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Apple could be on track for more gains as consumers upgrade their iPhones, according to Morgan Stanley. The bank listed the iPhone maker as one of its top picks heading into 2025 and reiterated its overweight rating alongside as $273 per share price target. Analyst Erik Woodring listed a potential strong handset replacement cycle in 2026 thanks to the rollout of Apple Intelligence, double digit services growth as well as expanding gross margins as catalysts for Apple stock moving forward. AAPL YTD mountain Apple stock. "And while memory costs have risen considerably in 2024, we see a memory downcycle in 2025 representing an emerging cyclical tailwind in 2025," the analyst said.
Persons: Morgan Stanley, Morgan Stanley's, Erik Woodring, Woodring Organizations: Apple, Apple Intelligence, Services
Two trendy areas in finance – fintech and private credit — are coming together in a new multi-billion dollar joint venture. Affirm Holdings is getting its largest-ever capital commitment with a new partnership from private-credit firm Sixth Street, which is investing in $4 billion worth of loans over the course of three years. Sixth Street is committing capital upfront for Affirm to underwrite short-term installment loans – between 4- to 6-month timeframes. As private credit has exploded in recent years, alternative-asset managers are increasingly looking at non-bank, fintech companies to invest capital. What this means is Sixth Street intends to purchase loans originated by Affirm for consumers as they buy items online through platforms ranging from Amazon to Apple.
Organizations: Sixth, Apple, PayPal, KKR Locations: Europe
CEO Hock Tan said Broadcom is developing custom artificial intelligence chips with three large cloud customers, also driving investor enthusiasm. Tesla has reported the most crashes under the program and the requirement has been disliked by CEO Elon Musk, Reuters reported. Upstart Holdings — Shares of the lending platform popped more than 14% after an upgrade to buy from hold at Needham. Salesforce , ServiceNow — Salesforce and ServiceNow shares slid 1.2% and 2.6% lower, respectively, after KeyBanc Capital Markets issued a 2025 stock-specific outlook for enterprise software in which it upgraded Salesforce to overweight and downgraded ServiceNow to sector weight. Penn Entertainment — Shares of the online sports betting company moved 3% higher following an upgrade at JPMorgan to overweight from neutral.
Persons: Hock Tan, Donald Trump's, Tesla, Elon Musk, TaskUs, Morgan Stanley's, Morgan Stanley, Ciena, , Salesforce, ServiceNow, Alex Harring, Jesse Pound, Yun Li, Lisa Han, Sarah Min, Michelle Fox Organizations: Broadcom —, Broadcom, PayPal, Wolfe Research, Reuters, Walgreens, Alliance, Sky News, Sycamore Partners, Walgreens Boots Alliance, Wall Street Journal, UBS, Bank of America, KeyBanc, Mizuho, Penn Entertainment, JPMorgan, Penn Locations: Sycamore, Needham, ServiceNow
A new CFPB rule could cap overdraft fees to $5 for very large institutions starting next October. The best banks for avoiding overdrafts don't charge overdraft fees at all, but it's more common for banks to charge overdraft fees in the $20 to $40 range. Here's what you can expect to change and what you should do to take advantage of lower overdraft fees. AdvertisementFinancial institutions on the list that haven't eliminated overdraft fees have a couple of other options if they don't want to cap overdraft fees at $5. AdvertisementHow to mitigate overdraft fees nowWhile this rule would help you avoid high overdraft fees, there are ways you can lower the impact of overdraft fees on your budget regardless of whether the rule goes through.
Persons: overdrafts, Ally, Patrick O'Leary, Davidson, O'Leary, we've, Angela Moore, Moore, doesn't Organizations: Business, Service, Financial Protection, Bank of America, Ally Bank, Navy Federal Credit Union, Wealth Management, D.A, Modern Money Education Locations: Wells Fargo
RH — The luxury furniture retailer's shares skyrocketed 13% in premarket trading after the company hiked its forward guidance. RH sees fourth-quarter revenue growth of 18% to 20% from a year earlier, citing "an acceleration of demand." Penn Entertainment — The online sports betting stock popped 5.8% after being upgraded at JPMorgan to overweight from neutral. The bank said it sees a path to aggregate growth ahead as Penn Entertainment's capital projects begin to bear fruit. Salesforce , ServiceNow — Salesforce shares gained 2%, while ServiceNow slid 1.1%.
Persons: Hock Tan, RH, Tesla, Donald Trump's, Elon Musk, Ciena, Morgan Stanley's, Wolfe, Salesforce, ServiceNow, — CNBC's Pia Singh, Michelle Fox, Lisa Kailai Han, Yun Li, Sarah Min, Jesse Pound Organizations: Broadcom —, Broadcom, Reuters, Cruise, Barclays, Penn Entertainment, JPMorgan, Penn, Bank of America, UBS, PayPal, KeyBanc Locations: Needham
Dollar set for best week in a month on cut-then-wait Fed outlook
  + stars: | 2024-12-13 | by ( ) www.cnbc.com   time to read: +3 min
The dollar index , which measures the currency against the euro, yen and three other rivals, ticked up to 107.05 for the first time since Nov. 26. San Francisco Fed President Mary Daly, for example, said earlier this month that she was comfortable cutting rates this month, but advocated "a more thoughtful and cautious approach" on further reductions. The dollar rose 0.19% to 152.935 yen as of 0132 GMT, and touched the highest since Nov. 27 at 152.965. The dollar has gained about 1.9% on the yen this week, which would make it the best weekly performance since the end of September. The U.S. currency was steady at 0.89235 franc after a 0.93% surge overnight following the Swiss National Bank's shock half-point rate reduction.
Persons: Rodrigo Catril, Mary Daly, Donald Trump, It's, Sterling, Bitcoin Organizations: Federal Reserve, Bank of Japan, National Australia Bank . San Francisco Fed, Traders, Reuters, Bloomberg, Swiss, European Central Bank Locations: Beijing, China
Goldman Sachs thinks Uber's risk-to-reward balance is among the most attractive heading into 2025. The bank listed the ride sharing company as a top pick in a Thursday note. Analyst Eric Sheridan has a buy rating and a $96 per share price target on the stock, which implies more than 56% upside from Thursday's close. UBER YTD mountain Uber stock. The average analyst price target also implies upside of 47%.
Persons: Goldman Sachs, Eric Sheridan, Sheridan, Uber Organizations: CART
A pick-up in consumer demand, improving economic growth and attractive stock market valuations have contributed to the popularity of emerging markets (EM) this year. HSBC analysts continue to see "justification for a small overweight in EM" from a global perspective, even as the U.S. election outcome will "likely reinforce the era of U.S. equity exceptionalism." Shares in XP are down nearly 50% this year, largely following the start of Brazil's rate hiking cycle in September. "With its strong pricing power and exposure to U.S. infrastructure spending, we see significant rerating potential as Mexican macro concerns ease," the HSBC analysts added. HSBC has a target price of $9 on Cemex's American Depositary Receipt, giving it a roughly 62.2% upside potential from the Wednesday close price.
Persons: Donald Trump, Trump, — CNBC's Michael Bloom Organizations: HSBC, XP Inc HSBC, XP Inc Locations: China, India, South Africa, Brazil, Greece, Indonesia, South Korea, Mexico, Qatar, U.S
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailPro-crypto Congressman French Hill tapped for Financial Services Committee chair: 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, Mathew McDermott of Goldman Sachs discusses the bank's spinoff of its digital assets platform, and crypto trends he's watching in 2025.
Persons: French Hill, explainers, Mathew McDermott, Goldman Sachs Organizations: Financial Services, CNBC Crypto, CNBC
Something odd is still happening with the stock market
  + stars: | 2024-12-13 | by ( Fred Imbert | ) www.cnbc.com   time to read: +2 min
Earlier this week , we talked about how there was something weird happening with the stock market. On Thursday, 324 S & P 500 stocks closed lower on the day. Bespoke also noted that there are now five S & P 500 sectors in oversold territory, while three others are overbought. The S & P 500 hit an all-time high earlier this month, and the Nasdaq Composite broke above 20,000 for the first time this week. BTIG's Jonathan Krinsky noted that about 60% of S & P 500 components were trading below their 50-day moving average.
Persons: Rob Ginsberg, Jonathan Krinsky, it's, Krinsky, Goldman Sachs Organizations: Investment, Nasdaq, Wolfe Research, Reserve, Uber Technologies Locations: oversold
European markets are poised to open lower Friday as investors digest the European Central Bank's latest rate cut decision, in what was a busy day for monetary policy in the previous session. The FTSE 100 was seen opening 22 points lower at 8,287, Germany's DAX was down 35 points at 20,391, France's CAC was 21 points lower at 7,400 and Italy's FTSE MIB down 38 points at 34,799, according to IG data. The European Central Bank on Thursday cut interest rates by 25 basis points in its fourth trim this year, and signaled the possibility of more reductions in 2025. The Swiss National Bank also cut rates by a larger than anticipated 50 basis points, while Denmark's central bank announced a 25 basis point reduction. Central bank watchers are now turning their attention to next week and rate decisions from the U.S. Federal Reserve and the Bank of England.
Persons: Germany's DAX Organizations: Central, CAC, European Central Bank, Swiss National Bank, U.S . Federal Reserve, Bank of England
This report is from today's CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. The pan-European Stoxx 600 saw a 0.14% decline amid a rate cut by the region's central bank. U.S. producer prices still hotU.S. producer prices rose 0.4% in November, higher than the Dow Jones consensus estimate of 0.2%. The hotter-than-anticipated increase in producer prices comes after headline consumer prices rose at a sharper annual rate in November compared with the prior month.
Persons: Cucinelli, Dow Jones, Tom Lee, Lee, Organizations: CNBC, PPI, Reserve Bank of, European Central Bank Locations: New Bedford, India, Reserve Bank of India
Asia-Pacific markets were set to mostly fall Friday, mirroring moves on Wall Street that was weighed down by a hotter-than-expected producer price inflation reading. The producer price index, which measures wholesale inflation, climbed 0.4% for November, higher than the Dow Jones estimate of 0.2%. India will also release its wholesale inflation figures for November later in the day. Economists polled by Reuters expect India's wholesale inflation rate to come down to 2.2% from October's 2.36%. China on Thursday affirmed its recent policy shifts and stressed on plans to boost growth following a meeting that happened after China's market close.
Persons: Dow Jones Organizations: PPI, Bank of Japan's, Reuters Locations: Yokohama, Japan, Asia, Pacific, India, China
Starting in 2010, Tess Waresmith spent three years working on a cruise ship, first as a high-diver and acrobat, and then as a shopping guide for vacationers. For someone who had graduated from college a year earlier, it was a huge opportunity, Waresmith says. "Over a couple year period, I thought to myself, 'This is my chance to save as much as possible,'" Waresmith says. "He was just like, 'Tess, you can use the money you're hoarding to buy things that make you more money,'" she says. "I knew that investing was a thing, but I'd never thought about it from that frame."
Persons: Tess Waresmith, Waresmith, Tess, I'd
This report is from today's CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. U.S. producer prices still hotU.S. producer prices rose 0.4% in November, higher than the Dow Jones consensus estimate of 0.2%. The hotter-than-anticipated increase in producer prices comes after headline consumer prices rose at a sharper annual rate in November compared with the prior month. [PRO] Tom Lee makes his 2025 predictionsFundstrat's Tom Lee has a history of correct calls.
Persons: reemphasizing, Dow Jones, Tom Lee, Lee, Organizations: CNBC, CSI, PPI, Reserve Bank of, European Central Bank Locations: Asia, India, Reserve Bank of India
Skyscrapers on the skyline from the offices of the European Central Bank in Frankfurt, Germany, on Monday, Nov. 25, 2024. European Central Bank policymakers are set to hold their last meeting of the year on Thursday, with expectations firmly set for the fourth quarter-percentage-point interest rate cut of 2024. The rate had been held at 4% since Sept. 2023, prior to the first cut of the current easing cycle in June 2024. The European central bank has firmly guided expectations this year, unlike the Federal Reserve, which surprised many with its 50-basis-point rate cut in September, and the Bank of England, which has left market-watchers guessing due to its divided committee. Two key details will be in focus: firstly, staff macroeconomic projections for growth and inflation, which were last delivered in September.
Organizations: European Central Bank, ECB, Federal Reserve, Bank of England, U.S Locations: Frankfurt, Germany
If you were expecting the Federal Reserve to finally put inflation to rest in 2025, don't get your hopes up. Rising prices are shaping up to be a persistent problem over the next decade, according to UBS. UBS sees the megatrends of increased deficits, deglobalization, and decarbonization as drivers of elevated inflation for the next decade. Protectionist policies like tariffs and other trade restrictions are likely to result in higher costs for consumers and businesses, slower worldwide economic growth, and, ultimately, increased inflation. This high-growth group of commodities can help increase returns on portfolios even with increased inflation.
Persons: , That's, Mark Haefele, Donald Trump's, Stocks, Haefele, Dow, Schwab Organizations: UBS, Reserve, Wealth, Trust, American PLC, BHP Group, BHP, Copper Miners, Dow Jones
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailIndia economic activity to improve, peak in fiscal fourth quarter, says Enam HoldingsManish Chokhani, director at Indian investment group Enam Holdings, said that while there have been calls from Indian politicians for a looser monetary policy, it is very hard for the Reserve Bank of India to lower rates if inflation still runs at the bank's upper limit of 6%.
Persons: Manish Chokhani Organizations: India, Enam Holdings, Reserve Bank of India
The CFPB previously found that banks were charging Americans unnecessary overdraft fees. AdvertisementOn Thursday, the Consumer Financial Protection Bureau announced that it finalized a rule that would limit overdraft fees at the bank. Overdraft fees are charged when customers make a withdrawal that results in a negative account balance. Lower-earning Americans are disproportionately impacted by overdraft fees, per a previous report from the CFPB. Have you paid overdraft fees or struggled with banking fees?
Persons: Rohit Chopra, Donald Trump, Elon Musk, Vivek Ramaswamy, Musk, Chopra, Musk's Organizations: Consumer Financial, Bureau, Department of Government, asheffey
A federal court struck down a rule requiring Nasdaq-listed companies to disclose board diversity. Legal experts say the ruling won't likely impact Goldman Sachs' board diversity mandate. Since 2020, the investment bank has only helped take public clients with diverse boards. AdvertisementIn 2020, David Solomon, CEO of Goldman Sachs, a top underwriter of initial public offerings, announced that the bank would start requiring the clients it helps take public to have at least one diverse board member. It has also tasked one of its rising stars with a new role helping corporate clients find diverse board members.
Persons: Goldman Sachs, Wall, David Solomon, Goldman, Ann Lipton, George Floyd, Morgan Stanley, Fortune, Ilana Wolfe Organizations: Nasdaq, Fifth Circuit, Securities, Exchange Commission, Companies, Exchange, SEC, Tulane University's, Bloomberg, Goldman
Nearly 30% of older American homeowners doubt they'll retire on time or at all, a new survey suggests. People said inflation, higher interest rates, and high housing costs could delay their retirement. Close to one in three older US homeowners doubt they can afford to retire on time or at all, a new survey indicates. AdvertisementPoint, a home-equity platform, surveyed more than 1,000 homeowners ages 50 and older. Insufficient savings, housing costs, interest rates, inflation, and medical and other life-changing events were the top five reasons given by those expecting to delay retirement or planning a return to work.
Persons: they'll, they'd, Warren Buffett, Berkshire Hathaway Organizations: Fed, Berkshire
Flushing Financial, a New York-based commercial real estate lender, is seeking to raise $70 million to shore up its capital, CNBC has learned. Banks with commercial real estate exposure have struggled after the Federal Reserve hiked interest rates through 2023, leaving them with unrealized losses on their balance sheet. New York Community Bank was forced to raise capital earlier this year after its stock sank amid concerns over its portfolio of commercial loans. Now, with a rebound in bank stock prices this year and the start of a Fed easing cycle in September, investors expect more banks to raise capital in the coming months. Shares of Flushing Financial have risen about 5% this year through Thursday, trailing the 18% rise in the KBW Regional Banking Index.
Persons: John Buran Organizations: Flushing Financial, CNBC, Bankers, Federal Reserve, York Community Bank Locations: Flushing, New York, U.S, KBW
The Aussie dollar surged after Australian employment beat forecasts, while the euro held steady ahead of the European Central Bank's (ECB) monetary policy decision later in the day. Markets have further trimmed back expectations for a December rate hike from the Bank of Japan after Bloomberg news reported Japan's central bank sees "little cost" to waiting. The Politburo on Monday vowed to switch to an "appropriately loose" monetary policy to spur economic growth. The Swiss franc traded at 0.88315 per dollar, with markets weighing the prospect of a half-point rate cut on Thursday from the Swiss National Bank. The dollar last fetched C$1.41435 after the Bank of Canada slashed its key policy rate by 50 basis points to 3.25% on Wednesday to help address slower growth.
Persons: Carol Kong, Traders, Sterling Organizations: U.S ., Treasury, U.S . Federal, Aussie, European, Bank's, Treasury Department, Fed, Commonwealth Bank of Australia, Bank of Japan, Bloomberg, Economic Work, Reuters, Swiss, Swiss National Bank, Bank of Canada Locations: U.S, China's, China
The global oil markets are weighed down by ample supply and demand concerns, in part due to China's flagging economy. "So the global oil market is softer and that creates possibly an opportunity to take some further action," Yellen said. The US has been tightening its noose on Russian energy revenues. The measures have allowed the global energy markets to continue functioning in an orderly fashion — which prevents price shocks and inflation — but still limit Russia's oil revenue. In November, Russia's oil revenue fell 21% from a year ago amid weak energy prices, according to Bloomberg calculations based on official data.
Persons: Yellen, Janet Yellen, Biden, Dmitry Peskov Organizations: Bloomberg, Bloomberg TV, Brent, US West Texas, Kremlin, US Locations: Russia, Macquarie, Russian, Ukraine, India, China
New York CNN —The Consumer Financial Protection Bureau has finalized a rule that curbs excessive overdraft fees charged to customers of large banks and credit unions, potentially saving consumers as much as $5 billion a year. The rule, unveiled Thursday, would cap overdraft fees at $5 — a substantial savings from the $35 that customers are typically charged. Additional options for banks would allow them to either cap fees at amounts that just cover their costs or to treat an overdraft like any other loan by disclosing terms like interest rates. “That is real relief for families.”Banking trade groups are against the new rule, saying that the agency’s proposed rule could backfire. Congress created the bureau in 2010 to protect consumers from financial scams.
Persons: ” Rohit Chopra, , Lael Brainard, Joe Biden’s, there’s, Trump Organizations: New, New York CNN, Consumer Financial, National Economic Council, Banking, Consumer Bankers Association, Court Locations: New York
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