Economy
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Markets are settling into holiday mode, with stock futures slightly down on the last full trading day before Christmas. Here’s where things stand today: * Nasdaq-100: +0.37% * S&P 500: +0.04% (flat) * Dow Jones: -0.22% On Friday, the S&P 500 rose 1.1%, recovering
Quantum computing stocks are taking off in 2024. Is this the start of something big? Let’s take a closer look Google’s Chip Changes the Game Google’s new Willow chip, a 105-qubit processor, hit a big milestone: * Fixed Errors: It solved a 30-year problem by cutting down error
Government surveys that track the economy are failing. Budgets are shrinking, people are skipping surveys, and economic data we rely on is becoming less trustworthy. This is a big deal—because when the numbers are wrong, decisions that affect markets, businesses, and everyday life go wrong, too. Here’s what’
The S&P 500 Value Index just dropped 3.7%, marking its longest losing streak on record. Meanwhile, Bitcoin smashed past the $100,000 mark, and the Nasdaq climbed to 20,000. To me, it seems that value stocks have been left in the dust, and investors chasing bigger
Almost $10 billion has poured into Bitcoin ETFs since the US election, pushing Bitcoin past the $100,000 mark for the first time. The momentum is crazy, with Bitcoin posting its best winning streak since 2021. With investors pouring in, knowing the risks are more important than ever. Bitcoin’s
The stock market’s got jitters. Fears of slowing growth are pushing investors to bail on big tech and other high-ticket stocks. It’s been a wild week, and last Friday didn’t help—stocks and bond yields took a nosedive after a weaker-than-expected July payrolls report showed job growth slowed at 114,000 vs the original 176,000 expected.
Oil prices also slid as traders bet on slowing demand, despite rising geopolitical tensions.
Let’s rewind a bit. The trouble really started last Thursday when weak manufacturing and construction data spooked the market. This came right after the Fed decided to hold short-term rates steady at its July policy meeting.
Now, there’s a growing concern that the Fed might have waited too long to start cutting rates, and the economy could end up paying for it. By Friday, traders were already betting heavily on a half-point rate cut in September.
But the real pain? That’s been in big tech. The Mag Seven (Apple, Microsoft, Amazon, Google, Meta, Nvidia, Tesla)—the giants driving this year’s stock gains—have lost over $2.3 trillion in market value from their high in July. Ouch.
Microsoft and Alphabet were among the biggest losers, thanks to earnings reports that fell short of sky-high expectations. Investors were hoping for big things, especially with their AI investments, but both stocks sold off after the results.
Amazon didn’t escape the carnage either. They lowered their forward guidance, pointing to slowing revenue growth in their retail business. Consumers aren’t spending like investors hoped, and that sent Amazon’s stock down 9% for the week.
To top it off, our volatility index (I call it the fear gauge) hit its highest level of 2024 on Friday.
It's was a wild week for the stock market! So.. what’s the takeaway?
With the Fed likely to cut rates soon, we might be looking at a shift in market dynamics. Big tech’s taking a beating, but this could be a good time to look at sectors that have been down over the past year—like utilities, real estate, or even beaten-down consumer stocks. These areas could benefit from lower rates, making them a potential bright spot in a shaky market