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Stocks open higher as investors weigh earnings; Netflix slides

Stocks open higher as investors weigh earnings; Netflix slides

U.S. stocks traded mixed Wednesday as investors took in a host of quarterly earnings results and looked ahead to more data.

The S&P 500 and Dow gained to extend advances from the previous session. The tech-heavy Nasdaq Composite declined as Netflix (NFLX) shares slumped after the company posting an unexpected decline in quarterly subscriber numbers.

Netflix’s disappointing results and guidance came in the midst of an earnings season that has so far been mixed. Earlier Tuesday, Hasbro (HAS) shares gained after the company raised its margin guidance and announced new price increases to counter rising costs. Other closely watched companies missed on major metrics or guidance, however, with Lockheed Martin (LMT) posting a year-over-year revenue decline that sent shares lower following its Tuesday report, and Johnson & Johnson (JNJ) cutting its full-year profit forecast.

And last week, the big banks posted tepid quarterly results, with financials posting their weakest start to an earnings season since the first quarter of 2020, according to Bank of America data. Just over one-third of the 11 financial names that reported results in the past week topped analyst estimates on both sales and earnings per share, analysts at Bank of America said in a note.

Overall, investors this earnings season have been closely attuned to how companies have performed in the face of rampant inflationary pressures, as prices rise at their fastest rates in 40 years. While many companies have opted to raise their own prices to help offset increasingly expensive commodities, transportation and other inputs, questions remain over how long consumers will be willing to continue paying passed-on costs.

And against this backdrop, many strategists are warnings investors to continue bracing for further volatility.

“Volatility works both ways,” said Steve Sosnick, Interactive Brokers chief strategist, told Yahoo Finance Live. He added that Tuesday’s marked move to the upside was simply “socially acceptable volatility.”

“It’s volatility in the right direction,” he said. “But we’re going to have to get used to bigger moves in both directions. And not only single day moves, but sort of multi-day runs.”

—

10:00 a.m. ET: Existing home sales dip in back-to-back month

Sales of previously owned homes fell for a second consecutive month in the U.S. in March, with signs of cooling housing market activity mounting as home prices remain elevated and interest rates creep higher.

U.S. existing home sales fell by 2.7{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} in March to reach a seasonally adjusted annualized rate of 5.77 million, according to the National Association of Realtors. February existing home sales were also downwardly revised to 5.93 million, compared to the 6.02 million previously reported.

The median price for an existing home in the U.S. in March jumped 15{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} over last year to reach $375,300.

“Home prices have consistently moved upward as supply remains tight,” Lawrence Yun, chief economist at the National Association of Realtors, said in a press statement. “However, sellers should not expect the easy-profit gains and should look for multiple offers to fade as demand continues to subside.”

—

9:42 a.m. ET: Mortgage applications fall for sixth straight week as rates rise

Mortgage applications across the U.S. declined for a sixth consecutive week as rising interest rates deterred homeowners from refinancing and some new buyers from entering the market. Last week, the average 30-year fixed mortgage rate rose to reach 5{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}.

The Mortgage Bankers Association’s weekly index showed mortgage loan application volume fell 5{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} week-on-week during the period ended April 15. This came following a 1.3{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} decline during the previous week.

Refinances were down by 8{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from the previous week and slid 68{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} versus the comparable week last year. Meanwhile, purchases were down 3{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from a week earlier. On a seasonally unadjusted basis, purchases were also down by 14{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} over last year.

“The recent surge in mortgage rates has shut most borrowers out of rate/term refinances, causing the refinance index to fall for the sixth consecutive week,” Joel Kan, MBA associate vice president of economic and industry forecasting, said in a press statement Wednesday. “In a housing market facing affordability challenges and low inventory, higher rates are causing a pullback or delay in home purchase demand as well. Home purchase activity has been volatile in recent weeks and has yet to see the typical pick up for this time of the year.”

—

9:30 a.m. ET: Stocks open higher

Here’s where markets were trading shortly after the opening bell Wednesday morning:

  • S&P 500 (^GSPC): +24.30 (+0.54{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,486.51

  • Dow (^DJI): +269.29 (+0.77{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 35,180.49

  • Nasdaq (^IXIC): +39.37 (+0.29{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 13,658.39

  • Crude (CL=F): +$0.68 (+0.66{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $103.24 a barrel

  • Gold (GC=F): -$10.70 (-0.55{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,948.30 per ounce

  • 10-year Treasury (^TNX): -2.5 bps to yield 2.89{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

—

9:06 a.m. ET: Procter and Gamble shares rise after sales guidance tops estimates, as price hikes help offset rising costs

Shares of Procter & Gamble (PG) rose Wednesday morning after the consumer staples giant posted fiscal third-quarter results and full-year guidance that exceeded Wall Street’s estimates. The results appeared to affirm that Procter & Gamble’s last round of price hikes announced earlier this year were helping boost sales and counteract some of the impact of rising input costs.

For the third quarter, net sales came in at $19.38 billion, topping estimates for $18.73 billion, according to Bloomberg consensus data. This revenue beat was in turn led by fabric and home care segment sales of $6.7 billion, which includes brands like Tide and Downy. Company-wide organic revenue grew 10{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}, or well above the 6.2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} rise anticipated.

P&G also said it saw full-year organic revenue rising between 6{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} and 7{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}, or better than the 5.5{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} increase anticipated. The company still sees its core earnings per share coming in at as much as $6.00 for the full fiscal year.

—

7:06 a.m. ET: Stock futures head for mixed open

Here were the major moves in markets Wednesday morning:

  • S&P 500 (^GSPC): +3.75 (+0.08{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,463.00

  • Dow (^DJI): +63 (+0.18{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 34,904.00

  • Nasdaq (^IXIC): -9.75 (-0.07{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 14,207.5

  • Crude (CL=F): +$0.73 (+0.71{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $103.29 a barrel

  • Gold (GC=F): -$3.90 (-0.2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,955.10 per ounce

  • 10-year Treasury (^TNX): -5 bps to yield 2.865{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

—

6:12 p.m. ET: Stock futures open lower

Here’s where stocks were trading Tuesday evening:

  • S&P 500 futures (ES=F): -18.5 points (-0.41{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,440.75

  • Dow futures (YM=F): -59 points (-0.17{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 34,782.00

  • Nasdaq futures (NQ=F): -124 points (-0.87{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 14,093.25

NEW YORK, NEW YORK - APRIL 12: Traders work on the floor of the New York Stock Exchange during morning trading on April 12, 2022 in New York City. Data released this morning showed that inflation rose 8.5 percent in March, the highest annual increase since December 1981, amid energy prices soaring due to Russia's war in Ukraine. (Photo by Michael M. Santiago/Getty Images)

NEW YORK, NEW YORK – APRIL 12: Traders work on the floor of the New York Stock Exchange during morning trading on April 12, 2022 in New York City. Data released this morning showed that inflation rose 8.5 percent in March, the highest annual increase since December 1981, amid energy prices soaring due to Russia’s war in Ukraine. (Photo by Michael M. Santiago/Getty Images)

—

Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter.

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Some Companies Pull Back on Securitizations as Investors Seek Higher Yields

Some Companies Pull Back on Securitizations as Investors Seek Higher Yields

Some corporations that tap the securitization sector for income are pulling again as rising curiosity prices and the war in Ukraine outcome in investors demanding greater yields.

Fintech loan provider

Affirm Holdings Inc.

and automobile financial institution World Omni Economical Corp. are illustrations of companies that just lately pulled or delayed prepared transactions.

Organizations package deal selected styles of shopper and commercial personal debt these types of as car and credit-card loans into securities and provide them to buyers. Issuance of these asset-backed securities in the U.S. dropped 45{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} this year through March, to $79.4 billion, compared with the identical interval a yr back, according to facts collected by the Securities Marketplace and Money Marketplaces Affiliation. The decline was mostly because of to reduced issuance of securities backed by company financial debt. Other variables this kind of as a drop in bank loan originations or purchaser self confidence can affect over-all issuance.

By comparison, U.S. corporate bond issuance dipped 14{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} above the very same interval, to $521.8 billion, in accordance to SIFMA.

Brooke Main-Reid, chief money officer at Affirm.



Picture:

Affirm Holdings Inc.

Affirm, which specializes in acquire-now-pay-later transactions, final thirty day period made the decision not to go ahead with a deal right after determining that it wouldn’t get the pricing it preferred, said Brooke Key-Reid, Affirm’s chief money officer. The $500 million offer would have refinanced existing debt, relatively than provided new funding. Ms. Important-Reid declined to supply additional pricing details.

Affirm in recent several years has significantly relied on securitizations to fund its fast development, viewing the industry as providing a somewhat economical resource of funding. As of Dec. 31, Affirm had funded about a 3rd of its $6.3 billion bank loan portfolio with securitizations. The remainder was funded with a blend of direct-financial loan profits and warehouse funding, in which the corporation borrows against its consumer-financial loan balances.

“There’s no dilemma threat is becoming repriced,” Ms. Main-Reid said, introducing that demand for Affirm’s financial loans remains sturdy, and that the organization will re-enter the market place when it is opportunistic to do so.

Spreads, or the normal more yield more than a benchmark rate, on asset-backed securities have widened because the commencing of the calendar year and specially in the earlier two months across distinctive sectors, from credit score playing cards to vehicle loans, and specially for riskier consumer financial loans. Traders are examining the affect of larger premiums and whether they are having on additional risks—for occasion, if the war in Ukraine slows economic progress, or growing inflation has an effect on bank loan-repayment fees.

For instance, spreads on three-calendar year, triple-A-rated bonds backed by vehicle financial loans with prime credit score scores increased by .33 percentage level in between Feb. 3 and April 7, in accordance to

JPMorgan Chase

& Co., whose information established largely handles U.S. customer and industrial securitizations that are rated by at minimum just one credit score-scores organization. About the exact same interval, spreads on three-12 months triple-B bonds backed by subprime auto loans rose .50 proportion position, according to JPMorgan.

Earth Omni Economical, an automobile-finance business, earlier this thirty day period introduced and priced a $926.5 million securitization that it resolved in mid-March to restructure following a sharp improve in Treasury yields, stated

Eric Gebhard,

group vice president of finance and treasurer at JM Household Enterprises Inc., Earth Omni’s parent enterprise. The yield on govt bonds rose to multiyear highs past thirty day period, reflecting investors’ expectations of additional interest-charge will increase from the Federal Reserve.

The transaction “was delayed because the sharp rise in benchmark prices built the securitization composition inefficient,” Mr. Gebhard explained, noting that the restructured offer provides buyers with cushion against hazard. The business usually intended to re-enter the market right after pulling the deal past thirty day period, he mentioned.

Businesses that regularly use the securitization marketplace are re-assessing no matter whether right now is the finest time to do so amid weaker trader need as opposed with prior quarters, mentioned Richard Bianchi, managing director of worldwide business enterprise enhancement at DBRS Morningstar, a rankings firm. “Right now the trader base is a little bit shallow—there’s not as substantially money chasing the deals,” Mr. Bianchi reported, talking broadly about the marketplace.

Though big lenders have other funding options at hand, some scaled-down creditors that depend on securitizations are seeking for the ideal time to do a offer, Mr. Bianchi mentioned.

Buyers are turning extra cautious and scrutinizing macro-level challenges, like late payments on some sorts of purchaser loans that are setting up to boost, though from historic lows previously on during the pandemic when men and women made use of stimulus cash to increase their cost savings and spend down debt, stated Adam August, vice president in the securitized merchandise team at TCW Team Inc., an financial investment business.

“Winds are altering,” Mr. August mentioned. TCW hasn’t produced significant adjustments to its investment tactic, he stated.

Loan provider

SoFi Systems Inc.

commenced relying significantly less on the securitization sector just before its most recent risky stint, Main Government

Anthony Noto

mentioned at a March 22 investor convention. The company, which previously this 12 months received a lender charter, funds its loans with deposits, full loan sales and warehouse facilities, Mr. Noto stated. SoFi doesn’t publish info on the quantity of loans that it securitizes or sells, or the breakdown of the funding resources it utilizes.

“We get advantage of that market place if the pricing is correct,” Mr. Noto stated at the convention, referring to securitizations.

Publish to Kristin Broughton at Kristin.Broughton@wsj.com

Copyright ©2022 Dow Jones & Organization, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8

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Student loans ‘not working as a way to finance higher education,’ expert argues

Student loans ‘not working as a way to finance higher education,’ expert argues

The Biden administration has extended the payment pause on federally-backed pupil loans. Although this offers some short term reduction for debtors right up until payments must resume on August 31, a person professional reported it’s time to rethink how persons shell out for faculty altogether.

“What we want to do is we will need to glimpse at this crisis, and we need to study from it — scholar mortgage credit card debt is not doing work as a way to finance greater instruction,” Persis Yu, running counsel and plan director at the Pupil Borrower Security Center, explained to Yahoo Finance Reside (video clip above).

“The major lesson that we need to consider away from this is that as a culture, as a country: We want to go absent from credit card debt-financed training,” Yu added.

Meanwhile, excellent student financial debt has risen to close to $1.7 trillion and is held by 43 million debtors.

While payments on federal college student financial loan personal debt have been paused due to the fact March 2020, lawmakers and advocates these types of as Yu are inquiring for greater adjustments to be released to the scholar loan procedure, these kinds of as the mass cancellation of student debt.

Senator Elizabeth Warren speaks during a news conference held to reintroduce a resolution to cancel up to $50,000 of student loan debt, at the Capitol in Washington, U.S., February 4, 2021. REUTERS/Kevin Lamarque

Senator Elizabeth Warren speaks throughout a information convention held to reintroduce a resolution to terminate up to $50,000 of student personal loan financial debt, at the Capitol in Washington, U.S., February 4, 2021. REUTERS/Kevin Lamarque

Democrats, for occasion, have continually urged the president to do much more.

“The payment pause has been a major federal financial investment during the pandemic, giving crucial aid to thousands and thousands of people for the duration of the financial and general public health disaster and preserving them an regular of $393 for every thirty day period,” a new letter from notable Democrats mentioned. It went on to say that most borrowers “are not financially organized to shoulder a further invoice as they face skyrocketing prices for requirements like food and gasoline.”

Yu mentioned that there are deep-rooted issues inside of the student mortgage machinery.

For occasion, a modern investigation by NPR disclosed that university student loan servicers struggled to carry out income-pushed repayment (IDR), which is a important way reduced-cash flow borrowers look for reduction on their student financial loans through hard money intervals. IDR ties a borrower’s regular monthly repayment to his or her revenue — and with out any cash flow, the debtor’s payments fall to $.

The investigation also observed systematic mismanagement among college student loan servicers. Some suppliers ended up not obviously tracking IDR payments and did not know when debtors skilled for forgiveness.

And according to Yu’s possess research from her earlier company, the National Shopper Law Center, despite millions of pupil debtors qualifying for forgiveness beneath IDR phrases, which stipulate that debtors who pay for 20-25 many years can have the relaxation of their personal debt forgiven, only 32 have actually experienced their personal debt cancelled.

In her look at, cancellation is the only way to produce a much more economical system and present borrowers with a contemporary start off.

“The university student loan program has been damaged for a very lengthy time,” Yu reported. “The president ought to not flip on a broken student mortgage system. So we are inquiring the president to supply widespread cancelation. That’s a person of the very first techniques in fixing a damaged scholar personal loan technique. We should not be putting folks back again into credit card debt that they genuinely will not have any excellent hopes of repaying.”

—

Aarthi is a reporter for Yahoo Finance. She can be reached at aarthi@yahoofinance.com. Adhere to her on Twitter @aarthiswami.

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Stocks open higher after Powell hints at more aggressive rate hikes

Stocks open higher after Powell hints at more aggressive rate hikes

U.S. stocks advanced Tuesday as investors continued to weigh hawkish remarks from Federal Reserve Chair Jerome Powell alongside the ongoing war in Ukraine.

The S&P 500 inched 0.4{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} higher to 4,479.19 as of 9:32 a.m. ET, and Dow Jones Industrial Average gained 150 points, or about 0.44{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}, to 34,705.81. The Nasdaq Composite ticked up 0.42{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} to 13,897.12. The moves follow a choppy session Monday that saw all three indexes cap last week’s winning streak to close lower after Powell signaled the central bank was prepared to act more aggressively to rein in inflation. Meanwhile, the 10-year U.S. Treasury climbed to yield 2.372{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}.

The Fed’s top leader reiterated in comments at the National Association for Business Economics Monday that policymakers will lean into higher short-term interest rates “as needed” to mitigate fast-rising price levels, with a goal of bringing inflation back down to an annual pace of about 2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} while maintaining low unemployment.

“The choppiness is directly related to the comments,” Robert Schein, chief investment officer at Blanke Schein Wealth Management, told Yahoo Finance Live on Monday. “As soon as Federal Reserve Chairman Jerome Powell stated that exact commentary today, markets sold off.”

The Fed is “going to tighten until something breaks,” he added. “That’s either breaking the back of inflation or growth is going to slow.”

Powell’s comments come just a week after investors met the central bank’s long-anticipated move to lift its benchmark Federal Funds Rate by 0.25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} (to a target range of 0.25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} to 0.50{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) with temporary relief after the bump came in on par with what market participants had expected.

Despite providing some clarity to traders who for months have waited for the Fed to take steps forward on tightening monetary conditions, geopolitical turmoil in Eastern Europe and its economic toll continue to muddy the bank’s path ahead in fighting inflation. The Fed is also tasked with beginning quantitative tightening, or rolling assets off its nearly $9 trillion balance sheet.

The CPI print is “not going to look kind,” Allianz Investment Management’s head of ETFs Johan Grahn told Yahoo Finance Live. “That will be the indicator that the Fed is going to hang their hat on.”

Russia’s war in Ukraine also continued to be front-and-center for investors. As of Monday, Ukraine refused to surrender its heavily-attacked port city of Mariupol to Russian forces as the civilian death toll climbed. Energy and commodity prices spiked amid the latest developments in Russia’s war in Ukraine.

U.S. crude oil prices soared more than 6{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} at session highs to top $112 per barrel, and Brent crude, the international standard, rose above $116 per barrel. Elsewhere in commodities markets, aluminum, palladium and wheat prices also gained on Monday.

Officials in both countries have sporadically signaled a possible negotiation but attempts at talks have so far proven unsuccessful. Ukrainian President Volodymyr Zelenskyy warned recently that if discussions with Vladimir Putin failed, it could mean the start of a third world war.

—

9:30 a.m. ET: Stocks open higher as investors continue to weigh Fed inflation comments

Here’s how stocks opened at the start of Tuesday’s trading session:

  • S&P 500 (^GSPC): +15.12 (+0.34{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,476.30

  • Dow (^DJI): +194.36 (+0.56{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 34,747.35

  • Nasdaq (^IXIC): +22.26 (+0.16{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 13,860.72

  • Crude (CL=F): +$0.32 (+0.29{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $112.44 a barrel

  • Gold (GC=F): -$3.80 (-0.20{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,925.70 per ounce

  • 10-year Treasury (^TNX): +5.7 bps to yield 2.3720{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

—

7:23 a.m. ET: Bitcoin hits $42,000 as hedge fund Bridgewater plans foray into crypto

Bitcoin (BTC-USD) topped the $42,000 mark following news Ray Dalio’s Bridgewater Associates, the world’s biggest hedge fund, is set to invest in the digital asset.

The coin’s price jumped 3.7{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} to $42,888.33 Tuesday morning as of 7:20 a.m. ET.

Ethereum (ETH-USD) also gained on the news, rising 3.7{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} to $3,022.01 as of early Tuesday. The cryptocurrency advanced 16.5{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} in a week to $3,020 after its co-founder Vitalik Buterin appeared on the front cover of Time magazine.

Bridgewater’s plan to invest in bitcoin underscores the faith institutional finance has in a long-term upward trajectory for the cryptocurrency. The hedge fund is one of several professional investment management firms adding bitcoin to their investment portfolios.

Ray Dalio, Bridgewater's Co-Chairman and Co-Chief Investment Officer speaks during the Skybridge Capital SALT New York 2021 conference in New York City, U.S., September 15, 2021. REUTERS/Brendan McDermid

Ray Dalio, Bridgewater’s Co-Chairman and Co-Chief Investment Officer speaks during the Skybridge Capital SALT New York 2021 conference in New York City, U.S., September 15, 2021. REUTERS/Brendan McDermid

—

7:00 a.m. ET: Contracts on S&P 500, Dow, and Nasdaq edge higher after Powell remarks

Here were the main moves in markets ahead of Tuesday’s open:

  • S&P 500 futures (ES=F): +16.00 points (+0.36{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,468.25

  • Dow futures (YM=F): +169.00 points (+0.49{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 34,605.00

  • Nasdaq futures (NQ=F): +46.25 point (+0.32{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 14,416.75

  • Crude (CL=F): -$0.62(-0.55{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $111.50 a barrel

  • Gold (GC=F): -$1.90 (-10.00{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,927.60 per ounce

  • 10-year Treasury (^TNX): +0.00 bps to yield 2.315{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

—

6:00 p.m. ET Monday: Stock futures tick slightly higher after indexes snap winning streak

Here’s where markets were trading heading into the overnight session Monday:

  • S&P 500 futures (ES=F): +4.00 points (+0.09{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,456.25

  • Dow futures (YM=F): +47.00 points (+0.14{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 34,483.00

  • Nasdaq futures (NQ=F): +16.75 point (+0.12{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 14,387.25

  • Crude (CL=F): +$0.78 (+0.70{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $112.90 a barrel

  • Gold (GC=F): +$6.80 (+0.35{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,936.30 per ounce

  • 10-year Treasury (^TNX): +4.3 bps to yield 2.191{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

NEW YORK, NEW YORK - MARCH 16: Traders work on the floor of the New York Stock Exchange (NYSE) on March 16, 2022 in New York City. The Dow started off the day in positive territory, extending yesterday's rally. (Photo by Spencer Platt/Getty Images)

NEW YORK, NEW YORK – MARCH 16: Traders work on the floor of the New York Stock Exchange (NYSE) on March 16, 2022 in New York City. The Dow started off the day in positive territory, extending yesterday’s rally. (Photo by Spencer Platt/Getty Images)

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Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc

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How to stretch your budget as inflation pushes prices higher | News

How to stretch your budget as inflation pushes prices higher | News







Money.jpg

MADISON (WKOW) — A important measure of inflation arrived at a 40-year-high in February, and money analysts warn we need to all brace for charges to keep rising because of Russia’s invasion of Ukraine. 

“The new runup that we’ve observed in commodity products and solutions, most notably oil, but also other agricultural commodities, that’s not a little something that’s still absolutely mirrored,” Greg McBride, the chief money analyst for Bankrate.com, stated. “So, at this place, it looks like further acceleration up coming month and it’s possible for the following pair of months is all but guaranteed.”

That’s a about assessment, and economical planner Audrey Blanke mentioned it is really ordinary to get worried when prices rise this considerably. 

“It is simple when the headlines are flashing and you see the term ‘inflation,’ gas costs, ‘crisis’ to adhere your head in the sand and variety of shy away from it, but I believe tackling it head on is seriously the greatest way to do it,” she stated. 

Blanke stated the best way to deal with your income is to set a finances and adhere to it. 

If you don’t currently have a funds, she claimed an simple 1st stage is to glimpse at your lender statement or credit history card invoice to see a straightforward breakdown of the classes wherever you expend cash. 

1 major expenditure for several people today appropriate now is groceries. Grocery prices jumped 1.4{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from January to February and ended up up 8.6{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} from February 2021. 

Blanke stated becoming intentional about the food items you obtain can support trim your monthly expenditures. 

“A whole lot of homes may perhaps not understand how substantially do they truly waste,” she said. “I feel coordinating as you are heading to the grocery shop is a single truly uncomplicated move to help you save money.”

She also recommends persons just take advantage of the price discounts feasible from purchasing in bulk. 

“For smaller homes, it is really a small bit tougher to justify, and in those people cases, I would typically counsel attempting to coordinate with your neighbors, your good friends, to try out to get some of people personal savings that come with obtaining in bulk,” she reported. 

Blanke reported she’s also noticing far more families cutting back how a lot they expend on entertainment by rotating their streaming subscriptions in its place of spending for many providers just about every thirty day period.

“[They’re] starting with just one app or streaming company for several months and then in fact canceling that and switching out,” she said. “If you know when your preferred clearly show is likely to be coming out with a new year, which is when you go and terminate the other a person and sign up to watch your new clearly show.”

The Federal Reserve says it is planning on raising curiosity prices this year in an work to provide down inflation, but it truly is not a easy undertaking. If premiums increase too gradually, there is not going to be a marked influence on inflation. But if fascination prices increase far too speedily, you can find a hazard that could cause a economic downturn. 

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Stocks turn higher ahead of busy earnings, data week

Stock rose during a choppy session at the start of another busy week for corporate earnings and fresh economic data, as investors continue to assess the Federal Reserve’s path forward for monetary policy.

The S&P 500 extended gains after posting its best weekly rise of the year last week. The Dow also turned positive, while the Nasdaq was little changed in afternoon trading.

After last week’s rollercoaster trading — with stocks sliding following Meta Platforms’ (FB) disappointing outlook, and then rebounding sharply following Amazon’s (AMZN) earnings beat — investors are poised to receive another hefty batch of corporate earnings results. Companies including Disney (DIS) to Uber (UBER), Lyft (LYFT), Pfizer (PFE) and Coca-Cola (KO) are each set to report quarter results in the coming days. Peloton (PTON) will also post results amid reports that companies including Amazon and Nike (NKE) are considering making bids to purchase the fitness technology company.

Heading into this week, just over half of S&P 500 companies had reported actual quarterly earnings results. The expected growth rate for aggregate S&P 500 earnings stood at 29.2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}, according to data from FactSet on Friday. If maintained for the next several weeks of the earnings season, this would mark the fourth straight quarter that earnings grow by more than 25{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}.

And on the economic data front, this week’s Consumer Price Index (CPI) due out Thursday will serve as one key report helping market participants determine the next moves from the Federal Reserve to curb rising prices.

Consensus economists are looking for the CPI to rise by 7.2{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} on an annual basis for January, marking the fastest rise in prices since 1982. Such a result would further add fuel to the narrative that the U.S. economy has recovered sufficiently, and is now running hot enough, to warrant an aggressive pivot to tightening from the Fed. Last week’s much better-than-expected jump in payrolls in the Labor Department’s January jobs report also underscored the extent of the recovery.

“Following the stunning performance of the January employment report, the coming week’s key release is likely to be Thursday’s January CPI report as it will provide policymakers and market participants insight about inflation amid furthering signs of persistent, elevated price pressures that, in turn, support expectations for hawkish monetary policy actions initiating in March,” Sam Bullard, Wells Fargo senior economist, wrote in a note on Sunday.

“Further increases in inflation expectations, particularly longer-term expectations, would only add more pressure on the Fed to act in March and uncertainty over the path of rate hikes,” he added.

And indeed, market participants have increasingly priced in the likelihood that the Federal Reserve will ultimately raise interest rates five times in 2022, marking an increase from the just three interest rate hikes the central bank itself had telegraphed in December. Some investors have also suggested that the Fed might hike rates by 50 basis points after its March policy-setting meeting rather than by a quarter-point, which would mark the first move of such a magnitude since 2000.

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2:21 p.m. ET: Stocks rise in intraday trading

Here’s where stocks were trading Monday afternoon:

  • S&P 500 (^GSPC): +6.33 (+0.14{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,506.86

  • Dow (^DJI): +147.16 (+0.42{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 35,236.90

  • Nasdaq (^IXIC): +1.44 (+0.01{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 14,099.44

  • Crude (CL=F): -$1.17 (-1.27{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $91.14 a barrel

  • Gold (GC=F): +$14.00 (+0.77{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,821.80 per ounce

  • 10-year Treasury (^TNX): -1.1 bps to yield 1.921{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

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12:16 p.m. ET: Meta Platforms shares slide for third straight day

Shares of Meta Platforms (FB) tracked toward a third consecutive day of declines, with the stock’s cumulative drop over this period nearing 30{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}.

The stock has continued to slide in the aftermath of the company’s disappointing quarterly outlook delivered last Wednesday afternoon. Meta Platforms said it expected to have first quarter sales come in between $27 billion and $29 billion, falling short of the $30.25 billion consensus analysts were expecting. Daily active users and monthly active users each also fell short of expectations for the fourth quarter.

Meta Platforms cited a combination of increased competition from other social media players like TikTok and Snap, and changes to Apple’s iOS privacy system, for the disappointing results.

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10:16 a.m. ET: Bitcoin prices extend gains, topping $43,000

Bitcoin prices (BTC-USD) rose for a fifth straight day on Monday, heading for its longest winning streak since early September as a rebound in equities and other risk assets extended to cryptocurrencies.

Prices for the largest cryptocurrency by market capitalization were up 5{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} to more than $43,400 Monday morning in New York. This brought Bitcoin to its highest level since January 15, according to Bloomberg data.

Other smaller cryptocurrencies also rallied. Prices for the meme coin Shiba Inu (SHIB-USD) jumped nearly 40{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} Monday morning, while Solana (SOL-USD) gained nearly 8{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}.

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9:38 a.m. ET: Peloton shares gain 27{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} amid acquisition reports

Peloton (PTON) shares rose by nearly 30{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} just after market open Monday morning amid reports that the fitness technology company had attracted interest among several major companies for a potential takeover.

The Financial Times and Wall Street Journal reported Friday that both Nike and Amazon were considering making bids to purchase Peloton. Peloton shares have fallen 83{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996} over the past 52 weeks as the company signaled demand was beginning to wane for its connected at-home stationary bike and treadmill products. The company has also recently received a sharp rebuke from activist investment firm Blackwells Capitals, which called for Peloton CEO John Foley to be removed amid the stock’s slide.

Despite the stock pop following reports of the deal, some Wall Street analysts expressed skepticism that such a deal would actually go through.

“We believe any deal is unlikely given (i) PTON’s dual class share structure, with a handful of insiders holding the vast majority of super-voting shares; (ii) co-founder / CEO Foley’s long-term vision for capturing burgeoning Connected Fitness TAM [total addressable market] is still in early innings, with expansion across verticals & geos in coming years, as well as likely higher penetration of broader home fitness market over time; and (iii) poor potential fit with reported suitors, including Amazon,” Cowen analyst John Blackledge wrote in a note early Monday.

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9:31 a.m. ET: Stocks rise at the open

Here’s where stocks were trading just after the opening bell:

  • S&P 500 (^GSPC): +6.67 (+0.15{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 4,504.12

  • Dow (^DJI): +57.38 (+0.16{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 35,147.12

  • Nasdaq (^IXIC): +15.79 (+0.11{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 14,113.80

  • Crude (CL=F): -$0.81 (-0.88{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $91.50 a barrel

  • Gold (GC=F): +$8.70 (+0.48{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,816.50 per ounce

  • 10-year Treasury (^TNX): -1.3 bps to yield 1.919{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

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7:34 a.m. ET: Monday: Stock futures mostly higher

Here’s where markets were trading Monday morning:

  • S&P 500 futures (ES=F): +3 points (+0.07{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}), to 4,495.50

  • Dow futures (YM=F): -4 points (-0.01{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}), to 34,974.00

  • Nasdaq futures (NQ=F): +23.25 points (+0.16{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to 14,708.75

  • Crude (CL=F): -$0.69 (-0.75{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $91.62 a barrel

  • Gold (GC=F): +$6.30 (+0.35{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}) to $1,814.10 per ounce

  • 10-year Treasury (^TNX): -0.7 bps to yield 1.925{21df340e03e388cc75c411746d1a214f72c176b221768b7ada42b4d751988996}

NEW YORK, NEW YORK - FEBRUARY 04: Traders work on the floor of the New York Stock Exchange (NYSE) on February 04, 2022 in New York City. Following a strong jobs report, stocks still slid in morning trading with the Dow Jones Industrial Average down over 60 points as volatility in tech markets unsettled investors. (Photo by Spencer Platt/Getty Images)

NEW YORK, NEW YORK – FEBRUARY 04: Traders work on the floor of the New York Stock Exchange (NYSE) on February 04, 2022 in New York City. Following a strong jobs report, stocks still slid in morning trading with the Dow Jones Industrial Average down over 60 points as volatility in tech markets unsettled investors. (Photo by Spencer Platt/Getty Images)

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Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter