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Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with U.S. Bank Wealth Management's Lisa EricksonLisa Erickson, head of the public markets group at U.S. Bank Wealth Management, joins 'Squawk Box' to discuss high inflation, risks to the economy, and investment in real asset categories for dividend yield.
US stocks tumbled after hawkish talk on rates from two Federal Reserve officials. St. Louis Fed President James Bullard and Cleveland Fed President Loretta Mester each see the need for rates to rise to 5% or beyond. The Dow plunged 600 points, and the S&P 500 ended lower for a second straight day. The S&P 500 finished in the red for a second straight day, and none of its 11 sectors moved higher. Stocks may finish 2023 with a positive return, with the S&P 500 potentially landing at 4,275, said Hainlin.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with Veritas' Greg Branch and U.S. Bank's Lisa EricksonGreg Branch, Veritas Financial founder, and Lisa Erickson, head of the U.S. Bank Wealth Management public markets group, join 'Squawk Box' to discuss how they are positioning ahead of this week's economic data.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailInterest rate cuts won't happen until the back half of '24, says Veritas' Greg BranchGreg Branch, Veritas Financial founder, and Lisa Erickson, head of the U.S. Bank Wealth Management public markets group, join 'Squawk Box' to discuss how they are positioning ahead of this week's economic data.
Wall Street surges in dip-buying rally, oil falls
  + stars: | 2022-12-29 | by ( Stephen Culp | ) www.reuters.com   time to read: +4 min
European shares also advanced, but gains were held in check by worries over spiking COVID cases in China, the world's second largest economy. "It's nice to see green on the screen," said Terry Sandven, Chief Equity Strategist at U.S. Bank Wealth Management in Minneapolis. "Stocks are trending higher as investors look to put a wrap on 2022, while approaching 2023 with a renewed sense of optimism." Wall Street's three major stock indexes notching their steepest annual percentage losses since 2008, the nadir of the global financial crisis. [1/3] The Wall Street entrance to the New York Stock Exchange (NYSE) is seen in New York City, U.S., November 15, 2022.
Wall Street jumps in dip-buying rally, oil slides
  + stars: | 2022-12-29 | by ( Stephen Culp | ) www.reuters.com   time to read: +4 min
[1/3] The Wall Street entrance to the New York Stock Exchange (NYSE) is seen in New York City, U.S., November 15, 2022. All three major U.S. stock indexes jumped in a broad-based rally, with the tech-heavy Nasdaq leading the pack. Those gains were boosted by a rise in U.S. jobless claims, which suggested the Federal Reserve's hawkish monetary policy is having its intended effect. European shares followed their U.S. counterparts higher, but gains were held in check by worries over spiking COVID cases in China, the world's second largest economy. Benchmark Treasury yields softened after three straight days of gains in the wake of U.S. jobless claims data.
[1/2] A trader works on the trading floor at the New York Stock Exchange (NYSE) in New York City, U.S., December 14, 2022. "(Investors are) worried about recession and higher rates and there’s not a lot of news to reverse the trend." Emerging market stocks rose 0.02%. U.S. Treasury yields rose as investors considered how high the Federal Reserve will hike interest rates in its protracted battle against inflation. Gold inched lower in thin trading, as rising yields on expected future interest rate hikes helped offset weakness in the greenback.
[1/2] A trader works on the trading floor at the New York Stock Exchange (NYSE) in New York City, U.S., December 14, 2022. MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) closed 0.24% lower, while Japan's Nikkei (.N225) lost 1.05%. U.S. Treasury yields rose as investors considered how high the Federal Reserve will hike interest rates and how long they will remain at restrictive levels in its battle against inflation. U.S. crude rose 1.21% to settle at $75.19 per barrel, while Brent settled at $79.80, up 0.96% on the day. Gold inched lower in thin trading, as rising yields on expected future interest rate hikes helped offset weakness in the greenback.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailStocks remain 'place to be' looking beyond 2023, says Sylvia JablonskiSylvia Jablonski, CEO and chief investment officer of Defiance ETFs, and Lisa Erickson, head of the U.S. Bank Wealth Management public markets group, join CNBC’s ‘Squawk Box’ to discuss the impact of inflation on the economy, the probability of recession, and more.
STORY: STATEMENT TEXT:MARKET REACTION:STOCKS: The S&P 500 turned sharply lower then steadied down 0.11%BONDS: Benchmark 10-year note yields rose then backed off to 3.4847%. CHRIS ZACCARELLI, CHIEF INVESTMENT OFFICER, INDEPENDENT ADVISOR ALLIANCE, CHARLOTTE“The Fed is taking away the punchbowl just as the party was getting started. They’re reiterating their forecasts but the whisper number was that the Fed was going to stop at a 4.5%-4.75% terminal rate. You know, the biggest thing that is holding the Fed back right now are the jobs numbers. The most dovish participants is looking for an extra 50 bps of hikes.
CHRIS ZACCARELLI, CHIEF INVESTMENT OFFICER, INDEPENDENT ADVISOR ALLIANCE, CHARLOTTE“The Fed is taking away the punchbowl just as the party was getting started. They're reiterating their forecasts but the whisper number was that the Fed was going to stop at a 4.5%-4.75% terminal rate. "But the Fed is out there saying that 5.1% is still on the cards … and that rate hikes will continue." BRIAN JACOBSEN, SENIOR INVESTMENT STRATEGIST, ALLSPRING GLOBAL INVESTMENTS, MENOMONEE FALLS, WISCONSIN“The most interesting part of the releases were in the Summary of Economic Projections. And they’re holding it there longer than markets expected.”“In addition, they’re downgrading GDP estimates for this year, and in particular, for next year.
The index has bounced about 10% from its October lows but remains down more than 17% on the year. Equities’ trajectory in the near future may depend on whether Tuesday’s consumer price index report shows inflation is responding to the most aggressive Fed hiking cycle since the 1980s. Hotter-than-expected data could bolster fears of more Fed hawkishness, pressuring stocks. A second helping of benign data could bolster the case for a peak in inflation and buoy equities further. Reuters GraphicsMeanwhile, investors are factoring in a half-percentage-point rate hike from the Fed next week, a step down from its recent series of three-quarter-point increases.
The S&P 500 notched its fifth consecutive losing session, and the Nasdaq Composite marked a fourth straight loss. Major banks are sounding the alarm on recession worries and potentially sharp losses in 2023. A slump in Chinese trade in November underscored global recession fears. Sign up for our newsletter to get the inside scoop on what traders are talking about — delivered daily to your inbox. The S&P 500 notched its fifth consecutive losing session with eight of its 11 sectors moving lower, led by the communications services group.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with U.S. Bank's Lisa Erickson and Georgetown's Paul McCulleyLisa Erickson, head of the U.S. Bank Wealth Management public markets group, and Paul McCulley, former chief economist with PIMCO, join 'Squawk on the Street' to discuss the Federal Reserve's course of action, the impact of inflation on the economy and more.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailIt is not the time to be a big bear on stocks, says Paul McCulleyLisa Erickson, head of the U.S. Bank Wealth Management public markets group, and Paul McCulley, former chief economist with PIMCO, join 'Squawk on the Street' to discuss the Federal Reserve's course of action, the impact of inflation on the economy and more.
S&P 500 stocksAll 11 S&P 500 sector indexes declined, led by real estate (.SPLRCR), down 2.81%, and a 2.74% loss in energy (.SPNY). The S&P 500 declined 1.54% to end the session at 3,963.95 points. With two trading days left in November, the S&P 500 is on track for a gain of 2.4% for the month. Trading was mixed in other heavyweight growth stocks, including Microsoft Corp (MSFT.O), Meta Platforms Inc (META.O), Nvidia Corp (NVDA.O) and Tesla Inc (TSLA.O). The S&P 500 posted 12 new highs and two new lows; the Nasdaq recorded 93 new highs and 174 new lows.
S&P 500 stocksAll 11 S&P 500 sector indexes declined, led by real estate (.SPLRCR), down 2%, followed by a 1.91% loss in energy (.SPNY). In afternoon trading, the S&P 500 (.SPX) was down 1.20% at 3,977.86 points. Trading was mixed in other heavyweight growth stocks, including Microsoft Corp (MSFT.O), Meta Platforms Inc (META.O), Nvidia Corp (NVDA.O) and Tesla Inc (TSLA.O). Declining stocks outnumbered rising ones within the S&P 500 (.AD.SPX) by a 7.7-to-one ratio. The S&P 500 posted 11 new highs and two new lows; the Nasdaq recorded 75 new highs and 120 new lows.
"We deeply understand your anxiety in a volatile market," HZBank Wealth Management, a unit of Bank of Hangzhou (600926.SS), told investors in a letter on Wednesday. The Bank of China's (601988.SS) asset management unit also asked investors not to worry. Investors need faith and a serene heart," BOC Wealth Management said in a public letter to investors, suggesting clients view volatility "from a rational and long-term perspective." A slew of other asset managers that sell banks' wealth management products to risk-averse investors, including Nanyin Wealth Management and CIB Wealth Management, wrote similar letters of good cheer. Xu forecasts the end of Chinese bonds' bull market, with the 10-year yield rising to a one-year high around 3%.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailInvestors should remain underweight on U.S. equity market, says U.S. Bank's Lisa EricksonJJ Kinahan, IG North America CEO, and Lisa Erickson, head of the U.S. Bank Wealth Management public markets group, join CNBC's 'Squawk Box' to break down the latest market action ahead of the open.
Analysts widely expect the Fed to hike rates by 75 basis points for a fourth straight meeting in November. For the week, the S&P 500 climbed 4.74%, the Dow gained 4.89% and the Nasdaq rose 5.22%. Schlumberger (SLB.N) shot up 10.33% to help to lift the S&P 500 energy sector (.SPNY) 2.76% after reporting a quarterly profit above expectations. Advancing issues outnumbered declining ones on the NYSE by a 2.59-to-1 ratio; on Nasdaq, a 2.03-to-1 ratio favored advancers. The S&P 500 posted 9 new 52-week highs and 32 new lows; the Nasdaq Composite recorded 60 new highs and 322 new lows.
In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailAutomation may be a safe place for tech investors, says OptionsPlay's Jessica InskipRitholtz's Josh Brown, OptionsPlay's Jessica Inskip and Deutsche Bank Wealth's Deepak Puri, join 'Closing Bell: Overtime' to discuss Applied Materials outlook cut and company year-end outlook.
read moreRegister now for FREE unlimited access to Reuters.com RegisterThe gains in the consumer discretionary sector may prove fleeting. read moreStill, some investors believe inflation and growth woes may already be largely reflected in many consumer discretionary shares. "But we're seeing a lot of consumer stocks that we think will hold up and come out of this in a better position." Consumer stocks are rallying despite looming Fed hikes. Global fund managers have remained bearish on consumer discretionary stocks despite recent gains, with nearly 25% of those surveyed by BofA Global Research this month underweight the sector - the most of any group.
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