To begin their trading day, investors should be aware of the following key news items:
1. Climbing marginally
After a fantastic November, Wall Street is hoping that equities may continue their upward trend this week. On Friday, the S&P 500 reached its highest level since March 2022, capping a five-week gaining streak. For five weeks running, both the Nasdaq Composite and the Dow Jones Industrial Average have increased.
2. An agreement in the heavens
For $1.9 billion, Alaska Air has agreed to purchase Hawaiian Airlines. Alaska CEO Ben Minicucci told analysts that he expects the Hawaiian acquisition will help Alaska compete with the four carriers that control the U.S. market. Hawaiian has struggled, partly because of the Maui wildfires and decreased traffic to and from Asia. However, the deal is potentially at risk from consolidation. The Justice Department under the Biden administration was successful in its attempt earlier this year to thwart a regional alliance between JetBlue and American Airlines. It also filed a lawsuit to halt JetBlue’s purchase of Spirit Airlines.
3. Spotify’s sour selections
The 1,500 people that make up 17% of Spotify’s personnel will be let go. In an email to staff, CEO Daniel Ek stated that the company is making “significant efforts to reduce our expenses” following a phase of growth during which money was more easily obtained. The employment cuts come after Spotify made hundreds of layoffs earlier this year. Recently, the corporation made moves to expand and strengthen its audiobook and podcast operations.
4. Continue to cheer
Thanksgiving weekend proved to be a successful one for retailers. It does not guarantee that they will experience an amazing holiday season. The industry’s worst-case scenario for a five-day shopping spree may not have been hinted at by the 8% surge in online expenditure and record traffic. The strength would indicate that budget-conscious consumers were looking for discounts online and scouting for early offers. Customers who would not have bought winter apparel during a warmer autumn may have done so as a result of a spell of chilly weather.
5. Just as valuable as gold
On Monday, the price of gold reached a record high before dipping slightly. As the price of the commodity keeps rising steadily, spot gold reached $2,100 per ounce. The war between Israel and Hamas has contributed to the metal’s recent surge in value, which can be attributed to geopolitical dangers. In the coming year, possible Fed interest rate reductions and the resulting decline in the value of the US dollar might increase the price of gold even further.
Source (CNBC)