Hedge funds slashed their positions at the fastest pace in years as tariffs and signs of softer economic growth sent stocks on a rollercoaster ride. Professional money managers who make both long and short wagers cut back risk exposure by selling stocks and covering shorts in a dramatic fashion on Friday and Monday. Combined, the so-called “de-grossing” activity was the largest two-day move in four years, according to data from Goldman Sachs’ prime brokerage unit. Hedge funds were retreating at a time when the macroeconomic environment suddenly grew less sure. President Trump’s aggressive tariff charges on imports into the U.S.…
Author: usaeverydaylife
As the market sell-off deepens, the Nasdaq has now endured a 14% correction in the last three weeks. Corrections are a natural part of market cycles, allowing valuations to reset and paving the way for a healthier bull market. Even the “Magnificent Seven” stocks haven’t been spared, including Nvidia , which has plunged more than 25% from its highs despite beating earnings expectations. Like many other stocks trading at a steep discount, this sharp decline appears overdone, presenting a potential buying opportunity that could materialize in the coming days. While oversold conditions create buying opportunities, the challenge lies in timing…
Former Treasury Secretary Steven Mnuchin said Wednesday he believes “people are overreacting a bit” to the policy changes from the current Trump administration.Mnuchin, who served in President Donald Trump’s Cabinet during the Republican’s first term in office, told CNBC’s “Squawk Box” that he does not see signs of an imminent slowdown for the U.S. economy.”I don’t think we’re going to have a recession. I don’t think the outlook looks like we’re going to have a recession. And Larry Summers saying there’s a 50% probability, I just don’t agree with that,” Mnuchin said, referring to recent commentary from another former Treasury…
Workers remove a coil from the production line for quality-control testing during steel production at the NLMK Indiana steel mill on March 15, 2018 in Portage, Indiana.Scott Olson | Getty ImagesCanada said Wednesday it will impose 25% tariffs on more than $20 billion worth of U.S. goods in retaliation for the Trump administration’s steel and aluminum duties that took effect overnight.The new tariffs cover steel and aluminum, as well as other U.S. goods including computers, sports equipment and cast iron products, Canadian Finance Minister Dominic LeBlanc said at a press conference.They will take effect Thursday, LeBlanc said.The new Canadian duties…
Ukraine said it would support a Trump administration proposal for a 30-day cease-fire with Russia after talks in Saudi Arabia, as the United States agreed to immediately lift its pause on intelligence sharing and military assistance to Ukraine.The announcement on Tuesday gave new momentum to efforts to halt the fighting. The United States and its allies said the onus was now on Russia to end the war.What happened in Saudi Arabia?Secretary of State Marco Rubio and Michael Waltz, the U.S. national security adviser, sat down in the city of Jeddah with a delegation led by Andriy Yermak, the Ukrainian president’s…
China’s and U.S.’ flags are seen printed on paper in this illustration taken January 27, 2022. Dado Ruvic | ReutersBEIJING — China is willing to do more to address White House concerns about illicit fentanyl trade, but it will be “a different thing” if ongoing debate over the drug facilitates more U.S. tariffs on the world’s second largest economy, an official from the Chinese Ministry of Foreign Affairs told reporters Wednesday.Washington should have “said a big thank you” to China on what it has done to restrict fentanyl trade in the U.S., the official said via an official English translation, claiming…
The price of a Boeing 787 plane could increase by $40 million in a worst case tariff scenario, AerCap CEO Aengus Kelly said.”In an absolute worst case scenario, say, a 25% increase across the board on tariffs, a tit-for-tat from both sides — a Boeing 787, the price will go up by $40 million,” Kelly said Wednesday on CNBC’s “Squawk Box.” “No one’s going to want to pay that.”In that kind of scenario, Kelly said most airlines would instead likely turn to Airbus, which could give that company an opportunity to take 75% to 80% of the global market.AerCap, the…
Prices for goods and services moved up less than expected in February, providing some relief as consumers and businesses worry about the looming impact tariffs might have on inflation, the Bureau of Labor Statistics reported Wednesday.The consumer price index, a wide-ranging measure of costs across the U.S. economy, ticked up a seasonally adjusted 0.2% for the month, putting the annual inflation rate at 2.8%, according to the Labor Department agency. The all-item CPI had increased 0.5% in January.Excluding food and energy prices, the core CPI also rose 0.2% on the month and was at 3.1% on a 12-month basis. The…
Check out the companies making headlines in premarket trading. Groupon — Shares of the digital marketplace surged around 21% after the company’s full-year revenue guidance exceeded Wall Street’s expectations. Groupon issued a range of $493 million to $500 million, topping the consensus forecast of $491.5 from analysts polled by FactSet. The company also posted stronger fourth-quarter revenue than the Street anticipated. Intel — Shares jumped 8% after Reuters reported that TSMC has raised a joint venture proposal to U.S. chipmakers Nvidia , Advanced Micro Devices and Broadcom to operate Intel’s foundry division. Nvidia, AMD and Broadcom also popped before the…
In an aerial view, a Volkswagen assembly plant is seen on April 19, 2024 in Chattanooga, Tennessee.Elijah Nouvelage | Getty Images News | Getty ImagesPorsche’s CEO Oliver Blume on Wednesday said the company could lean into its partnership with Volkswagen — which has its own U.S. manufacturing base — as it braces for potential tariffs imposed by the White House.”We have an industrial cooperation agreement together with Volkswagen, and in the end, we are working so close together, so this should play a role” in responding to tariffs, Blume told CNBC’s Annette Weisbach.The U.S. is Porsche’s top market, but the…
