To begin their trading day, investors should be aware of the following key news items:
1. Continuing Momentum
The Dow Jones Industrial Average extended its winning streak to four days, closing Monday with a gain of 176.59 points, or 0.46%. The S&P 500 and the Nasdaq Composite also climbed for the third consecutive day, posting increases of 1.03% and 1.19%, respectively. Traders are growing increasingly optimistic about an earlier rate cut by the Federal Reserve.
2. Disney’s Strong Performance
Disney exceeded analyst expectations in its fiscal second-quarter earnings report, with its streaming services nearing profitability. Disney+ and Hulu collectively reported their first profitable quarter, helping to significantly reduce the overall streaming losses to $18 million compared to $659 million a year ago.
3. Social Security Funding
The latest trustees’ report has extended the projected lifespan of Social Security trust funds from 2034 to 2035. This timeline shift provides additional time for Congress to address any potential shortfalls, with projections indicating that 83% of benefits will remain payable by 2035.
4. Legal Action Against Bowlero
Employees of the bowling center chain Bowlero are planning to file lawsuits against the company following the Equal Employment Opportunity Commission’s decision to drop its case against Bowlero. Allegations include claims of age discrimination and retaliation leading to wrongful dismissals.
5. Decline in Homeownership Optimism
A recent survey by the New York Federal Reserve revealed a record-low level of optimism among renters regarding their future prospects of homeownership. Only 13.4% of renters in February expressed confidence in owning a home by 2024, down from 15% in 2023 and a significant drop from the high of 20.8% reported in 2014.
Source (CNBC)
