Friday,
December 17, 2021
Market recap
Dow Jones
35,896.52
-30.91 (-0.09%)
S&P 500
4,668.63
-41.22 (-0.88%)
Nasdaq
15,180.43
-385.15 (-2.47%)
Top Story
Tech Selling Weighs on Major Averages
• US stocks were mixed Thursday, dragged down by mega-cap technology companies. Names like Apple, AMD, and Nvidia fell along with shares of Adobe and Lennar after handing in underwhelming earnings reports. Bank stocks bucked the trend, but for the most part the post-Fed rally appeared to be cooling down.
• As a quick refresher, on Wednesday the Federal Reserve said it would expedite the taper of asset purchases. The central bank also said it expects three rate hikes next year, which members hope will help rein in runaway inflation.
• Overseas, the Bank of England isn't waiting until 2022, announcing yesterday that it is raising its benchmark interest rate to tame price increases. It's the first increase by a major central bank, highlighting policy shifts both abroad and at home. For what it's worth, however, the European Central Bank kept its key interest rate on hold.
• Wall Street is trying to determine the economic impact if restrictions were to snap back in place. For example, France is tightening rules for travellers arriving from the UK after Britain announced the highest daily case count since the pandemic began on Wednesday.
What to Be on the Lookout for Today
• There are no major data releases scheduled, however at 1:00 p.m. Eastern Time, Federal Reserve Board of Governors member Christopher Waller will speak about the economic outlook to the Forecasters Club of New York.
• On the earnings front, Darden Restaurants and Winnebago are scheduled to report their latest results.
Get Financially Fit in 2022
Now is the perfect time to establish new, constructive fiscal practices and recommit to basic money habits that can help you stay financially fit throughout the year.
Don’t wait to make a New Years Resolution — jumpstart your financial ambitions with a SoFi loan and save throughout 2022.
A Few Headlines That Should be on Your Radar
Reddit, the message board operator which has been around since 2005 but gained widespread popularity during the meme stock craze of early 2021, is gearing up to go public via an IPO. The meme stock craze has made Reddit into a must-visit destination for retail investors. Reddit is hoping those investors will participate in its IPO. Read more >> US household wealth set a record in the third quarter, but the growth was the slowest since the start of the pandemic. The slowing growth in US household wealth could mean the benefits from near-zero interest rates, pandemic bond-buying by the Fed, and multiple stimulus checks are coming to an end. But some economists think US consumers are in a good position to spend more in 2022, which could position the economy for more strength next year. Read more >> Investors poured money into a Bitcoin platform, and other startups this week. Learn more about these companies and why they are generating investor enthusiasm. Read more >> Here are some simple strategies that can feel calmer and more in control of your money. If you often feel worried about money, or you tend to wing it from one month to the next without much of a plan in place, you might benefit from taking a few steps to improve your financial health and habits. Read more >>Not-So-Breaking News
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McDonald’s (MCD) is clawing back $105 million in severance pay from former CEO Steve Easterbrook. The fast-food chain sued Easterbrook claiming he lied during an internal investigation into his behavior.
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Regeneron Pharmaceuticals (REGN) is working on antibodies to fight the Omicron variant of COVID-19. The drug company said its current treatment is not effective against the new strain.
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H&R Block (HRB) filed a lawsuit to prevent Square (SQ) from changing its name to Block. The tax preparation company argued Square can capitalize on the goodwill H&R Block built over the years.
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Bruce Springsteen is selling the rights to his songs to Sony Music (SONY) for more than $500 million. The deal, the largest for one artist’s music, had been in discussion for weeks.
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Delta Air Lines (DAL) said rising cases of COVID-19 are not stopping individuals from traveling. The airline said fares and bookings are up in the fourth quarter. Delta expects pretax profit of $200 million.
Financial Planner Tip of the Day
"Anyone who wants to flex good financial habits may find it worthwhile to come up with a debt repayment plan. In an ideal world, this might mean paying off credit card balances in full and making all other necessary debt payments on time, such as mortgage installments and student loan payments."
Brian Walsh, CFP® at SoFi