Thursday,
November 2, 2023
Market recap
Dow Jones
33,274.58
+221.71 (+0.67%)
S&P 500
4,237.86
+44.06 (+1.05%)
Nasdaq Composite
13,061.47
+210.23 (+1.64%)
Top Story
Getting through the holidays without stressing about money
Itās the seasonā¦ to be stressed about money? Hold up. Holiday finances are a stressor for nearly half of Americans. Here are tips from SoFi Financial Planner Brian Walsh to manage your money this holiday season.
US stocks rose on Wednesday following the Federal Reserveās unanimous decision to hold rates unchanged
• The central bank acknowledged the recent strength in the labor market and economic growth, and reiterated that it would rely on data in determining future policy.
• Economic data painted a mixed picture: The ADP Employment Report showed private U.S. companies added 113,000 jobs in October, fewer than expected. The governmentās official jobs tally comes out Friday. Looking back at September, the number of job openings rose more than expected to the highest level since May. Hotel and restaurant jobs contributed the biggest increase. Economic activity in the manufacturing sector fell sharply from September, marking the 12th consecutive month of contraction.
• The average 30-year fixed-rate mortgage declined for the first time in two months.
• Shares of WeWork plummeted 46.5% following reports the coworking company plans to file for bankruptcy as soon as next week. WeWork entered a short forbearance agreement earlier this week after failing to make interest payments. Overall, its shares are down 97% this year.
• CVS beat estimates, but its shares fell slightly due to higher-than-expected medical costs at its insurance unit.
• Yum! Brands, parent company of KFC, Pizza Hut, and Taco Bell, posted mixed results, beating market estimates on earnings per share but falling short on revenue.
What to be on the lookout for today
• Itās another big earnings day with reports from Apple, Shopify, DraftKings, Eli Lilly, and āāNovo Nordisk.
• As usual on Thursdays, weāll also get the latest initial jobless claims numbers, along with preliminary quarterly labor productivity data.
Liz Looks at: The November Fed Statement
The Federal Reserve kept interest rates unchanged in November, giving us some breathing room to look at what to expect in the future.
SoFi Head of Investment Strategy Liz Young has the Fedās 2% inflation target on her mind, for one. Even though the pace of inflation has slowed down, itās still well above the target. So where do we go from here?
Todayās top stories
As earnings rise, the wealth gap widens The strong labor market and average earnings are higher on the year. But the wealth hasnāt been shared equally. What might bridge the gap? Read more >> Hereās what cheaper this Thanksgiving Holidays are expensive. But this year there will be one important reprieve on your Thanksgiving dinner table. Read more >> Understanding Fed interest rates Federal Reserve interest rate policy drives market action, and affects your mortgage rate. Here's what you need to know to understand how it works. Read more >>Other news that caught our eye
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The National Association of Realtors was found guilty of keeping home prices artificially high to boost commissions. The trade group will be liable for $1.8 billion in damages.
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LinkedIn just reached 1 billion members. This milestone puts Microsoftās platform in the company of the likes of Facebook, Instagram, and TikTok.
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The White House proposed a new rule to protect retirement security and fight junk fees. The rule would close a loophole allowing financial advisors to get paid for recommending certain investment products.
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Tesla is aiming to produce 200,000 Cybertrucks per year. The EV leader will begin delivering its electric truck on November 30th, roughly four years after unveiling it.
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Toyota voluntarily raised wages for its non-unionized factory workers. Following settlements with the Big Three automakers, the UAW has set its sights on organizing non-unionized automotive plants in the U.S.
Financial planner tip of the day
āVariable 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.ā
Brian Walsh, CFPĀ® at SoFi