2025-08-25 18:00:40.925

Stocks experienced a mixed performance on Wall Street Monday, following a significant surge last week fueled by optimism surrounding potential interest rate cuts by the Federal Reserve. The S&P 500 remained relatively unchanged, trading near its all-time high. However, the Dow Jones Industrial Average dropped 234 points (0.5%) by midday, retreating from its record high set on Friday. Conversely, the Nasdaq composite saw a 0.3% increase. Strong performances by several major technology companies helped offset broader market losses. Alphabet, Google's parent company, climbed 2%, while Nvidia, a technology heavyweight, rose 2.1%. Keurig Dr Pepper experienced a significant 8% decline after announcing its intent to acquire JDE Peet's, the owner of Peet's Coffee, in a deal valued at approximately $18 billion. Treasury yields increased in the bond market, reversing their substantial drop on Friday, which was largely attributed to expectations of a Fed interest rate cut in September. The yield on the 10-year Treasury climbed to 4.28% from 4.25%, while the two-year Treasury yield rose to 3.73% from 3.70%. European markets largely declined, and Asian markets closed lower overnight. Wall Street maintains a strong belief that the Fed will reduce interest rates at its upcoming September meeting. CME Group data indicates an 86% probability of the central bank lowering its benchmark rate by a quarter of a percentage point. The Fed has held rates steady since late 2024 due to inflation concerns stemming from tariffs. The central bank is increasingly focused on the U.S. job market, balancing its goals of maintaining low inflation and supporting robust employment. Recent indicators suggest the job market may be stagnating or weakening, potentially prompting a rate cut. Lower interest rates typically stimulate investment and spending but could also potentially reignite inflation. Consumer confidence remains largely stable, although inflation concerns persist. The Conference Board's August consumer confidence survey, due Tuesday, and Friday's government inflation report (personal consumption expenditures price index, PCE) are highly anticipated. Economists predict the PCE will show a 2.6% increase in July compared to the previous year, consistent with June's figures and slightly above the Fed's 2% target. Several companies will release earnings updates this week, including Nvidia on Wednesday and Best Buy and Dollar General on Thursday. Retailers are under close scrutiny as Wall Street assesses the impact of tariffs on costs and prices.

2025-08-08 18:00:36.268

Stocks surged on Wall Street Friday, marking the third weekly gain in four weeks. The S&P 500 climbed 0.7%, nearing record highs, erasing losses from the previous week. The Dow Jones Industrial Average rose 223 points (0.5%), and the Nasdaq added 0.8%, reaching a new all-time high. Tech companies, including Nvidia (+0.6%) and Apple (+4.3%), significantly contributed to the market's gains. Strong second-quarter earnings reports from Gilead Sciences (+9%) and Expedia Group (+2.7%) also boosted investor confidence. Despite positive corporate earnings, concerns remain about the impact of tariffs on corporate profits. President Trump's trade war and the Federal Reserve's interest rate policy dominated the week's focus. Trump's imposition of higher import taxes and the Fed's decision to hold interest rates steady due to economic uncertainty were key factors. Pressure on Fed Chair Jerome Powell to cut rates increased with Trump's nomination of Stephen Miran to the Fed's board. Miran's expected support for lower rates increases the likelihood of a rate cut at the September meeting, which is largely anticipated by Wall Street. Treasury yields rose, with the 10-year Treasury reaching 4.28% and the 2-year Treasury at 3.75%. The expectation for a rate cut follows recent economic indicators suggesting weakening economic growth, including higher inflation in June and reduced hiring in July. The Fed aims to balance inflation control and full employment. Lower interest rates could stimulate the economy but might also exacerbate inflation. Further economic data releases next week will provide more insights into inflation and retail sales. UBS Global Wealth Management anticipates continued stock market support but acknowledges vulnerabilities to tariff, economic, and geopolitical risks. Asian markets were mostly down, except for Tokyo's Nikkei, which rose 1.9% following a tariff agreement with the U.S. European markets showed mixed results.

2025-08-07 12:00:45.827

MANILA, Philippines (AP) — World shares mostly advanced and financial markets appeared to show scant if any reaction to President Donald Trump’s higher tariffs on exports to the United States that took effect early Thursday. In early European trading, Germany’s DAX rose 0.9% to 24,137.51. In Paris, the CAC 40 added 0.8% to 7,693.36, while Britain’s FTSE 100 shed 0.3% to 9,138.96. The future for S&P 500 edged 0.5% higher while that for Dow Jones Industrial Average added 0.3%. In Asian trading, Japan’s benchmark Nikkei 225 added 0.7% to 41,059.15. Hong Kong’s Hang Seng climbed 0.7% to 25,081.63, and the Shanghai Composite added 0.2% to 3,639.67. China reported that its exports picked up in July, helped by a flurry of shipments by businesses taking advantage of a pause in Trump’s tariff war with Beijing. South Korea’s Kospi rose 0.9% to 3,227.68, while the S&P/ASX 200 in Australia shed 0.1% to 8,831.40. India’s Sensex gave up 0.8% after Trump ordered tariffs on imports from the world’s most populous nation to rise to 50%, citing its crude oil imports from Russia. Trump also declared 100% tariffs on computer chips with an exemption for U.S. investments. Apple’s shares rose 5.1% on Wednesday ahead of a White House event where it announced an increase to its U.S. investments of an additional $100 billion over the next four years. Mizuho Bank, in a commentary, said the Trump’s exemption from 100% tariffs on semiconductors for those with investments in U.S. production means some U.S. trading partners may be able to use their investments in the U.S. as a bargaining chip. Taiwan’s Taiex jumped 2.4% as shares in market heavyweight Taiwan Semiconductor Manufacturing Corp. surged 4.9%. TSMC is the world’s largest contract maker of computer chips and it has been ramping up its investments in U.S. factory capacity, helping to alleviate the impact from higher tariffs. South Korean chipmakers also saw strong gains, with Samsung Electronics jumping 2.5% after the government said its products would also be subject to the exemption. On Wednesday, a rally for Apple led Wall Street higher, with U.S. stocks reclaiming more of their sharp losses from last week. The S&P 500 rose 0.7% and the Dow added 0.2%. The Nasdaq composite climbed 1.2%. Apple alone accounted for more than a third of the S&P 500’s gain. Trading elsewhere on Wall Street was mixed following a jumble of profit reports. McDonald’s and Shopify rose following their latest updates, while Super Micro Computer tumbled after its earnings and revenue came in below analysts’ expectations. The Walt Disney Co. fell after its earnings beat forecasts but its revenue fell short. Worries are still high that Trump’s tariffs may be hurting the economy, but hopes for coming cuts to interest rates by the Federal Reserve and a parade of stronger-than-expected profit reports from U.S. companies have helped steady the market. In other dealings early Thursday, benchmark U.S. crude gained 19 cents to $64.54 a barrel. Brent crude, the international standard, added 25 cents to $67.14 a barrel. The U.S. dollar slipped to 147.10 Japanese yen from 147.36 yen. The euro cost $1.1678 up from $1.1661.

2025-08-03 00:00:38.985

Millions of student loan borrowers could see their wages garnished as early as this summer, according to TransUnion. The credit bureau estimates that by August, approximately 3 million borrowers could default on their loans, leading to the government withholding 15% of their pay. Another 2 million are projected to default by September. The Biden administration's grace period, which shielded borrowers from negative credit impacts, ended in the fall, resulting in millions experiencing credit score damage. Experts advise borrowers to check their student loan status on studentaid.gov and explore options like rehabilitation agreements or loan consolidation to avoid default. Long wait times for contacting loan servicers are reported, and contacting your congressperson is suggested as an alternative. If a borrower defaults, up to 15% of their wages can be garnished. The Department of Education has sent warnings, but hasn't specified a start date for garnishments. Borrowers facing garnishment can request a hearing to object, citing financial hardship or other reasons, within 30 days of receiving the garnishment order. Reasons for objecting include recent job loss, pending statutory discharge applications (due to school closure, unpaid refunds, disability, or bankruptcy). A hearing request may prevent garnishment, but only if made within 30 days. Requests made after the 30-day period will likely not stop the garnishment.

2025-07-01 00:00:36.95

From no-buy years to second-hand shopping, Gen Z seems to have its own unique spending habits. A global rise in the cost of living combined with a highly competitive job market means that 69% of Gen Z use some sort of budget to manage their finances. Their priorities, and what they choose to save for, are different from their boomer counterparts. Gen Z is more likely to spend money on subscriptions, from meal kits to Spotify. There’s also the trend of "doom spending", which is purchasing non-essential items to cope with either personal or wider political issues. To better understand their spending, four Gen Zers tell us about budgeting, saving and what makes them splurge. Jenna, 26, Cincinnati, Ohio Occupation: buyer for a food production company Salary: $64,000 (£47,000) Rent (including water): $1,150 (£849) This is my main expense. Fortunately, I inherited a good vehicle from my uncle which should last for 10 years or so. Also my medical and dental healthcare are provided by my employer and they reimburse me for using my mobile. I’m not working towards saving for a house as I don’t want to buy one until I’m living in an area where I know I’ll be staying for a good few years. I’m thinking of maybe going back to school to study, so I’ll probably be leaving Ohio soon. Utilities: $80 (£60) $40 for electricity $40 for internet Travel: about $195 (£144) About $85 on average for gas $110 for car insurance Retirement savings: $1,230 (£908) I came up with the goal of 25% of my pre-tax salary through research on modern money management. I mix this payment between an employer-sponsored retirement plan (401K), a Roth individual retirement account (IRA) and a health savings account (HSA). There are some suggestions that you should save 10% or 15% of your salary for retirement, but if I feel like I have a little bit extra I’ll put in 20%. I don’t think I’ll get great market returns which is why I aim for 25% as it helps me feel safe. I don’t trust that by the time I retire we’ll have a strong social security system. Food: about $475 (£351) I prefer to shop locally for my groceries which can make it more expensive. I love to cook, and I like buying the pricier grass-fed milk or small-farm eggs for $12 a dozen. As someone who works in food production, it’s worth it for me to know exactly what’s in my food. Medical/healthcare: about $309 (£230) $100 for upcoming medical procedure [not included in medical healthcare] $530 for six months of medical testing, so about $89 $120 for supplements such as painkillers, vitamins, collagen powder and protein powder Subscriptions: $15 (£12) for Spotify which is my only subscription Fitness: $40 for gym membership (£30) Cosmetic care: about $175 (£130) I don’t wear makeup but I use a ton of moisturizer due to eczema and dry skin. I guess skincare is where I “splurge”, but for me it’s worth it. Clothes: annual spend is around $500 so about $42 a month (£31) Sometimes I go months without buying anything and other times I spend $200 in one day. In May, I spent $4 for a bra at Goodwill and $62 to get two dresses tailored. I mostly buy clothes secondhand or vintage, but I’ll splurge on a new pair of jeans, because the sizing is so particular. Eating out: about $250 (£185) I’ve almost completely stopped getting takeout for myself. I only save it for social events. Although I will treat myself to a coffee once or twice a month. Most of the money I spend on meals outside the house is for my friends’ birthday dinners. Very few of my friends save as much as I do, although one of my closest friends gets to save 60% of his income through living at home. If I wanted to save more, the first thing I would cut out is probably eating out and social drinking. After that, I would swap some of my bougie food choices with alternatives from Aldi. Monthly total: about $4,139 (£3,054) Jake, 28, Seattle, Washington Occupation: customer service adviser for a campervan rental company Salary: about $700 a week so $2,800 monthly and $33,600 annually (£24,792) My income is only temporary as my job is seasonal. Prior to last month, I was barely making $1,000 a month. I finished my postgraduate degree last year and spent six months applying for jobs before graduating. It still took nearly two years before I landed my current job. My wife works as a barista and her salary is similar to mine – I just created a shared bank account for us so all our expenses come out of it. When it comes to saving, we put away money for emergency expenses like car breakdowns or vet bills. I don’t believe in having a lot of money just sitting there in a savings account. Anything I do save I plan to put in safe investments but I’m pretty pessimistic about the stock market right now. We would love to build our own small home on vacant land since housing is so unaffordable, but that’s a major long-term goal. Rent: monthly spend for my wife and me is $1,700, so alone it’s about $850 (£628) Utilities: $78 so about $39 (£29) $45 for phone $25 for internet $8 for renters’ insurance Travel: $575 so about $288 (£213) $150 for gas $250 for car insurance $100 for car repairs $75 for public transport Food and household: $285 so about $143 (£106) $250 for food $25 for bathroom supplies $10 for household supplies Dog bills: $216 so about $108 (£80) $111 for insurance $105 for food Fitness: $17 (£13) Subscriptions: $40 so about $20 (£15) $20 for Spotify $12 for Hulu $8 for Apple arcade Eating out: $100 so about $50 (£37) Monthly total: about $1,515 (£1,121) Mark, 26, Raleigh, North Carolina Occupation: data scientist for a bank Salary: $72,000 (£53,1325) I paid off my student debt about two years ago and started saving straight after I finished my undergraduate degree. I have high variable entertainment and travel costs as my significant other lives in the UK. My at-home entertainment costs are pretty low. I have no streaming services and if I do spend money, it’s mostly on going out with friends, soccer leagues and seeing movies. Rent and utilities: about $1,850 (£1,366) About $1,825 for rent $25 for phone Renting is insanely expensive. My aim is to save enough for a down payment on a house and even though I make a pretty good salary, I am still nowhere near able to afford one in an area where I want to live. Travel: $160 (£119) $60 for gas $600 for six months of car insurance, so about $100 This month it was $1,200 as I took a road trip and needed to buy new tires. Groceries: about $300 (£222) I’m at home two to three times a week so I tend to cook and bring any leftovers I have into the office. Dog bills: about $50 (£37) $10 for food About $40 for medicine and vet bills Fitness: annual spend is around $300 so about $25 a month (£19) I run, play soccer, or use the gym in my apartment block. Equipment like running shoes, football boots and league fees are the only costs and they’re pretty infrequent. Cosmetic care: about $4 (£3) I don’t really spend much on skincare or cosmetics but when I do, it definitely averages out to less than $5 a month. Clothes: I mostly thrift so spend only about $20 a month (£15) Eating out: about $100 (£74) I eat out only two or three times a week – nothing fancy. This can be higher when I’m traveling, which is fairly often. Miscellaneous: about $267 on average for four return flights a year to the UK (£197) I try to visit my partner in London every couple of months. Round-trip flights are around $800 and we spend a bit more on dates, eating out and entertainment while there, but I do have a place to stay when visiting so there are no big lodging costs. Among my friends my expenses are pretty average but it depends on where they live as my friends who live in Washington DC spend way more. Nationwide I’m definitely in the higher-earning, higher-spending category though. Monthly total: about $2,776 (£2,049) Anna, 22, Washington Occupation: part-time teacher and writer Salary: about $700 a month and $8,400 annually (£6,198) I’m self-employed and still live at home with my family so don’t have any rent or utility expenses. I’m also still on the family’s health insurance. I do not actively budget my money in terms of allocating a specific percentage for different expenses. Rather, I keep a record of my income and expenses and I adjust my spending as necessary. For me, non-essential spending is money spent on things that I can technically live without and be content, such as a special TV/streaming subscriptions, new clothes, decoration for my room, books, CDs/digital music, hobby-related goods, or “fun” purchases, like an antique. Splurges just come at random times for me. Sometimes it’s because I find something really special that I want to purchase, other times it’s because I find something that is the only one of its kind left for sale. My passions are music and history, so it’s usually one of those two things I’m spending money on. For instance, I splurged once on buying antique newspapers from the first few weeks of the second world war. Another time, I splurged on buying an antique first (and only) edition of an old English book by Jane Porter. I will also sometimes give to charities (mostly overseas) that I appreciate – more so lately. Food: $140 (£104) as I don’t eat out much at all. Savings: $455 (£336) I’m young and because of my lifestyle I don’t have certain expenses that I will probably have in a few years (like a car, gas, auto insurance etc.) so I save most of my money. Miscellaneous: about $95 (£71) for TV subscriptions and work-related software costs. Monthly total: about $690 (£510) All names have been changed

2025-06-26 06:00:54.637

The S&P 500's recent surge has brought it within striking distance of a record high, a remarkable turnaround from its near-bear market conditions just two months prior. While the index closed flat on Wednesday, its recent gains, fueled by a fragile ceasefire between Israel and Iran, have investors questioning the market's future trajectory. Concerns remain about tariffs, earnings, the federal deficit, and the impact of President Trump's policies. Despite headwinds like potential inflation from higher tariffs, some analysts believe the market has room to rise further, predicting a gradual upward trend. The year has been marked by volatility, with a sharp drop in March and April followed by a strong recovery in May and June. The market's rebound has been partly driven by the easing of trade tensions and a resurgence in tech and AI stocks, with companies like Nvidia reaching new record highs. However, some experts caution that the market's current valuation might not fully reflect underlying economic risks. Uncertainty persists regarding the long-term effects of tariffs, future economic growth, and the potential impact of upcoming earnings reports and geopolitical events. While some advise maintaining a long-term investment strategy, others highlight the need to monitor key economic indicators and potential risks.

2025-06-25 06:01:09.544

Oil prices took a sharp dive on Tuesday, falling to pre-conflict levels following a ceasefire announcement between Iran and Israel. Brent crude dropped 6.1% to $67.14 a barrel, while West Texas Intermediate crude fell 6% to $64.37 a barrel, mirroring prices before the June 13th conflict. The ceasefire, announced by President Trump, appeared fragile as Israel accused Iran of violations, claims Iran denied. Despite this, global markets reacted positively. US stocks surged, with the Dow closing up 507 points. The S&P 500 and Nasdaq also saw significant gains, nearing all-time highs. The CBOE Volatility Index dropped 12%, indicating market calm. Positive sentiment extended to Asia and Europe, with major indexes closing higher. Analysts expressed cautious optimism, with some suggesting the conflict may be over, while others warned of potential volatility if tensions re-escalate. The ceasefire eased concerns about disruptions to global oil supplies, particularly the potential closure of the Strait of Hormuz. Goldman Sachs previously estimated oil prices could exceed $100 a barrel if the strait were blocked. Experts believe the threat of severe economic consequences likely motivated both sides to agree to the ceasefire. Prior to the ceasefire announcement, oil prices had surged following the start of the conflict, reaching a five-month high last week, but experienced a significant drop after Iran's targeted missile strikes on US bases in Qatar.

2025-06-24 12:00:43.458

Following US airstrikes on Iranian targets, initial concerns sent oil prices surging 6%. However, these gains quickly evaporated as Iran's response, a missile attack on a US airbase in Qatar, did not significantly impact oil flow. The price of oil dropped 7.2% to settle at $68.51, nearly returning to pre-conflict levels. This sparked a rally in US stocks, with the S&P 500 climbing 1%, the Dow Jones Industrial Average adding 0.9%, and the Nasdaq composite gaining 0.9%. Analysts attributed the market's positive reaction to Iran's apparent lack of interest in disrupting oil supplies, a move that would harm its own economy. While some experts remain cautious about Iran's future actions, the absence of a major oil supply disruption eased market fears. Tesla's stock performance also significantly boosted the S&P 500, rising 8.2% after commencing self-driving taxi tests. Conversely, Hims & Hers Health plummeted 34.6% following Novo Nordisk's decision to end their partnership. European markets saw mixed results, while the bond market showed easing yields after a Fed governor signaled potential rate cuts.

2025-06-24 06:01:00.628

The use of Buy Now, Pay Later (BNPL) loans is becoming increasingly popular, and soon, how well you manage them could significantly affect your credit score. FICO plans to integrate BNPL data into its FICO Score 10 and FICO Score 10 T models later this year, giving lenders a clearer picture of consumers' repayment behavior. While this could help some build credit, it could also negatively impact those who overspend or misuse BNPL services. Concerns exist about the lack of regulation and the potential for overspending, particularly with the rise of "phantom debt." FICO's new approach aims to address this by aggregating BNPL data to avoid over-penalizing consumers with multiple accounts. However, the rollout might be slow due to the complexity of the credit industry and the varied adoption of different FICO scoring models. The integration of BNPL data represents a step towards a more comprehensive and accurate representation of consumer credit activity, but the full impact remains to be seen.

2025-06-13 00:00:26.721

U.S. stock indexes rose on Thursday after encouraging inflation data. The S&P 500 increased by 0.4%, the Dow Jones Industrial Average gained 101 points (0.2%), and the Nasdaq composite rose 0.2%. Oracle's strong profit and revenue fueled a 13.3% jump, offsetting Boeing's 4.8% loss following a plane crash. Easing Treasury yields, due to better-than-expected inflation and higher jobless claims, further supported the market. While the Federal Reserve is expected to hold interest rates steady next week, market sentiment anticipates a rate cut in September. President Trump's tariffs continue to be a source of uncertainty. Chime Financial saw a 37.4% surge on its first trading day, while GameStop dropped 22.5% after announcing a $1.75 billion borrowing plan. Global markets were mixed, with Hong Kong's Hang Seng index falling 1.4%.