Major stock indexes turned early losses into a rally Friday afternoon after the U.S. jobs report showed a stronger-than-expected labor market along with a slowdown in wage increases. Employers added 336,000 jobs in September, the strongest increase since January and well above the upwardly revised gain of 227,000 the previous month. Stock and bond prices initially fell sharply on the news, but both markets recovered as the increase in average hourly earnings was modest and job earnings may have been distorted by seasonal adjustments. US Treasury yields fell from session highs but still finished higher for the week, with the benchmark 10-year bond jumping 20 basis points to 4.78% and the 30-year yield rising 24 basis points to 4.94%, the highest level since September 2007. Friday's big stock market move ensured weekly gains for the major indexes, with the S&P 500 snapping a four-week losing streak to end with a rise of 0.5%, while the Dow Jones rose 0.3% and the Nasdaq Composite gained 1.6%. Read Searching for the Alpha Watch catalyst for a preview of next week's major events.
Millions of Americans start making payments again on their federal student loans after a more than three-year pandemic-era pause ended last Sunday, stoking concerns about the knock-on effects on the U.S. economy. Interest began accruing again on the loans on Sept. 1, and payments were due as of Sunday. More than 40 million people collectively owe more than $1.6 trillion in federal student loan debt. Discretionary spending is widely expected to take a hit. Investment group leader Trader of fear and greed such monthly payments on all types of consumer debt - including student loans - as a percentage of income it is very low. Additionally, on Wednesday the Biden administration approved debt cancellation for $9 billion more in student loans, bringing the total amount approved to $127 billion so far. (64 comments)
He overthrow of Kevin McCarthy as speaker of the United States House of Representatives, as a result of escalating infighting within the Republican majority, renewed concerns that a federal government shutdown It could happen next month. This marks the first time in history that the House has removed its leader and highlights the growing governance challenges that threaten the US sovereign rating "The near-term concern is that House paralysis will further complicate the already complicated calculations surrounding the upcoming funding fight," said BTIG's Isaac Boltansky. "In the long term, overthrowing the president is entirely consistent with broader structural concerns regarding political dysfunction." (121 comments)
Walmart (WMT) buyers They seem to be buying less food. such as the use of weight loss medications, such as Novo Nordisk (NGO) Ozempic, accelerate. Walmart U.S. CEO John Furner said there is "a slight pullback in the overall basket" in terms of items purchased and calories, although it's too early to say how much of an impact the medications will have. Walmart is tracking sales patterns using anonymous shopper data to look at changes in purchases between those taking GLP-1 agonists and those not. Walmart is not alone in tracking the impact of such medications. Kellanova (k) is also analyzing the potential impact on your business and about eating habits. (200 comments)
In the landmark antitrust lawsuit against Amazon (AMZN), the Federal Trade Commission accused the e-commerce giant of secretly developing an algorithm that would examine how much it could raise prices to make competitors follow suit. The algorithm, codenamed Project Nessie, helped Amazon increase its profits. And because of Amazon's dominance, this led competitors to raise their prices as well. Amazon, which stopped using the algorithm in 2019, is being sued by the FTC and 17 US states for supposedly be a monopolist. Despite decline in Amazon shares since lawsuit, SA analyst businessman He listed nine reasons why they are adding to your position. (77 comments)
US Nonfarm payrolls increased 336,000 in September, exceeding the expected 160,000 and increasing compared to the 227,000 jobs added in August. The US Department of Labor revised the August count from 187,000. The unemployment rate remained unchanged at 3.8%, compared to the expected 3.7%. Michael Kramer, leader of the investment group Mott Capital Management, called the report "a great success," which will undoubtedly attract the attention of the Federal Reserve. The main market averages rose and finished in green on Friday after reeling from the start when Wall Street received the latest round of payroll numbers. US Treasury yields soar Initially, but it tapered off a bit as the day went on. (269 โโcomments)
