Dividend stocks are facing stiffer competition, thanks to a big spike in bond yields. A risk-free 10-Year Treasury note was recently yielding 3.7%, up from 1.63% at the start of 2021. That’s well abov...
Tag: Economic Performance/Indicators
A historic global bond-market crash threatens the liquidation of world’s most crowded trades, says BofA
Global government-bond markets are stuck in what BofA Securities strategists are calling one of their greatest bear markets ever — which, in turn, is threatening the ease with which investors will be ...
These Are the 7 Worst Housing Markets, According to Lennar
Higher mortgage rates have cut into home sales at a national level—but, as the saying goes, all real estate is local. Lennar , the nation’s second-largest builder by market capitalization, on Thursda...
‘The housing market may have to go through a correction’: Mortgage rates hit 6.29%, Freddie Mac says
The numbers: U.S. mortgage rates continue to climb, adding hundreds of dollars in costs to potential homeowners. The increase in mortgage rates followed the Federal Reserve hiking interest rates again...
Ray Dalio says stocks, bonds have further to fall, sees U.S. recession in 2023
As the world waits for the Federal Reserve to deliver what’s expected to be its third “jumbo” interest-rate hike, Bridgewater Associates founder Ray Dalio shared a warning for anybody still hanging on...
Home values in August saw their largest monthly decline since 2011. Some cities see house prices drop by 3%.
Home values are edging down as buyers remain spooked by high mortgage rates, according to a new report. The typical value of a home in the U.S. fell 0.3% in August from the previous month, according t...
‘Disinflationary wave is building’ even as investors anticipate aggressive Fed rate increase, says this economist
Signs of disinflation have emerged even as investors fear Federal Reserve Chair Powell and his colleagues will keep battling inflation through aggressive rate hikes that have hurt both stocks and bond...
Why investors fear a full-percentage-point Fed rate hike would ‘unnerve’ Wall Street
The Fed has delivered two 75 basis point interest-rate hikes so far this year. A previous version of this story said it had delivered three. With both U.S. stocks and bonds under pressure on Tuesday, ...
Amazon and Other Growth Stocks Have Been Hammered. Get Ready to Buy.
Text size Amazon shares are down 27% for the year. Mark Makela/Getty Images Growth stocks have been crushed this year, but several indicators point to a recovery soon—and investors should get ready to...
‘Some companies are closing their doors, others are shutting down divisions’: Rocket CEO outlines plans to navigate the dramatic decline in mortgages
The mortgage industry is struggling with higher rates and a sharp drop in buyer demand. Rocket RKT, +0.53% says it’s got a plan to turn things around. There’s turmoil in the sector. Volume of originat...
Zillow sees peak rent growth as over, but that isn’t what the Fed’s tracking
A look at Zillow Group’s closely followed rent index shows that last year’s roughly 17% yearly surge in rental prices was probably the peak, with the rate of increases dramatically receding in the pas...
Fed to put a ‘firm foot on the brake pedal’ this week
The Federal Reserve is widely expected this week to raise its benchmark interest rate by 0.75 percentage points in an effort to slow the economy as a way to cool inflation. “What the Fed was doing ear...
Buy I Bonds Now at 9.6%. A New Rate Comes in November.
Text size The rate on I bonds hit a record 9.6% for bonds purchased starting in May and continuing through the end of October. Dreamstime One of the best current deals in the bond market—Treasury Seri...
Bulls Get Scorched by FedEx. Don’t Expect the Fed to Help.
Text size FedEx’s disappointing earnings and unexpectedly weak guidance were key factors in this past week’s stock market swoon. David Paul Morris/Bloomberg The stock market faces a doubly poisonous c...
3 Ways Retirees Can Inflation-Proof Their Portfolios
Rather than vanishing with the final days of summer, inflation has proven stickier than anticipated. For retirees, that means not just higher daily prices, but also the chance that their savings won’t...
The Economy Is Slowing Down. What It Means for the Fed.
Fed Chair Jerome Powell has warned that the central bank’s tighter monetary policy will be painful. The latest data confirm he’s right. Ting Shen/Bloomberg Text size For Jerome Powell’s Fe...
Can the Fed tame inflation without crushing the stock market? What investors need to know.
The Federal Reserve isn’t trying to slam the stock market as it rapidly raises interest rates in its bid to slow inflation still running red hot — but investors need to be prepared for more pain and v...
A further 27% drop in the S&P 500 could be coming if inflation hawks are right, Goldman Sachs team warns
Not exactly TGIF this Friday. What the sellside is slowly realizing is not just that the Fed is going to be aggressive in September after the latest shocking inflation figure, but that the central ban...
Is the housing market really crashing? Redfin’s chief economist shares her predictions
This article is reprinted by permission from The Escape Home, a newsletter for second homeowners and those who want to be. Subscribe here. © 2022. All rights reserved. Inflation is high and interest ...
Even after the market meltdown, investors are still making two implausible assumptions about the next six months, this economist says
Not for the first time, inflation numbers caught the market by surprise. The bad news was the S&P 500 SPX, +0.43% saw the largest one-day decline in two years, slumping 4.2%. The good news if you’...
Inflation Is Sticker Than It Looks. Consider the Cleveland Fed’s Data
Text size The food index increased by 11.4% year over year in August, according to the government’s latest CPI release. Brandon Bell/Getty Images Inflation is sticky — and even stickier than it ...
Inflation Hit the Stock Market. These Stocks Could Benefit From Rising Prices.
Text size *** ONE-TIME USE *** John Deere tractors Justin Sullivan/Getty Images Inflation doesn’t want to go away—and the stock market is reeling. Some stocks, though, could benefit if inflation remai...
These five stocks in the S&P 500 lost almost half a trillion dollars in value in one day amid widespread wipeout
A decline in gasoline prices couldn’t mask the problem that spooked investors on Sept. 13: Core consumer prices resumed their rapid increase during August. Fear of the Federal Reserve’s ongoing tighte...
U.S. inflation roars back in August, CPI shows, despite falling gas prices
The numbers: Falling gas price delivered a second low U.S. inflation reading in a row as the consumer price index rose by just 0.1% in August. But the report also showed inflation has spread more broa...
Any doubt Fed will raise rates by 75 basis points next week is gone after hot U.S. inflation data
Any doubt that the Federal Reserve will raise its its benchmark interest rate by 0.75 percentage point next week is gone, economists said, following the hot U.S. consumer price inflation data for Augu...
3 Chip Stocks for a Potential Recession, According to an Analyst
Broadcom is one of three chip stocks Bernstein identified as able to outperform in a recession. Justin Sullivan/Getty Images Text size Bernstein believes three semiconductor stocks can outperform if t...
Tumbling Markets Imperil Tech, the Dollar, and Private Equity
Text size Japan has had to intervene to support the sliding yen for the first time since 1998, even as it tries to keep its interest rates low. Akio Kon/Bloomberg The world has been hooked on cheap mo...