(These are the market notes on today’s action by Mike Santoli, CNBC’s Senior Markets Commentator. See today’s video update from Mike above.) The core tenets of the bullish case for stocks were all on display and up for a test today: Insatiable AI-buildout demand, a Fed lowering rates as a precaution rather than an emergency response and a settling down of trade frictions. Most evidence is coming through with a positive tilt, confirming consensus assumptions, though the muddled market action and hawkish tone from Fed Chair Jerome Powell suggest plenty of good news was largely priced in for the moment,…
Author: usaeverydaylife
A customer carries a Chipotle bag in San Francisco, California, US, on Friday, Jan. 31, 2025. David Paul Morris | Bloomberg | Getty ImagesChipotle Mexican Grill on Wednesday reported quarterly revenue that fell short of expectations and cut its same-store sales forecast for the third straight quarter.Chipotle is expecting its full-year same-store sales to shrink by a low-single digit percentage in fiscal 2025. That’s a big change from February, when the burrito chain was projecting same-store sales would grow by a low- to mid-single digit percentage.CEO Scott Boatwright said the company is seeing “consistent macroeconomic pressures.” Traffic fell by 0.8%, the third straight…
Federal Reserve Chair Jerome Powell speaks during a news conference following a meeting of the Federal Open Market Committee at the Federal Reserve on Oct. 29, 2025 in Washington, DC. Alex Wong | Getty ImagesFederal Reserve Chair Jerome Powell said on Wednesday that the artificial intelligence boom is different from the dotcom bubble of the late 1990s.”This is different in the sense that these companies, the companies that are so highly valued, actually have earnings and stuff like that,” Powell said, during a news conference following the Fed’s two-day policy meeting. AI investments in data centers and chips are also…
Treasury yields gained even after the Federal Reserve cut rates for a second time this year as central bank chief Jerome Powell indicated another easing in December was far from certain.The benchmark 10-year Treasury yield was 7 basis points higher at 4.054%. The 2-year Treasury note yield added 9 basis points to 3.582%. The 30-year bond yield rose 5 basis points to 4.598%.One basis point equals 0.01% and yields and prices move in opposite directions.Rates jumped after Powell said the following: “In the committee’s discussions at this meeting, there were strongly differing views about how to proceed in December. A further reduction in the policy rate at…
This is a comparison of Wednesday’s Federal Open Market Committee statement with the one issued after the Fed’s previous policymaking meeting in September.Text removed from the September statement is in red with a horizontal line through the middle.Text appearing for the first time in the new statement is in red and underlined.Black text appears in both statements.Zoom In IconArrows pointing outwards Source link
The traditional 60/40 portfolio of stocks and bonds no longer delivers the returns investors need, pushing more money into alternatives such as hedge funds and private credit, according to Jim DeWolfe, co-founder and chief investment officer at Northside Capital. Over the past 35 years, the classic 60/40 mix of global stocks and bonds has generated an annualized return of about 6.6%, and that’s before accounting for any fees, DeWolfe noted. In his view, that level of performance isn’t enough to meet the long-term return targets of most investors today, which is why so many are rethinking traditional portfolio construction. He…
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Markets: The S & P 500 turned slightly lower Wednesday afternoon after Federal Reserve Chairman Jerome Powell said a December interest rate cut was not a foregone conclusion. Powell’s comments came during his post-Fed meeting news conference and after central bankers decided to reduce rates by a quarter-point for the second time this year. There were two dissenters: Fed Gov. Stephen Miran voted for a half-point cut, while Kansas City Fed…
The Eli Lilly & Co. logo at the company’s Digital Health Innovation Hub facility in Singapore, on Thursday, Nov. 14, 2024.Ore Huiying | Bloomberg | Getty ImagesEli Lilly and Walmart on Wednesday said they have teamed up to expand access to the drugmaker’s weight loss drug Zepbound, allowing U.S. patients to get vials of the blockbuster injection at direct-to-consumer prices through retail locations for the first time. The announcement comes as Eli Lilly works to maintain its dominance over rival Novo Nordisk in the booming market for a class of obesity and diabetes drugs called GLP-1s. It also comes as the…
Federal Reserve Governor Stephen Miran speaks with CNBC during the Invest i America Forum on Oct. 15, 2025.Aaron Clamage | CNBCThere were two dissenters from the Federal Reserve’s decision to lower the federal funds rate by a quarter percentage point on Wednesday, in two different directions.Federal Reserve Governor Stephen Miran instead called for a half-point cut, while Kansas City Fed President Jeffrey Schmid voted for no decrease.Heather Long, chief economist at Navy Federal Credit Union, called two dissents “unusual,” particularly because one wanted a deeper cut and the other wanted no change.”Powell will have to use all of his leadership…
Boeing shares moved lower after Wednesday morning’s messy third-quarter release. Despite a wider-than-expected loss, operational execution is improving, and the company is well-positioned to deliver more aircraft going forward. That will boost free cash flow, which is the ultimate driver of the share price. Revenue in the third quarter ending Sept. 30 rose 30% year over year to $23.27 billion, topping expectations of $21.97 billion, according to market data service LSEG. Loss per share was narrower year over year, but still $7.47. That was much worse than the $4.59 loss per share the Street had estimated. Analysts were expecting a…
