Market News
Inflation data and market reactions
Inflation expectations continue to decline, with the New York Fed survey showing a record low for the three-year outlook, while markets remain focused on upcoming U.S. consumer price index data and retail earnings. European markets are rebounding, and investors are watching for the potential impact of inflation on various sectors, including commodities and consumer behavior. (newslink)
Interest rate cuts and central bank policies
Experts suggest positioning for lower interest rates as various central banks, including New Zealand and the ECB, signal potential rate cuts amid economic challenges. Despite declining mortgage rates, sentiment around the housing market remains cautious, and calls for the Fed to lower rates persist, leading to differing expectations between traders and the Fed regarding upcoming rate adjustments. (newslink)
Harris and Trump on economic policies
The White House is initiating a comprehensive regulatory effort while Vice President Harris is set to unveil an economic plan that aligns with Trump’s proposal to eliminate taxes on tips, suggesting a potential area of agreement between the two. A recent poll indicates that Harris has gained voter trust over Trump regarding economic management, reflected in her rising odds on Polymarket, where she is now at 52% compared to Trump's 46%. (newslink)
Market Volatility and Performance
The latest financial news highlights significant fluctuations in the markets, with some experiencing the best and worst days since 2022 amid ongoing volatility. While U.S. markets closed mixed, with notable performers like monday.com and underperformers like Sirius XM, there is cautious optimism as stocks open higher, signaling a potential recovery from recent turmoil. (newslink)
Trump and Vance advocate for presidential influence on Fed policy
Trump and Vance are advocating for more presidential influence over Federal Reserve interest rate policy, with Trump expressing a desire to play a role in setting rates, which some economists caution against. Vance supports Trump's proposal and defends it against criticism, while Harris opposes any political interference in central bank decisions. (newslink)
Company News
Musk to interview Trump on X
The European Commission has cautioned Elon Musk to prevent hate speech on X ahead of his live interview with Donald Trump, as the former president seeks to reshape his campaign. Trump is returning to X with several posts and will be interviewed by Musk today, sparking discussions about the implications for Trump Media and DJT stock values. (newslink)
Starbucks and Elliott Management settlement discussions
Starbucks is engaged in discussions with activist investor Elliott Management regarding a potential settlement, which includes the possibility of giving Elliott a seat on its board. Meanwhile, Starbucks' stock is experiencing a rise, fueled by reports of another activist investor also taking a stake in the company. (newslink)
Adani Group shares impacted by Hindenburg allegations
Hindenburg Research has made allegations that the head of India's market regulator held stakes in offshore funds linked to the Adani Group, resulting in significant financial losses for Indian billionaire Gautam Adani. Following these claims, Adani Group shares dropped billions in value, prompting the market regulator to advise investors to remain calm amidst the turmoil. (newslink)
