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Receiving Social Security? You might see a $60 boost next year
The pace of inflation is slowing, and with it the size of cost-of-living-adjustments. Here’s what to expect for next year’s social security COLA.
US stocks were mixed on Wednesday as rising yields and oil prices continued to put pressure on markets
• The U.S. 10-year Treasury yield surpassed 4.6%, a level not seen since 2007. Meanwhile, U.S. oil hit its highest level since August of last year at nearly $94 a barrel.
• U.S. tech stocks officially entered correction territory , which could weigh on this year’s impressive market rally. Despite strong performances this year, stocks like NVIDIA (NVDA), Apple (AAPL), and Microsoft (MSFT) are all down over the past month.
• Orders for durable goods unexpectedly rose in August, recovering from a steep drop in July. Stripping out defense orders increased 0.9% following a 0.4% decline in July, signaling a bounceback in business spending.
• The 30-year fixed-rate mortgage rose for the third straight week to the highest level since 2000 at 7.41%. The average rate for bigger loans, also known as jumbo mortgages, reached its highest level in the history of the series, dating back to 2011.
• Shares of electric truck maker Rivian (RIVN) continued to rally some 3.5% following a bullish analyst note. HR and payroll firm Paychex’s (PAYX) stock also climbed more than 3% following the company’s earnings release.
What to be on the lookout for today
• The Commerce Department will release the final reading of Q2 GDP growth, along with the quarterly PCE index, which is the Fed’s favored inflation measure. Fed Chairman Jerome Powell will speak at an event in the afternoon.
• The Labor Department will also release weekly jobless claims, and Accenture, CarMax, and Nike will release earnings. In particular, investors will be eager to hear about Accenture’s recent investment in generative AI startup Writer.
Liz Looks at: Market Vital Signs
The S&P 500, the broadest measure of the U.S. stock market, has fallen some 7% from its July peak. While it may be too early to talk about an impending sharp drawdown, there are other measures of market trends investors should keep an eye on as we hurtle toward year-end.
Today’s top stories
A copper crunch could slow the world’s clean energy transition What do you need to move the world away from fossil fuels? This one rusty red metal that’s in short supply… Read more >> Fast-fashion is looking to the resale market to cut its carbon footprint While big brands like Zara (IDEXY) and H&M (HNNMY) champion resale for sustainability, new research questions the real environmental payoff. Read more >> Health insurance can be confusing. Here’s what you need to know It’s almost that time of the year again: health insurance enrollment. Medical expenses can get big quickly, so being on top of your physical and mental health is also part of your financial health. Read more >>Other news that caught our eye
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Costco is selling one-ounce gold bars online — and selling out in a matter of hours. The precious metal is often viewed as a safe haven investment and a hedge against inflation. The Costco purchase limit is two bars per member.
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Mortgage applications fell 27% year-over-year, mainly due to higher interest rates seen this year that has caused the average 30-year fixed-rate mortgage to rise above 7%.
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Hyundai and Kia recalled a combined 3.37 million vehicles due to risk of engine fires stemming from an internal brake fluid leak that can cause a short circuit.
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The Senate Banking Committee approved the Secure and Fair Enforcement Regulation Banking Act, a bill that seeks to grant legal marijuana businesses access to standard financial services while shielding banks from potential federal repercussions. It will now advance to the Senate floor.
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China’s struggling property developer Evergrande just missed another bond payment. The massive real estate company first defaulted on its debt in 2021, sparking the ongoing crisis.
Financial planner tip of the day
“Building a diverse portfolio can be achieved in a variety ways, whether an investor lets their passions for an industry or certain companies guide them, or they are attracted to the ease and low barrier to entry of an ETF. The key is to find the approach that works for you.”
Brian Walsh, CFP® at SoFi