.S. planemaker Boeing (BA.N) slightly raised its annual 20-year forecast for new jetliner deliveries, propelled by the strength of the narrowbody market fueled by demand from low-cost carriers. Boeing expects airlines will need to buy 42,595 jets from now until 2042, up from 41,170 planes in its previous 20-year forecast last year. Boeing expects that narrowbody jets like its 737 MAX or the A320neo family made by European rival Airbus (AIR.PA) will dominate aircraft deliveries, with 32,420 single-aisle jets delivered through 2042. Deliveries from now until 2042 are also expected to include 7,440 widebody planes, 1,810 regional jets and 925 freighters. The company also raised its industrywide passenger traffic forecast growth rate slightly from 3.8% to 4%.
Persons: Darren Hulst, Hulst, we'll, it's, Valerie Insinna, Jonathan Oatis Organizations: planemaker Boeing, Boeing, Paris, Airbus, Thomson Locations: Boeing's, China, Asia
The Fed's move this week appears inconsistent, and may have been influenced by its internal politics, Larry Summers said. The Ex-Treasury chief told Bloomberg that he found the central bank's late policy announcement confusing. The Fed left rates unchanged this week, but signaled it may raise them twice more before year-end. Sign up for our newsletter to get the inside scoop on what traders are talking about — delivered daily to your inbox. The US central bank decided to keep rates steady on Wednesday, taking a breather after 10 consecutive hikes over the past 15 months.
Persons: Larry Summers, , Summers Organizations: Treasury, Bloomberg, Fed, Service
SummarySummary Companies U.S. crude oil stocks rise by 1 mln barrels last week -APIMarkets watching Federal Reserve meetingOPEC+ grants Russia slightly higher oil production baselineComing up: EIA data on U.S. stockpiles at 1430 GMTJune 14(Reuters) - Oil prices inched lower on Wednesday after industry data showed an unexpected rise in U.S. crude stocks, signalling weak demand to markets already worried about recession and disappointing Chinese economic data. Prices fell by 4% on Monday on concerns about the Chinese economy after disappointing economic data last week. U.S. crude oil stocks rose by about 1 million barrels in the week ended June 9, according to market sources citing American Petroleum Institute figures on Tuesday, contrary to the average estimate for a 510,000 million barrel decline according to analysts polled by Reuters. Market participants were also closely watching a Federal Reserve meeting, which has no pre-determined interest rate hike on the table. Meanwhile, OPEC+ has granted Russia a slightly higher oil production baseline, meaning Russia can produce more under the latest quotas than previously agreed.
Persons: Arathy Somasekhar, Stephen Coates Organizations: Brent, . West Texas, American Petroleum Institute, Reuters, Government, Federal Reserve, Bank of Canada, European Central Bank, Bank of Japan, Thomson Locations: Russia, U.S, OPEC
The Federal Reserve announced Wednesday that it would not raise interest rates this month. It's important to note that a one-time pause doesn't mean interest rates won't rise any more at future meetings, but the committee signaled that an end is in sight. The decision included a projection of two more 25 basis point rate hikes before the end of the year. Critics of the Fed's aggressive rate hikes over the last year have said they risk putting Americans out of work by squeezing businesses. The Fed needs to slow down on these extreme rate hikes and remember its dual mandate of price stability and maximum employment.
Persons: , Jerome Powell, Noah Sheidlower, Jobs, Massachusetts Sen, Elizabeth Warren, Powell, it's, Joe Brusuelas, Brusuelas, Kathy Gramling, Marta Norton, Norton Organizations: Federal Reserve, Service, Fed, Capital Economics, Food, RSM, EY, Morningstar Wealth's America, Silicon Valley Bank, First, FDIC Locations: Massachusetts, EY Americas, Silicon, First Republic
London Metal Exchange (LME) three-month tin has been treading water in a $23,700-26,800 range since the start of May. Although the demand outlook remains subdued, tin supply is facing two big threats, one from Myanmar and one from Indonesia, the world's largest exporter. Global tin supply, meanwhile, is now improving after an early-year drop in Indonesia shipments. Refined tin production fell year-on-year in May and Guangxi China Tin Group, the world's sixth-largest tin producer, has just announced a 40-50 day maintenance break from the end of this month, according to the ITA. Indonesia currently only has enough downstream capacity to absorb 5% of its domestic tin production, meaning that any restrictions will likely come in phases.
Persons: Minsur, International Tin Association . Tin, It's, David Evans Organizations: London Metal Exchange, Global, Shanghai Futures Exchange, U.S, Global Semiconductor, HIT, World Semiconductor Trade Statistics, Local, United Wa State Army, International Tin Association ., ITA, Guangxi China Tin Group, Thomson, Reuters Locations: Midwest, London, imploding, Myanmar, Indonesia, Peruvian, United States, Europe MYANMAR, Wa, China, Wa State, Guangxi China, INDONESIA
What to Watch For at the Fed’s Meeting
  + stars: | 2023-06-14 | by ( Jeanna Smialek | ) www.nytimes.com   time to read: +1 min
Prices have been increasing faster than the Fed would like for more than two years, but a report on Tuesday confirmed that the pace of overall inflation continues to cool. That doesn’t mean the Fed can declare victory: Once volatile food and fuel prices were stripped out, the data showed inflation remained stubbornly rapid. Investors are betting that Fed officials will respond to the mixed picture by skipping an increase this month, even as they signal that they might lift rates in July. Still, the outlook is very uncertain, and investors will be watching Wednesday’s Fed meeting closely for any hint at what could come next. Central bankers will release their rate decision and fresh economic forecasts at 2 p.m., followed by a news conference with Jerome H. Powell, the Fed chair, at 2:30 p.m. Here’s what to know about the decision.
Persons: Jerome H, Powell Organizations: Federal, Investors, Fed Locations: Central
[1/2] The exterior of the Marriner S. Eccles Federal Reserve Board Building is seen in Washington, D.C., U.S., June 14, 2022. They expect the Fed to raise its target rate to 5.25%-5.5% at the July 25-26 meeting. And it's quite likely that if the Fed does hold off on rates it will prep markets for action later on. The last Fed forecasts released at the March meeting had penciled in a 5.1% stopping point for the federal funds rate target, where it is now. Each Fed policymaker's view of the appropriate year-end policy rate is depicted by an anonymous "dot" on a grid.
Persons: Sarah Silbiger, who've, Wrightson ICAP, Wrightson, it's, Jerome Powell's, ’ ”, Powell, Ryan Sweet, Morgan Stanley, Oscar Munoz, Ann Saphir, Michael S, Howard Schneider, Dan Burns Organizations: Eccles Federal Reserve, Washington , D.C, REUTERS, Federal Reserve, Fed, Bank of America, Citibank, Reuters Graphics Reuters, Deutsche Bank, Oxford Economics, Securities, Derby, Thomson Locations: Washington ,, U.S
For two years, inflation has outpaced wage growth and economic mobility stalled for many US workers. Now, however, while wage growth has been slowing over the last several months, inflation has been coming down even faster. Of course, this is just one month of real wage growth after two years of average pay lagging behind rising prices. Looking closer at what's draining Americans' wallets the most could give an indication of who will benefit more from real wage growth. The slowdown in inflation comes as the Fed weighs its next move in its fight against rising prices.
Persons: , they're, That's Organizations: Service, Bureau of Labor Statistics
CNBC Daily Open: Troubled economies, calm markets
  + stars: | 2023-06-07 | by ( Yeo Boon Ping | ) www.cnbc.com   time to read: +2 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. Despite stumbles in some big-name stocks yesterday, U.S. markets managed to climb as the uncertainty of previous weeks dissipated. Apple shares dipped 0.2% as investors digested information on the technology giant's new mixed reality headset. The CBOE Volatility Index, a measure of investors' 30-day expectations and typically seen as Wall Street's fear gauge, dropped to 13.96 yesterday.
Persons: Goldman Sachs, Samik Chatterjee, Coinbase, weren't fazed, , That's Organizations: CNBC, Apple, Worldwide Developers, JPMorgan, Boeing, BMO Capital Markets, Nasdaq, Dow Jones, Fed Locations: Lianyungang Port, East China's Jiangsu, U.S
Stock futures were flat on Wednesday evening, as investors await the next market catalyst. Futures linked to the S&P 500 ticked lower by 0.04%, while Nasdaq 100 futures inched down by 0.09%. Futures tied to the Dow Jones Industrial Average dropped 17 points or 0.05%. During the regular session Wednesday, the S&P 500 and the Nasdaq Composite appeared to take a breather from their recent rally. "It's widely expected they will pause, but it's really going to be important what their guidance is and what the [consumer price index] number on Tuesday will be and the [producer price index]."
Persons: Matthew Furlong, Ryan Cohen, Dow, Barbara Doran, it's, Jeff Cox Organizations: Nasdaq, Dow Jones, GameStop, Fed, BD8 Capital Partners, Federal
Every weekday the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a.m. Watch Eli Lilly Eli Lilly (LLY) is set to present data on its earlier-stage diabetes-and-obesity drugs in the coming weeks, offering another potential upside catalyst for a stock that's already climbed nearly 40% over the past three months. 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, Caterpillar Watch Eli Lilly, Jim, Eli Lilly Eli Lilly, it's, Eli Lilly, Jim Cramer's Organizations: CNBC, Caterpillar Watch, Nasdaq, Meta, Microsoft, Nvidia, Caterpillar Construction, Caterpillar, Diabetes
CNN —More kids, teens and young adults are experiencing anxiety — but fewer are getting the appropriate treatment, according to the latest research. “The burden for treating mental health conditions among young kids is growing,” Chavez said. How to make sure your family gets the right helpWhile there is a larger problem of resources and availability when it comes to mental health care, there are things families can do to get help. Don’t write off chronically anxious behavior as shyness and instead seek out a mental health professional for an evaluation, she said. Families can also find help getting care and resources in the meantime at onoursleeves.org, she added.
Persons: CNN —, Laura Chavez, ” Chavez, Lata McGinn, McGinn, they’re, ” McGinn, Dr, Ariana Hoet, Hoet, ” Hoet, Chavez, , Don’t Organizations: CNN, Medical, Survey, American Academy of Pediatrics, Pediatrics, US National Center for Health Statistics, Center for Child Health Equity, Research, Nationwide Children’s Hospital, Yeshiva University, Cognitive, Behavioral Consultants Locations: United States, Columbus , Ohio, New York City, White Plains , New York, onoursleeves.org
CNBC Daily Open: New highs for the S&P and Nasdaq
  + stars: | 2023-06-07 | by ( Yeo Boon Ping | ) www.cnbc.com   time to read: +2 min
Knife River Corporation CFO Nathan Ring, rings the bell on the floor of the New York Stock on June 01, 2023 in New York City. 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. Despite stumbles in some big-name stocks yesterday, markets managed to climb as the uncertainty of previous weeks dissipated. Apple shares dipped 0.2% as investors digested information on the technology giant's new mixed-reality headset.
Persons: Nathan Ring, Goldman Sachs, Samik Chatterjee, Coinbase, weren't fazed, Organizations: New York Stock, CNBC, Apple, Worldwide Developers, JPMorgan, Boeing, BMO Capital Markets, Nasdaq, Dow Jones, Fed Locations: New York City
A pedestrian and jogger pass the Reserve Bank of Australia (RBA) building, during a partial lockdown imposed due to the coronavirus, in Sydney, Australia, on Monday, May 18, 2020. Markets are "catching their breath after Friday's broad-based rally," said Ryan Detrick, chief market strategist at the Carson Group. "It's a very lackluster news day, which isn't a bad thing as we consolidate some of those big recent gains we've had." Australia's S&P/ASX 200 opened 0.35% down ahead of the country's central bank rate decision. The Reserve Bank of Australia is expected to hold rates at 3.85%, according to a Reuters poll.
Persons: Ryan Detrick, we've Organizations: Reserve Bank of Australia, Carson Group, Nikkei Locations: Sydney, Australia, Asia, Pacific, Japan, South
CNBC's Jim Cramer explained that last week's debt ceiling resolution may have paved the way for a Dow resurgence, even though the index closed lower by about 200 points Monday. "With the default fears off the table, maybe this is a market where the once mighty Dow can actually lead again," Cramer said. In looking at a more Dow-focused market, Cramer highlighted several stocks that roared on Friday, including technology company 3M and construction manufacturer Caterpillar . Cramer believes Caterpillar is largely misunderstood by Wall Street, and traders treat it as an old-fashioned cyclical stock. To Cramer, however, Caterpillar was successfully diversified by CEO Jim Umpleby into a business less reliant on the global economy.
Persons: CNBC's Jim Cramer, Dow, Cramer, Tesla, Cramer's, week's Dow, Wall, Jim Umpleby Organizations: Nasdaq, Reserve, Dow, Caterpillar, 3M Locations: Monday's, China
S&P 500 and Nasdaq-100 futures slipped 0.1% and 0.2%, respectively. The Dow finished Monday down about 0.6%, while the S&P 500 and Nasdaq Composite lost about 0.2% and 0.1%, respectively. Elsewhere, bank stocks slid following news that regulators are contemplating increasing capital requirements for large banks. Goldman Sachs and Bank of America each lost about 0.6% on Monday, while Morgan Stanley slipped around 0.7% and JPMorgan shares slid nearly 1%. The SPDR S&P Bank ETF dropped about 2.2%.
Persons: Apple, , Keith Buchanan, Goldman Sachs, Morgan Stanley Organizations: New York Stock Exchange, New York Stock, Dow Jones, Nasdaq, Dow, Big Tech, Intel, Apple, Globalt Investments, Bank of America, JPMorgan, P Bank Locations: New
The S&P 500 broke out above a key level. Now what?
  + stars: | 2023-06-04 | by ( Krystal Hur | ) edition.cnn.com   time to read: +5 min
CNN —The S&P 500 index on Friday closed at its highest level in almost a year. The S&P 500 ended last week up 1.8% at about 4,282, marking its best weekly gain since late March. Now that the index has managed to breach the top level of resistance, that raises the question: Does this rally have legs? An equal-weighted version of the S&P 500 is up only about 1.5% for the year. The good news is that the S&P 500 will likely return to trading within the 3,800 - 4,200 range, meaning any downside — at least in the short term — will likely be limited, according to Turnquist.
Persons: Joe Biden’s, , José Torres, Adam Turnquist, “ There’s, , ” Bitcoin, Saqib Iqbal, ” Iqbal, bitcoin, Iqbal, Smucker Compan, Baker Hughes Organizations: CNN Business, Bell, CNN, Federal Reserve, Interactive, LPL, Treasury Department, Silicon Valley Bank, Signature Bank, Trading.biz
June 1 (Reuters) - Detainees in overcrowded cells in Haitian police stations are living in "inhumane, degrading conditions", a human rights group RNDDH said Thursday, with police relying on makeshift prisons amid insecurity and a crippled judicial system. Six police stations that the group RNDDH visited in Haiti's Ouest Department showed "very alarming" conditions, it said, urging immediate action from the judicial system, which has struggled for years and is facing strikes by staff calling for better work conditions. The rights group said many of the detainees in the Port-au Prince station had received no visits, reducing their access to food and water normally brought by relatives. Haiti has seen an escalation in violence by armed gangs, driving a humanitarian crisis that has displaced tens of thousands of people. Reporting by Sarah Morland in Mexico City and Harold Isaac in Port-au-Prince; editing by Robert BirselOur Standards: The Thomson Reuters Trust Principles.
Persons: RNDDH, Sarah Morland, Harold Isaac, Robert Birsel Organizations: Haiti's Ouest, Prince, United Nations, Thomson Locations: Haitian, Haiti's, Port, au Prince, Haiti, Mexico City
Anyway, this lopsided distribution is exactly what's showing up in the stock market right now. The S&P 500 has climbed about 9.2% this year, but just five stocks are powering most of that gain in an even more extreme rendition of the Pareto distribution. In previous streaks of strong outperformance of five months or more by supersized companies, he pointed out that the S&P 500 has averaged returns of 6.7% in the subsequent six months. "[P]utting mega caps aside, we found that narrow market breadth in general does not represent a bad omen for S&P 500 performance despite the contrary narrative being pushed by many investors," Belski added. What's your outlook for the rest of the stock market this year, not including mega-caps?
Persons: Phil Rosen, ChatGPT, Tim Cook, Jerod Harris, Brian Belski, Belski, Elon Musk, Jonathan Ernst, Redfin, Larry Pitkowsky, Bitcoin, Max Adams, Nathan Rennolds Organizations: Apple, Getty, Nvidia, Microsoft, BMO, Reuters, Dell Technologies, Broadcom, Bank of America Locations: Beijing, China, United States, New York, London
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