Friday,
February 2, 2024
Market recap
Dow Jones
38,519.84
+369.54 (+0.97%)
S&P 500
4,906.19
+60.54 (+1.25%)
Nasdaq
15,361.64
+197.63 (+1.30%)
Top Story
Companies are looking at higher taxes this year, and investors should keep an eye
The global minimum tax of 15% is due to take hold this year. But not all countries have implemented the new rules. Learn what this could all mean for companies and investors.
US stocks rebounded Thursday as earnings season continued
• Mastercard shares rose 2.6% on better-than-expected earnings, thanks to healthy consumer spending. Pharma company Merck also beat forecasts, sending its stock up 4.6%. Oil giant Shell beat expectations, increased its dividend, and announced a $3.5 billion share buyback program, sending its stock 1.9% higher.
• Ferrari’s stock surged 12.6% after beating expectations, reporting a record year of profits, and confirming that seven-time world champion Lewis Hamilton will join its F1 team starting in the 2025 season.
• Peloton shares plummeted 24.3% after posting mixed results, and forecasting lower sales and earnings than expected, and shares of semiconductor company Qualcomm fell 5% despite beating estimates.
• Shares of Volvo soared 26.4% after announcing it would stop funding its subsidiary Polestar Automotive, as it considers handing off ownership of the brand to majority shareholder Geely Holdings.
• Jobless claims rose, with first-time applications rising to their highest level since mid-November. In other economic news, manufacturing activity contracted for the 15th straight month, but moved to the highest level since October 2022.
What to be on the lookout for today
• It’s jobs report day!
• In company earnings, oil titans Chevron and ExxonMobil will report. We’ll also get results from AbbVie, Bristol-Myers, and Regeneron.
Fixing the wealth gap: Black Americans are investing more
Wealth isn’t distributed equally in the U.S. — that’s what’s known as the wealth gap. And even though data shows that the wealth of Black Americans is growing, so is the racial wealth gap.
Investing is one of the primary ways to build wealth, and there has been an increase in stock ownership across the board in recent years. Black Americans are among the fastest-growing groups of investors.
Young investors leading the charge
Investing early in life gives you a longer investment horizon, and may help you reach your financial goals down the line. Before you invest, learn about your risk tolerance and what investment approach may be right for you.
For many investors, saving through an employer-sponsored retirement account, such as a 401(k), was the first foray into the investment world.
Want to help grow your retirement savings with an IRA? SoFi can help with that.
Today’s top stories
Your Super Bowl celebration might cost less this year Inflation cooled just in time for you to go gameday shopping. But hold on, there’s still some nuance to navigating the costs. Read more >> What does the Dept. of Education’s FAFSA delay mean for students? A two month delay in sending completed financial aid applications to colleges is spelling turmoil for college applicants. Read more >> Everything that made markets move in January Record highs in the stock market, easing inflation, geopolitical tensions. It was a whirlwind of a start to the year. Read more >>Other news that caught our eye
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The House of Representatives approved a $78 billion package of tax breaks that would increase the Child Tax Credit, and reinstate income deductions on business R&D, as well as certain capital investments through 2025.
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Hulu is following Netflix’s lead in cracking down on password sharing, banning account sharing outside of households starting March 14.
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The U.S. Consumer Product Safety Commission is prepping an order that would force Amazon to assume greater responsibility for the safety of third-party goods sold on its platform.
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Subway’s new footlong cookie is so popular it has created a shortage, pushing the item temporarily off menus less than two weeks after its debut.
Financial planner tip of the day
“Investing isn’t just for the wealthy; it’s for anyone who wants to achieve financial goals. There are low-cost, simple, and effective investing options that are accessible to investors of all sizes.”
Brian Walsh, CFP® at SoFi