Monday,
September 18, 2023
Market recap
Dow Jones
34,618.57
-288.54 (-0.83%)
S&P 500
4,450.30
-54.80 (-1.22%)
Nasdaq
13,708.33
-217.72 (-1.56%)
Top Story
Inflation rose in August. Will the Fed once again hike rates in response?
It’s Fed week! Investors expect interest rates will be left unchanged at this week’s FOMC meeting, but let’s see if recent inflation data changed that.
US stocks fell on Friday as the United Auto Workers union strike against America’s Big Three car makers — General Motors, Ford, and Stellantis — and rising bond yields put pressure on equities
• Planet Fitness (PLNT) dropped nearly 16% after its board of directors removed CEO Chris Rondeau. Rondeau will continue to serve on the company's board and fellow member Craig Benson will step up as the interim CEO.
• Consumer sentiment slipped in September. An early look at this month’s data saw the University of Michigan Consumer Sentiment index slip for a second month in a row following a near two-year high in July. Attitudes around current economic conditions worsened compared to the previous month as rising food and fuel costs weighed on purchasing power. Even so, sentiment is still well above the all-time low reached in June last year. In company news, shares of workout chain.
What to be on the lookout for today
• The housing market index for September will be released. This gauge for current single-family home sales, compiled by the National Association of Home Builders and Wells Fargo (WFC), dropped in August.
• Stitch Fix (SFIX) will hand in its earnings report today, possibly addressing the closure of its UK business.
Reach your financial goals by saving smarter
We’re all saving up for something, be it a vacation, college, a big purchase, or the downpayment for a home. Putting money away regularly sounds easy enough, but the bigger your goal, the more anxious your savings might make you. Thankfully, there are ways to make your money work smarter for you.
First things first: set a budget
If you want to be able to maintain your savings rate over a longer period of time, you should start by drawing up your budget. This doesn’t have to happen with pen and paper – an app or tool your bank provides will work just as well. There are many ways to budget, but a popular method is to follow the 50/30/20 rule, contributing 50% of your earnings to musts, 30% to wants, and 20% to savings. This way you know what to expect out of your paycheck.
Make your money work for you
The 20% of your paycheck earmarked for savings (if we’re following the 50/30/20 rule) might be destined for a traditional savings account. But the interest your money can earn there is limited. Instead, look out for high yield savings accounts, which allow you to take advantage of higher rates. If you earn a higher interest rate on your deposits it will help you hit your savings goals faster.
Check out SoFi’s high yield savings accounts and learn how it can help you reach your financial goals.
Today’s top stories
Historic strike hits America’s Big Three automakers The United Auto Workers union took an unprecedented step last week with simultaneous strikes across Ford (F), General Motors (GM), and Stellantis (STLA) factories. This could spell turbulence across the industry, affecting everyone from producers to purchasers… Read more >> Retailers lose $100 billion annually to low grade fraud Overstretching a return policy limit or using a promotional code twice might not sound egregious, but it’s costing retailers literal billions. Read more >> This is why you should verify your checks Nobody wants to fall prey to a scam. Here’s why you should verify your checks, and what to look out for. Read more >>Other news that caught our eye
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Google will pay $93 million to settle a lawsuit with the state of California for tracking and storing user location data.
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Salesforce plans to hire 3,300 new workers in engineering, sales, and data cloud divisions after cutting about 10% of its workforce earlier this year.
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Media mogul Byron Allen has offered $10 billion to buy ABC, FX, and National Geographic from Disney. The comedian-turned-producer owns The Weather Channel and several regional sports networks.
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The IRS temporarily stopped processing claims for a small business tax credit (the employee retention credit), after receiving a “surge of questionable claims.”
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French supermarket chain Carrefour is labeling product prices as “shrinkflation”, directing customer awareness to companies that have reduced packaging size while maintaining or raising prices to drive profits.
Financial planner tip of the day
"Food, bills, rent, and everything else you must pay for on a month-to-month basis is an immediate need. Often people keep this money — along with a cushion so as not to overdraft their account — in a checking account."