Thursday,
February 15, 2024
Market recap
Dow Jones
38,424.27
+151.47 (+0.40%)
S&P 500
5,000.62
+47.45 (+0.96%)
Nasdaq
15,859.15
+203.55 (+1.30%)
Top Story
Here’s why more deal activity in commercial real estate could be bad news
Low deal flow made it harder to value assets. With more deals coming to fruition, that’s changing, and forcing owners and lenders to confront a potentially ugly reality.
US stocks rebounded on Wednesday, recovering after Tuesday’s market rout following a hotter-than-expected inflation report
• Shares of rideshare company Lyft soared 35.1% after beating profit estimates and forecasting higher first-quarter gross bookings than expected. The stock initially rose even higher, spurred by a typo in the rideshare company’s earnings report erroneously saying its profit margin was expected to expand by 500 basis points, rather than 50.
• Competitor Uber also saw its stock surge 14.7% after announcing it would buy back up to $7 billion worth of shares.
• Shares of home service platform Angi surged 18.9% after reporting a near-triple-digit increase in earnings.
• Airbnb didn’t fare so well and reported a larger-than-expected loss, leading its shares down 1.7%.
• Instacart’s stock sank 1.9% after missing revenue estimates and announcing 250 job cuts on its first quarterly earnings call since its September IPO.
• Shares of MGM Resorts slipped 6.3% over concerns regarding the casino company’s margins.
• Kraft Heinz shares fell 5.5% on a steeper-than-expected decline in sales and slow revenue growth forecast.
What to be on the lookout for today
• It will be a busy day in economic data, with January retail sales, the New York state manufacturing index, and weekly jobless claims due.
• In earnings, Deere & Company will report.
Stubborn inflation numbers are ruining near-term rate cut dreams
Remember inflation concerns? The market thought we were over them, giddily pricing in expected Fed policy rate cuts for this year. But all that excitement got a healthy reality check with the January consumer price inflation data.
Even though the CPI isn’t the Fed’s preferred measure of price trends, it’s telling us that we’re not over this inflation thing. SoFi Head of Investment Strategy Liz Young dives into different inflation measures and what they’re telling us, as well as how to read the recent volatility in Treasury yields.
Today’s top stories
Why Hollywood should worry about YouTube Netflix may have won the streaming wars’ first round, but the battle with its closest competitor is just getting started. Read more >> Millennials’ wealth has grown by 80% since the start of 2019 Stock-heavy investing strategies have helped younger Americans grow their wealth at a breakneck pace in the past few years. Read more >> Know how your investment income might be taxed You may be familiar with capital gains taxes but it’s important to also understand the tax implications of things like dividends, interest, and retirement account withdrawals. Read more >>Other news that caught our eye
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Around 1,700 Disneyland characters and parade employees plan to unionize with the Actors' Equity Association.
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Microsoft and OpenAI found hackers are using large language models like ChatGPT to refine cybercrime tactics.
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Some Tesla owners claim water exposure is causing their Cybertrucks to rust. CEO Elon Musk previously described the vehicle’s stainless steel exterior as “literally bulletproof.”
Financial planner tip of the day
“Once money has been contributed to a retirement account, it’s time to invest that money. To say 'saving for retirement' is a bit misleading — really, it can be considered to be 'investing for retirement.'"
Brian Walsh, CFP® at SoFi