Good morning. The Federal Reserve will raise interest rates another 0.75 percent after its...
It's the monthly jobs numbers today and they're not going to be pretty and will be possibly the tip of the iceberg as we head into May.
| | | | DOW 29,296.79 | -2.11% | | | | S&P 3,639.66 | -2.80% | | | | NASDAQ 10,652.40 | -3.80% | | | | *As of market close | | • | Markets sank on Friday, following the latest jobs report. | | • | Oil rose 4.6 percent, closing at $92.55 per barrel. | | • | Gold dropped 1 percent, last going for about $1,702 per ounce. | | • | Cryptocurrencies traded lower, with Bitcoin at $19,469 at the stock market close. | | | | | | | | | | Keep Investing in Trends Holding Up Now | | | | Many sectors and stocks that soared in the recent bull market have been leading them lower as sentiment has shifted. However, some areas are holding up better than others, and are even thriving as they're well-suited to an inflationary environment. While the energy sector has been one clear winner this year, companies involved in food production have fared well too, thanks to rising agricultural prices overall and concerns over supply chains. » FULL STORY | | | | | | Insider Trading Report: Redfin Corp (RDFN) | | | | James Slavet, a director at Redfin Corp (RDFN), recently picked up 6,667 shares. The buy increased his holdings by 3.3 percent, and came to a total purchase price of just under $39,000. This follows up on a 100,000 share buy from the director back in September. Other directors were buyers back in May, at a price about 50 percent higher than where shares trade today. Most executives have been sellers of shares in the past three years, although the selling has slowed this year. » FULL STORY | | | | | | Unusual Options Activity: QuantumScape Corporation (QS) | | | | Shares of battery technology company QuantumScape Corporation (QS) are down nearly 60 percent over the past year. One trader sees further downside in shares over the coming months. That's based on the January 2023 $9 puts. With 102 days until expiration, 11,148 contracts traded compared to a prior open interest of 176, for a 63-fold rise in volume on the trade. The buyer of the puts paid $1.67 to make the downside bet.
» FULL STORY | | | | | | • | Unemployment Drops to 3.5 Percent
263,000 jobs were added in the US in September, according to the latest Labor Department data. That's a slight slowdown from the 315,000 jobs added in August. However, it's still enough job growth to send the unemployment rate down to 3.5 percent, and a sign that the Fed will continue to raise interest rates to slow the economy. | | | | • | Siegel Warns on Recession
Wharton professor Jeremey Siegel has warned that the Fed is raising interest rates too quickly, which could lead to a recession. He views that as a bigger problem for the economy than inflation itself, and that the Fed should be near the end of its rate hike cycle, as inflation is likely to come down from here. | | | | • | Tyson Foods Announces Move to Arkansas
Tyson Foods (TSN) is planning on closing its headquarters in Chicago, with a move to Arkansas. Roughly 1,000 employees in three offices will be relocated. Tyson is the latest big company to close its offices in Chicago, including Boeing (BA) and Caterpillar (CAT), citing high crime among other challenges. | | | | • | $100 Million Stolen Off of Binance in Blockchain Hack
Cryptocurrency exchange Binance reported that about $100 million was stolen off of the platform due to a hack on the Binance Smart Chain blockchain network. The network allows the transfer of digital assets and other information between independent blockchains. | | | | • | Visa Expands FTX-Linked Debit Cards
Credit card provider Visa (V) is expanding its partnership with cryptocurrency exchange FTX, by increasing FTX-branded debit cards. Currently, over 65 platforms and exchanges have partnered with Visa to offer crypto-related debit cards. | | | | | | TOP | | DXCM | 7.384% | | | PCG | 2.085% | | | HAL | 2.046% | | | MKC | 1.929% | | | LHX | 1.751% | | | BOTTOM | | AMD | 13.994% | | | CVS | 10.428% | | | GNRC | 8.463% | | | MPWR | 8.233% | | | NVDA | 7.957% | | | | | | | | | With inflation running well above our 2 percent longer-run goal, restoring price stability likely will require ongoing rate hikes and then keeping policy restrictive for some time until we are confident that inflation is firmly on the path toward our 2 percent goal. At some point, as we continue to tighten monetary policy, it will become appropriate to slow the pace of increases while we assess the effects of our cumulative tightening on the economy and inflation. In any case, the path of policy should depend on how quickly we make progress toward our inflation goal. | | - Lisa Cook, Federal Reserve governor, on why the central bank needs to continue to raise interest rates to bring inflation down towards a goal of 2 percent. | | |
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