Friday,
June 30, 2023
Market recap
Dow Jones
34,122.42
+269.76 (+0.80%)
S&P 500
4,396.44
+19.58 (+0.45%)
Nasdaq
13,591.33
-0.42 (0.00%)
Top Story
Is fixer-upper fatigue setting in for homebuyers?
Despite historically low inventory, unrenovated home sales have dipped 50% in the past year. We’ll take a look at the potential implications for both buyers and sellers.
US stocks were slightly mixed Thursday on the back of better-than-expected economic data.
• According to the latest revised GDP numbers, the US economy grew by an annualized 2% in Q1. This is well above the 1.4% forecast and previous estimate of 1.3%. The upside surprise was largely attributed to consumer spending growth accelerating more than expected to 4.2% and exports and imports rising 7.8% and 2%, respectively.
• The number of Americans filing for unemployment benefits for the week that ended June 24 was 239,000. This was notably below estimates and the previous week’s 20-month high of 265,000. The latest figure highlights a somewhat extended period of labor-market resilience after recent concerns of softening following three-consecutive weeks above 260,000.
• All 23 of the largest banks in the United States passed the Federal Reserve's annual stress test. The test simulated a severe recession scenario with $541 billion in projected losses for the group. Despite the hypothetical losses, the banks demonstrated the ability to maintain minimum capital levels and continue lending to consumers and corporations.
What to be on the lookout for today
• The Fed’s favored inflation metric, the core PCE index, will be released for May. In April, this inflation metric — which excludes food and energy prices — rose 0.4% on a monthly basis. Given the Fed’s newly pronounced data-driven approach to policy decisions, the May PCE reading could foreshadow the central bank’s next move.
• Alcohol conglomerate Constellation Brands (STZ) will report. It is expected to tout Modelo’s rise to become America’s best selling beer over the past few weeks.
Feeling stressed about money?
Late bills. Penalties. Feeling like you can’t save for what you want…
If any of it sounds familiar, one smart solution could be to sign up for direct deposit with SoFi:
• You can get your paycheck up to two days early. That’s extra time to get a grip and get ahead.
• Your money shows up automatically — without waiting for a paper check through the mail — making paying bills on time a breeze.
• Your money can grow at a very competitive rate of up to 4.30% for savings and 1.30% for checking.
Plus, nothing eases stress like taking charge. Go for it! Master your money now — and take the rest of the day off.
Today’s top stories
“Look ma, no handbags!” Sales of fanny, waist, and chest packs soared 56% last year, while traditional handbags dropped. TikTok influencers aren’t the only ones riding this trend — here’s why investors may be, too. Read more >> Salesforce (CRM), Microsoft (MSFT), and Google (GOOGL) have thrown their collective weight (and $100 million) behind the generative AI startup Typeface. See what sets the startup apart from other competitors offering one-stop shops for AI-generated content. Read more >> Is it best to prioritize saving or paying off debt? The answer depends on your financial situation, needs, and goals. Here’s what you’ll want to consider. Read more >>Not-so-breaking news
-
Overstock.com (OSTK) is changing its website name to Bed, Bath, & Beyond. This news comes after Overstock bought the bankrupt retailer’s IP and digital assets for $21.5 million.
-
Exxon Mobil (XOM) is developing lithium-rich land in Arkansas as part of a deal with Tetra Technologies (TTI). The oil giant seeks to expand into the lithium industry amid the nation’s increased emphasis on electric power.
-
Virgin Galactic (SPCE) successfully flew its first commercial space flight. Passengers onboard were able to experience a few minutes of weightlessness and glimpse the earth’s curvature.
-
National Geographic (DIS) laid off its remaining staff writers. The nature-focused publication with 1.7 million subscribers will continue to release monthly issues.
-
OpenAI has been sued in a proposed class action lawsuit claiming it stole “massive amounts” of data. The ChatGPT creator is accused of using personal data to help train its AI algorithm.
Financial planner tip of the day
“The 30-day rule can be an excellent way to manage excess spending on items that we want rather than need. After 30 days have passed, if you still wish to purchase an item, then you can potentially do so, knowing that it’s no longer an impulse buy.”
Brian Walsh, CFP® at SoFi