Wednesday,
September 6, 2023
Market recap
Dow Jones
34,641.97
-195.74 (-0.56%)
S&P 500
4,496.83
-18.94 (-0.42%)
Nasdaq
14,020.95
-10.86 (-0.08%)
Top Story
Fee frenzy: Renters have to pay up yet again
Landlords are slamming tenants with new fees, bolstering their revenues and serving as a reminder to review your lease agreement and read the fine print.
US stocks fell on Tuesday amid ongoing pressure in the oil market
• Saudi Arabia extended its voluntary oil production cut of 1 million barrels per day until the end of the year. This will put Saudiâs crude output near 9 million barrels per day until year-end with monthly reviews.
• British chip design firm Arm is seeking a valuation of up to $52 billion in its upcoming initial public offering on the New York Stock Exchange. The company submitted an updated filing with the Securities and Exchange Commission, setting a price range between $47 and $51.
• Warner Bros. Discovery (WBD) has adjusted its earnings expectations in the face of the ongoing writers' and actors' strikes, which have halted production. The company is expecting its adjusted full-year 2023 earnings to take a hit of $300 million to $500 million. The company assumes the financial impact will persist through the end of the year.
What to be on the lookout for today
• Investors will get a look at the health of the U.S. services industry in August. There will also be an update to the 30-year fixed-rate mortgage, which currently sits at 7.31%.
• C3.ai (AI) will hand in its earnings report and likely speak on its most recent partnership with the U.S. Air Force. Dave and Busters (PLAY) and American Eagle (AE) will also offer updates on their respective businesses.
Should I pay off my mortgage or invest?
If you are one of the millions of homeowners with a mortgage, you might be wondering whether it makes sense to pay off your home loan or invest. If you have set up a budget and are fortunate enough to have a bit of extra money each month, it's only natural to wonder how to best put it to use. Here's a look at some of the pros and cons.
The case for investing
For many people, it can make the most financial sense to invest rather than paying extra to a mortgage. This is especially true if you have access to a tax-advantaged account like an IRA or 401(k), or a mortgage with a relatively low interest rate.
Think of it this way: Paying down your mortgage is essentially "earning" whatever interest rate your mortgage is at â and you may be able to do much better in the stock market or with other investments. Paying down your mortgage also means that the money you put toward the principal is difficult to get back out if you end up needing it later.
The case for paying down your mortgage
There's something truly satisfying about being completely "debt-free." Owing nothing may give you peace of mind that's more meaningful than any incremental financial savings. Other reasons to consider paying down your mortgage might be a very high interest rate on your home loan, or if paying your mortgage down can help you get rid of PMI (private mortgage insurance).
Looking to learn more about investing? Check out SoFi Invest and learn about investing basics for beginners.
Todayâs top stories
Meet the 5'8" humanoid robot revolutionizing warehouses. Ever imagined working alongside a robot? It's not sci-fi anymore. Say hello to Apollo, your new coworker⌠Read more >> Sizzling US cities are utilizing new reflective technologies to keep cool. Thanks to all the asphalt, major cities â AKA urban âheat islandsâ â can be as much as 10 degrees hotter than their surrounding suburbs. In response to record heat waves, many cities are deploying federal funds and tax incentives to try and find creative cooling solutions⌠Read more >> When should you start saving for college? Itâs never too late. Here is what you need to know if youâre a parent who is starting late with saving for college. Read more >>Not-so-breaking news
-
Mercedes-Benz (MBGAF) just unveiled new EV concept cars that could go 466 miles on a single charge. Thatâs further than any Tesla model, which max out at around 380 miles.
-
Novo Nordisk (NVO) has surpassed LVMH (LVMUY) as Europeâs most valuable company. The pharmaceutical company produces the popular weight-loss drugs Ozempic and Wegovy.
-
SAG-AFTRA is asking its eligible members to organize a strike against video game production companies. The actorâs union is also still on strike against Hollywood film and TV studios.
-
Disney (DIS) is urging customers to pick Hulu live over Spectrum (CHTR) as distribution negotiations with Spectrum parent Charter Communications drag on.
-
A UAW strike looks increasingly likely, with the current contract set to expire on September 14. The autoworkerâs union is holding out for a 46% pay raise, a 32-hour workweek, and a restoration of traditional pensions.
Financial planner tip of the day
âVariable rate loans may seem attractive because the initial rates are often lower than fixed-rate loans. However, since rates will fluctuate, variable rate loans can be more costly in the long run, especially if a borrower has the loan for a lengthy period of time.â
Brian Walsh, CFPÂŽ at SoFi