Federal Reserve Expected to Raise Interest Rates and Signal Continued Vigilance against Inflation

Federal Reserve Board Chairman Jerome Powell speaks during a news conference in Washington, DC, on July 27, 2022

The Federal Reserve is predicted to increase interest rates by a quarter of a percentage point and also likely indicate that it will continue to remain cautious in its efforts to combat inflation, even as it decreases the magnitude of its hikes. On Wednesday at 2 PM ET, the Fed will announce its latest rate … Read more

Big Tech Layoffs: Understanding the Impact on the Industry

Big Tech Layoffs: Understanding the Impact on the Industry

Big Tech companies are facing a tough start to 2023 as they continue to lay off thousands of employees following a difficult 2022. Companies like Meta, Amazon, and Intel announced significant job cuts last year due to high interest rates, inflation, a hawkish Fed, and slowdowns in advertising and consumer spending. Google’s parent company, Alphabet, … Read more

Meta to Cut 11,000 Jobs; Zuckerberg Says ‘I Got This Wrong’

Meta to Cut 11,000 Jobs; Zuckerberg Says ‘I Got This Wrong’

(Bloomberg) — Meta Platforms Inc. Chief Executive Officer Mark Zuckerberg said the company will cut more than 11,000 jobs in the first major round of layoffs in the social media giant’s history. The reductions, equal to about 13% of the workforce, were disclosed Wednesday in a statement. The company will also extend its hiring freeze … Read more

Markets face what could be the most important week of summer with Fed, earnings and economic data

A Trader works on the floor of the New York Stock Exchange NYSE

There’s a head-spinning amount of news for markets to navigate in the week ahead, the biggest of which will be the Federal Reserve’s midweek meeting. The two largest U.S. companies — Microsoft and Apple — report Tuesday and Thursday, respectively. Google parent Alphabet releases results Tuesday, and Amazon reports Thursday. Meta Platforms, formerly Facebook, reports Wednesday. In all, more than a third … Read more

Here’s Jim Cramer’s advice to navigate this uncertain earnings season

Earnings Season: Economy of Wall Street

Earnings season is entering full swing on Wall Street, and CNBC’s Jim Cramer said Monday that investors would be wise to take a wait-and-see approach toward shares of companies that are about to report quarterly numbers. “In this environment, it’s always going to be fragile on the upside and easy on the downside, because the bears … … Read more

JPMorgan Chase earnings fell 28% after building reserves for bad loans, bank suspends buybacks

JPMorgan Chase Bank

JPMorgan Chase said Thursday that second-quarter profit slumped as the bank built reserves for bad loans by $428 million and suspended share buybacks. The actions reflect Chairman and CEO Jamie Dimon’s increasingly cautious stance. “The U.S. economy continues to grow and both the job market and consumer spending, and their ability to spend, remain healthy,” he … Read more

Inflation rose 9.1% in June, even more than expected, as price pressures intensify

Inflation Rose 9 Percent in June 2022

Shoppers paid sharply higher prices for a variety of goods in June as inflation kept its hold on a slowing U.S. economy, the Bureau of Labor Statistics reported Wednesday. The consumer price index, a broad measure of everyday goods and services, soared 9.1% from a year ago, above the 8.8% Dow Jones estimate. That marked another month … Read more

Big payroll gains push recession fears into the corner — for now

Recession obsession fears

June’s big payroll jump helped clear away some of those recession clouds for a U.S. economy that nonetheless faces some stormy weather ahead. Job gains of 372,000 convinced most Wall Street economists that the idea of a first-half recession is “fanciful,” as one put it. A 3.6% unemployment rate is hardly consistent with an economic downturn, at … Read more

Energy Crisis Driving Up Food Costs

High Inflation may be behind us

Agriculture experts are calling this season one of the most important crop years in recent history. The supply chain has barely improved, exports are expensive, and we must rely on domestically grown and raised food more than ever. Everything is connected, as are the ongoing crises. The energy crisis is adding to rising food prices … Read more

The “Soft Landing” Myth… and Why Inflation Will Be Around a Lot Longer

Fed hopes for 'soft landing' for the US economy

The Fed is now telling us that it can avoid a recession… or engineer a “soft landing.” It’s a pretty stunning argument… and it raises questions as to whether the Fed actually believes this stuff… of if it’s simply saying this for political purposes so people won’t panic. Consider what the Fed has done so … Read more