To begin their trading day, investors should be aware of the following key news items:
1. The December chill
Last month, stocks were soaring. They are now gradually approaching Earth. The Dow dropped for the second day in a row on Tuesday, while the S&P 500 fell a little and the Nasdaq saw a tiny gain. The three major indices were divided.
2. A gentle landing in the distance
Economists are feeling more optimistic about the U.S. economy experiencing a “soft landing” based on the amount of job vacancies. That would imply that the Fed was successful in reducing inflation without starting a recession, creating a scenario akin to “Goldilocks,” where the state of the economy is “just perfect.” There will be additional job statistics soon. The nonfarm payrolls report for November is released on Friday.
3. Bitcoin develops
For the first time since April 2022, Bitcoin reached $44,000 on Tuesday, continuing its current upswing. At that, it’s up over 150% for the year. A significant factor? According to Tanaya Macheel of CNBC, there is increasing hope that a spot bitcoin ETF will be approved by US regulators in the upcoming year. Without actually owning bitcoin, users would be able to wager on its movements thanks to this offering. Another possibility is a decline in interest rates, which would encourage more investors to take a chance on unconventional and highly growth-oriented assets.
4. The warning about broadband
Big cable providers had a rough Tuesday since they already have to deal with those who are choosing to stream instead of cut the TV cord. After finance head Jessica Fischer warned that the business would lose broadband internet subscribers in the current quarter, shares of Charter Communications plummeted more than 8%.
5. The new “not Trump” on Wall Street
Nikki Haley, it’s your turn. In an attempt to locate a strong opponent for outgoing President Donald Trump in the 2024 GOP primary, Wall Street Republican funders have looked in vain. Haley has become the newest beacon of hope for affluent financiers, having herself worked in the Trump administration.
Source (CNBC)
