If you're frantically buying or selling stocks based on what the inversion and the subsequent uninversion of the yield curve is signalling, Jim Cramer has a message for you: Calm down. That's Cramer questioning the wisdom of traders who seem to be reacting to every headline popping up in the financial news cycle these days. Specifically, the television personality and former hedge-fund manager was talking about how stocks were hit hard Wednesday after the 10-year Treasury yield (BX:TMUBMUSD10Y)briefly inverted and slipped below the 2-year yield for the first time since before the 2008 financial crisis.
Alibaba's (BABA) stock climbed nearly 11% over the past three trading days, as investors are becoming more optimistic on the heels of a strong earnings report and positive geopolitical news. Given the encouraging developments, Stifel analyst Scott Devitt maintained a Buy rating on BABA stock, while slightly raising his price target by $5, to $225. According to TipRanks, which measures analysts' and bloggers' success rate based on how their calls perform, Devitt has delivered to his followers a yearly average return of 20.4% with a 67% success rate.
Studies have shown it is very difficult to predict recessions, interest rates or financial markets. We need to predict future political conditions that will affect tax rates, the health-insurance marketplace and Social Security. Most political “experts” couldn't accurately predict the outcome of our last presidential election the day before it occurred.
It is no secret that President Trump watches the stock market. It is less well understood that he has an uncanny sense of stock market timing. Having said that, even opponents of Trump with some objectivity ought to give him credit for his sense of market timing.
A former Walt Disney Co. accountant says she has filed a series of whistleblower tips with the Securities and Exchange Commission alleging the company has materially overstated revenue for years. Sandra Kuba, formerly a senior financial analyst in Disney's (DIS)revenue-operations department who worked for the company for 18 years, alleges that employees working in the parks-and-resorts business segment systematically overstated revenue by billions of dollars by exploiting weaknesses in the company's accounting software. Kuba said she has met with officials from the SEC on several occasions to discuss the allegations.
As unemployment hovers a 49-year low, there are more professions to choose from that will give people the one thing that gets them out of bed in the morning: a meaningful job with the possibility of advancement. Access to career momentum opportunities in the workplace is one of the strongest predictors of employee satisfaction based on millions of reviews left on Glassdoor, in addition to culture and values and quality senior leadership, according to a study released Wednesday by the company. The report used the following criteria: a median base salary over the past year of $80,000 a year or higher, well above the June 2019 U.S. median annual pay of $53,411, and at least 2,000 job openings as of July 5 on Glassdoor.
The one bright spot in the economy, the strength of the U.S. consumer, could throw a wrench in the Fed's messaging this week, as central bankers gear up for an annual policy conference in Jackson Hole, Wyoming. “There is a risk [Fed Chair Jerome] Powell and his colleagues end up disappointing the bond market next week – by not signaling clearly enough that additional rate cuts are coming in mid-September and beyond,” Paul Ashworth, chief U.S. Economist at Capital Economics, wrote in a note to clients. Just last Thursday, July retail sales were released, a key data point on consumer health.
Jyske Bank A/S, Denmark's third-largest lender, announced in August a mortgage rate of -0.5%, before fees. Mikkel Hoegh, Jyske Realkredit housing economist, explains the dynamics behind the offering on "Bloomberg Markets: European Close."
General Electric Co intensified its defense of its accounting practices on Monday after investors questioned it about an unusual research report alleging GE failed to put aside money to cover $29 billion in potential insurance losses and improperly counted profit from subsidiary Baker Hughes. The Boston-based conglomerate's new comments follow the release on Thursday of a 175-page research report https://www.gefraud.com that alleged there was fraud in GE's accounting, renewing concern about the company's financial position. GE has suffered a series of financial losses and taken more than $40 billion in charges and write-offs in recent years.
Global card payments group Visa is critical of the Indian government's decision to boost adoption of electronic payments by requiring banks and card payment networks to offer no-fee debit card transactions, a senior Visa executive said. Last month, India's Finance Minister Nirmala Sitharaman said that businesses with annual turnover of 500 million rupees will not have to pay a merchant discount rate on debit card and other digital modes of transactions, excluding credit cards. The discount rate is paid by the merchant to banks, card payment networks, and other financial intermediaries for handling a digital transaction.
Metallicus, the startup behind the peer-to-peer payments platform Metal Pay, received an undisclosed angel investment from the youngest bitcoin millionaire, Erik Finman. In partnership with Metal Pay CEO Marshall Hayner, the two look to develop the first “all-in-one” cryptocurrency banking platform, which includes a 17 digital asset exchange, a digital bank and a payments application with social features similar to Venmo. Founded in September, Metal Pay has processed approximately $11 million in total payments from nearly 130,000 registered users across 38 states.
The couple are among at least 70,000 investors who have become collateral damage from a cleanup of Ghana's banking industry. The crackdown, which reduced the number of lenders by a third and saw the closure of 23 savings and loans companies, also triggered a run on fund managers, who couldn't sell their holdings fast enough to meet demand. “My wife was very disturbed,” the 36-year-old said by phone from Kumasi in Ghana's Ashanti Region.
Jason Pang, portfolio manager for Asia fixed income at JPMorgan Asset Management, discusses China's new reference rate for bank loans and what it means for the fixed income market. He speaks on “Bloomberg Markets: China Open.
With the Fed's first rate cut in a decade not having the desired effect on markets and a trade deal looking less likely every week, these two puts (the Fed and Trade Deal) may have expired, leaving investors facing the potential reality there is no second half rebound coming. Eight months of magical thinking in financial markets, in other words, have come to an end. Last week, the stock market endured its worst day of the year with the Dow (^DJI) dropping 800 points on Wednesday and the Nasdaq falling 3% after an inversion of the Treasury yield curve.
iQIYI (NASDAQ: IQ) announces its next round of earnings this Monday, August 19. Here is Benzinga's everything-that-matters guide for the Q2 earnings announcement. Based on management's projections, iQIYI analysts modeled for a loss of 44 cents per share on sales of $1.02 billion.
The heads of nearly 200 U.S. companies said Monday they are committing to a move away from the idea that the main purpose of a company is to maximize shareholder value, marking a break with a long-held conviction. The Business Roundtable, a group of chief executives that was formed to promote pro-business interests, said it is shifting its statement of the purpose of a corporation to include all of its stakeholders, including employees, suppliers and broader society. The group, which is currently led by JPMorgan (JPM)Chief Executive Jamie Dimon, previously promoted the idea made famous by economist Milton Friedman that companies' primary purpose is to reward shareholders.
The executor of your estate, the person who carries out your wishes, will use your assets to pay off your credit card debts. But when your credit card debts have depleted your assets, your heirs can be left with little or no inheritance. If you are worried about loved ones being stuck with your debts after you die, make sure you understand your rights.
Despite the political hype, more than half of business economists believe that forgiving student loan debt would negatively affect the U.S. economy, according to a recent survey. In fact, 64 percent of economists surveyed by the National Association for Business Economics (NABE) said canceling all, or even a majority, of student loan debt, would have a negative impact on the economy. Meanwhile, one-fifth of respondents said student debt forgiveness would be helpful for the economy.
U.S. stocks rallied Monday, lifted by encouraging comments from President Donald Trump and other officials on trade talks, along with a move by China over the weekend to lower borrowing costs for companies. Reports that Germany may also be considering stimulus measures underpinned gains for European stocks. The Dow Jones Industrial Average (DJIA) rose 249.78 points, or 1%, to end at 26,135.79, while the S&P 500 index (SPX) added 34.97 points, or 1.2%, to close at 2,923.65.
But retirees responding to this Quora post said people need to make a few more considerations, such as understanding the transition to retirement may be tougher than expected, being flexible about part-time work and knowing not to overcommit to activities and events in the adjustment period. See: 21 lessons for how to get the most out of life, from a guy who retired at 50 Still, there are a few more lessons. Ensure you're on the same page as your partner Sometimes spouses don't agree on what to do in retirement, and that can have a devastating effect on the relationship — and quality of life.
The founder of Millennium Management got his professional start in trading in 1977, and established his hedge fund in 1989 with an initial investment of $35 million. After a rough start in the business, Millennium has been wildly successful and now holds over $37 billion in assets under management. So, when Izzy Englander's hedge sells off a major holding, pay attention.
The co-founder and CEO of Europe's biggest fintech startup believes that the world is standing on the precipice of a “true disruption” in retail banking. “I believe that in the next couple of years, the true disruption of retail banking is coming,” Klarna CEO Sebastian Siemiatkowski said in interview with Yahoo Finance's On The Move. The Swedish firm offers buy now, pay later options that allow people with little-to-no credit history to purchase items by borrowing money from the startup at no interest and then slicing up their repayments into four installments.
“Recession” is a scary word that sends everyone from Wall Street professionals to Main Street consumers into a terrifying flashback of the 2008 financial crisis. “There is so much anxiety out there right now, and I think so much of that has to do with the fact that what happened in '08 was so historically bad that people are absolutely terrified of the next recession when they don't really have to be,” J.P. Morgan Asset Management Global Market Strategist Jack Manley told Yahoo Finance's The Final Round. Manley believes that there could be “a great psychological impact” if we get another recession under our belts.
August began with President Donald Trump planning to impose a 10% tariff, beginning on Sept. covering $300 billion worth of additional imports from China. But after a large decline in equity markets including semiconductor stocks, the Office of the United States Trade Representative said last Tuesday it would delay the new tariffs on some products until Dec. 15, leading to a rally.
The industrial giant — under fire from new research by Bernie Madoff whistleblower Harry Markopolos — apparently had a long weekend, talking with many interested parties. “Finally, some of questions I've been receiving go straight to the heart of GE's culture, so let me be clear: we operate with absolute integrity and stand behind our financial reporting,” GE's vice president of investor relations Steve Winoker wrote in his latest newsletter Monday morning.