Monday,
July 3, 2023
Market recap
Dow Jones
34,407.60
+285.18 (+0.84%)
S&P 500
4,450.38
+53.94 (+1.23%)
Nasdaq
13,787.92
+196.59 (+1.45%)
Top Story
President Biden vows “the fight is not over” after the Supreme Court blocked his administration’s federal student loan forgiveness program on June 30.
Biden is creating a program that will let people with federal student loan debt ease into payments and avoid being reported to credit agencies for up to one year. He also plans to change income-driven repayment by reducing the monthly amount owed to 5% of a borrower’s discretionary income.
US stocks finished higher Friday to close out the second quarter and first half of the year on a high note
• Wall Street received the latest numbers for core PCE, the Fed’s favored inflation index, which saw a 0.3% increase in May. This was in line with market expectations and signaled a slight easing from the previous month’s 0.4% increase. Yearly, the index rose by 4.6% compared to the previous month’s 4.7%. However, headline PCE for May saw an encouraging decline from 4.3% to 3.8%, the lowest reading since April 2021.
• Personal income in the US rose 0.4% month-over-month in May. This was slightly above expectations and largely driven by a 0.5% increase in compensation from private wages and salaries. While good news for workers, the wage gains could be seen as counterproductive to the Fed’s fight against inflation.
• Google (GOOGL) announced it will block Canadian news outlets from appearing in search results. This follows the passage of Canada’s bill C-18, which would require Google and Meta to pay newsrooms for linking to their content. The bill stood to bring in $329 million for Canadian newsrooms annually. But Google and Meta argue the framework of the new law is "unworkable" and would expose them to "uncapped financial liability.”
What to be on the lookout for today
• The ISM manufacturing PMI for‌ June will be released. In May, this metric dipped slightly, marking the seventh straight month of contraction in the manufacturing sector.
Weird things you can rent out and get paid for
Looking to generate some extra money this summer with low effort? Try out one of these rental platforms and make passive income to build wealth in different ways by renting out...
1. Your car. Turo, established in 2010, is essentially the Airbnb of cars. The average annual income of one car is $10,516, per company data.
2. Yard space. Love dogs and have a yard? Turn it into a dog park with Sniffspot. Cash in and make dogs and their owners happy. Win, win.
3. Extra storage space. Let your unused space earn for you on the Neighbor app. People may use your space to store their tools, vehicles, or everyday items.
Whichever route you take, with SoFi Insights, you can manage your new income and set goals for that extra cash you’re making.
Today’s top stories
77% of employers think their employees’ well-being is improving. Only 33% of employees agree. When employees feel engaged and excited in the workplace, everybody wins. Check out three ways the best-run employers in the country are mending their connections with workers. Read more >> Albertsons (ACI) and Kroger (KR) are stuck in the checkout line. The proposed merger would create the biggest grocery chain in the country. It's faced backlash from the FTC, unions, and even customers. In its upcoming earnings call, Albertsons is set to share its perspective. Read more >> A small-bathroom remodel can pack a big punch and raise your home's value. Here are 10 ways to remodel a small bathroom without getting soaked. Read more >>Not-so-breaking news
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The International Association of Machinists voted to end a week-long strike. With this announcement, Spirit AeroSystems (SPR) — a key Boeing (BA) supplier — is set to reopen.
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Bausch + Lomb (BLCO) is buying the eye drop Xiidra for $1.75 billion from Novartis (NVS). The eye-care company, which spun off from parent Bausch Health (BHC) in May, will expand its drug portfolio with a product that did $487 million in US sales last year.
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Snapchat+ (SNAP) snapped up 4 million paid members in its first year. For $3.99 per month, this premium version of Snapchat gives users access to experimental and pre-release features.
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Apple (AAPL) surpasses $3 trillion market capitalization. It'd be the first company to ever reach this milestone. Apple stock is soaring due to the tech company’s strong balance sheet, diversified revenue streams, and stock repurchase program.
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Aspartame could be declared carcinogenic by the World Health Organization. This artificial sweetener is used in certain Coca-Cola (KO) drinks, Extra chewing gum, and a range of other products.
Financial planner tip of the day
“Instead of getting lost in the details of investing, the most important thing is understanding your relationship with risk. How much do you need to take, how much are you willing to take, and how much can you actually deal with when the rubber meets the road.”
Brian Walsh, CFP® at SoFi