As for savers with younger children, they should avoid panic and realize they have plenty of time to recover from any current losses, experts say. Market downturns are simply part of the college saving experience, Kantrowitz said. During any 17-year period, he calculates, the stock market typically will suffer at least three corrections (considered a
At a time when almost nothing is profitable, investors are forced to sit on a lot more cash than they are used to. The flip side of the stock market’s worst rout is that its valuations are getting cheap, creating attractive buying opportunities. The question then becomes when is a good time to go in
U.S. government debt prices edged higher on Wednesday as jittery investors continued to flock to the safety of bonds. The yield on the benchmark 10-year Treasury note, which moves inversely to its price, dropped to 2.729 percent, its lowest level since April 2018. Financial markets were closed Tuesday for the Christmas holiday. Yields on 10-year
Stocks could look to bounce later in the week, after the worst Christmas Eve performance ever, but some strategists expect only a half-hearted rally attempt with more losses to come. The S&P 500 lost 2.7 percent Monday, to 2,351 in a half-day session, and is now officially in a bear market — or down 20
It was Wall Street that scared the markets as storied institutions failed during the financial crisis, and now as stocks fall into bear market territory, it’s Washington that’s getting the blame. Making matters worse, is that when financial markets are in trouble, market pros turn to Washington’s lawmakers and regulators for help, and now they
It’s helpful to know what a “bear market” is, because based on history it looks like we could be here for a while. The term on Wall Street is synonymous with serious, long-lasting declines in stock markets. In numeric terms, a bear market is a 20 percent or more drop from a recent peak. The
While President Donald Trump has complained publicly about Federal Reserve Chair Jerome Powell, what he does with his pending nominations to fill two remaining vacancies on the board will tell whether he wants to escalate his fight with the Fed. Trump has nominated former Fed staffer Nellie Liang and Carnegie Mellon economist Marvin Goodfriend, but
Twitter made news of its own, permanently banning conservative commentator and conspiracy theorist Alex Jones and his publication Infowars. The move followed similar decisions from YouTube, Apple and Facebook, which removed content from Jones, citing restrictions on hate speech and harassment. The reactions from tech’s most influential companies marked a potential turning point for how
Over the weekend, multiple reports said President Donald Trump had discussed privately the possibility of firing Powell. The U.S. leader has repeatedly criticized the institution over its rate hiking path. Treasury Secretary Steven Mnuchin later downplayed those reports, tweeting that Trump said he “never suggested firing” Powell, despite his disagreements with the Fed’s policy tightening.
Jim Watson | AFP | Getty Images US Federal Reserve Board Chairman Jerome Powell holds a news conference after a Federal Open Market Committee meeting in Washington, DC, December 19, 2018. President Donald Trump is adamantly opposed to the Federal Reserve’s rate hike campaign, but has never suggested firing Fed Chairman Jerome Powell, Treasury Secretary
Trump could be merely blowing off steam, or his comments could be indicative of something more serious. The Federal Reserve Act specifies that a president can remove governors — which presumably includes the Fed Chair — but only “for cause” and not over policy differences. While it’s far from clear what would constitute just cause,
Hanging over the market in the week ahead is the government shutdown fight, which pits the president against Democrats in Congress, over his plan for a border wall. There was a glimmer of hope late on Friday that a deal could be hatched, with Sen. Bob Corker saying a path forward was being discussed. Still,
President Trump’s hard-line advisor Peter Navarro added to doubts of a U.S.-China trade agreement happening in the next three months. Navarro, a well-known trade hawk, told Japanese newspaper Nikkei that it would be “difficult” for the two countries to arrive at a long-term agreement unless “Beijing was prepared for a full overhaul of its trade
Bloomberg | Bloomberg | Getty Images Jim Pattison, chief executive officer and founder of Jim Pattison Group Inc., pumps gas into a pickup truck during a tour of his holdings near Russell, Manitoba, Canada, on Tuesday, Sept. 18, 2018. Jim Pattison may not be a household name but the third richest Canadian maybe should be.
To be sure, the Dow Jones Industrial Average is still up 23 percent since Trump’s election, but that may not matter if it drops into a bear market on his watch. Through midday Friday, it was just 4 percentage points short of that mark. Peter Boockvar, chief investment strategist at Bleakley Advisory Group, said that
New York Fed President John Williams took a step Friday toward undoing the blunt blow to markets delivered by the Federal Reserve and Fed Chairman Jerome Powell on Wednesday. Stocks initially jumped, the dollar rose and bonds sold off, after Williams indicated the Fed would be flexible and could consider changing policy if the economy
Coinbase CEO Brian Armstrong is joining the ranks of billionaires pledging to donate the majority of their wealth for the greater good. Brian Armstrong on Thursday officially signed the Giving Pledge, started by Warren Buffett and Bill Gates in 2010. Signatories are either billionaires, or would-be billionaires if it weren’t for their generosity, who pledged
However, a trade deal between the world’s two largest economies is far from certain, especially after Chinese President Xi Jinping took a relatively defiant tone toward international demands in his key address to the nation this week. Investors are also on edge about potential interest rate hikes by the U.S. Federal Reserve next year, especially
Coinbase has launched its cryptocurrency trading platform in more markets as the firm plans an “aggressive” international push next year. The company said Thursday it had expanded its product to several European countries and overseas territories, including Lithuania, Iceland, Andorra, Gibraltar, Guernsey and the Isle of Man. Zeeshan Feroz, Coinbase’s U.K. CEO, said the firm
Bitcoin has surpassed $4,000 for the first time in two weeks, continuing to break away from a months-long rout. The price of the world’s best-known cryptocurrency climbed almost 7 percent to $4,037 on Thursday, according to CoinDesk’s index tracker. The last time the digital currency was trading at the $4,000 level was on Dec. 4.
Federal Reserve Chairman Jerome Powell made two mistakes during his news conference Wednesday, according to bond king Jeffrey Gundlach. Powell sounded like he was on autopilot when it came to quantitative tightening and he talked too much about economic modeling, the DoubleLine Capital founder and CEO told CNBC’s Scott Wapner. Wapner tweet The Fed raised
Jim Watson | AFP | Getty Images Federal Reserve Board Chairman Jerome Powell holds a news conference after a Federal Open Market Committee meeting in Washington, DC, December 19, 2018. Federal Reserve chairman Jerome Powell made his comments on Wednesday following the Federal Reserve’s decision to hike interest rates. This week’s interest hike brings the
SoftBank will be replacing its Huawei hardware in its 4G network infrastructure over the next few years and using equipment from Ericsson and Nokia instead, according to Japan’s Nikkei Asian Review. It is also expected to place orders with the two European companies for its 5G networks, the Nikkei reported. Sprint’s prospective $26 billion merger
Check out the companies making headlines after the bell: FedEx shares dropped nearly 6 percent during after hours trading Tuesday as the company lowered its full year 2019 earnings guidance but beat expectations this quarter. It lowered its full year earnings guidance to a range of $15.50 to $16.60 per share, down from $17.20 to
The economic headwinds and downbeat sentiment has forced investors to consider to what extent those recent data points could spell more pain ahead for U.S. markets, Despite the recent-sell-off, relatively speaking, the major US indices are outperforming their global peers. The pan-European Stoxx 600 index has fallen more than 15 percent from its 52-week high.
Check out the companies making headlines before the bell: Darden Restaurants – The restaurant chain earned 92 cents per share for its second quarter, a penny a share above estimates. Revenue was very slightly below Street forecasts, and a same-restaurant sales increase of 2.1 percent was above the consensus forecast of a 2 percent rise.
Chinese President Xi Jinping addressed his nation Tuesday morning in Beijing to commemorate the 40th anniversary of China’s “reform and opening up,” striking a relatively defiant tone to international calls for major changes in his country’s economy. His remarks are being watched to see whether Xi’s idea of progress aligns with the West’s increasingly vocal
“The sell-off comes from the risk-off sentiment. Small caps are riskier than large caps, and there are some concerns about the end of a cycle in the U.S. and that we are entering a recession,” said Tobias Levkovich, chief U.S. equity strategist at Citi. The Russell 2000 index fell 2 percent Monday, bringing its loss
U.S. government debt prices were slightly higher on Monday amid ongoing concerns around a potential slowdown in economic growth. The yield on the benchmark 10-year Treasury note was slightly lower, trading at 2.884 percent, while the yield on the 30-year Treasury bond was just below the flatline, trading at 3.141 percent. Bond yields move inversely
Ron Paul is warning this year’s corrections could be a precursor to an epic market collapse that may come sooner than investors think. According to the former Republican presidential candidate, Wall Street is becoming more vulnerable to near-depression conditions within the next 12 months. “Once this volatility shows that we’re not going to resume the