Wall Street Today | Stock Faithful Hope for a Wild Rally Before Merciful End to 2022
MACRO
Fed Could Be Pushed by Overheated Wages to Higher Peak Rates
Monthly wages rose at the strongest pace since January and US employment surged more than forecast last month, a report showed Friday. That will concern Fed Chairman Jerome Powell, who this week cautioned that slacker job-market conditions and less-lofty earnings growth were needed to cool an inflation rate near a 40-year high.
Officials will update their quarterly forecasts at the December meeting and could lift their median projection for the rate peak next year to 5% or above. St. Louis Fed President James Bullard has called for a minimum 5.25% peak.
Economists Think They Can See Recession Coming—for a Change
If the economy shrinks next year, no one should be surprised. We’re facing the most widely forecast recession in history—and investors don’t seem to care.
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Stock Faithful Hope for a Wild Rally Before Merciful End to 2022
A less hawkish Federal Reserve and encouraging inflation data could unleash a mega-rally in December, which has proved to be a strong month for the stock market over the past 70 years. This year, though, it may get off to a late start: With all the twists and turns heading into 2023, even bulls may sit on the sidelines until the release of the next key inflation report on Dec. 13.
SECTORS
OPEC+ Agrees to Stick to Its Existing Policy of Reducing Oil Production Ahead of Russia Sanctions
OPEC and non-OPEC producers, a group of 23 oil-producing nations known as OPEC+, decided to stick to its existing policy of reducing oil production by 2 million barrels per day, or about 2% of world demand, from November until the end of 2023.
Energy analysts had expected OPEC+ to consider fresh price-supporting production cuts ahead of a possible double blow to Russia’s oil revenues.
Business-Software Companies Say Customers Are Pulling Back Amid Economic Concerns
Customers for companies such as $Salesforce (CRM.US)$, $Okta (OKTA.US)$ and $CrowdStrike (CRWD.US)$ are taking longer to sign deals, and in some cases slowing their hiring plans as they try to protect their bottom lines, the software providers reported this past week. That trend has created a cloudy outlook for many in the once-booming business-software sector, which benefited from years of demand as customers looked to use the products to trim costs and maintain their businesses during the pandemic.
"Certainly, the buyer environment has changed out there in the market. It’s become more measured,” Brian Millham, chief operating officer at Salesforce, said on an analyst call.
From CNN to Paramount, Media Companies Cut Jobs as Pressures Mount
An advertising slowdown, economic worries and strains of the shift to streaming have many major media companies in cost-cutting and layoff mode.
News organizations, TV networks, movie and television studios, and entertainment giants laid off hundreds of workers over the past week alone, including $Warner Bros Discovery (WBD.US)$'s CNN and $Paramount Global-B (PARA.US)$'s television-production units.
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COMPANY
Ford Claims No. 2 Spot in EVs Behind Tesla – But Gap Remains Wide
$Ford Motor (F.US)$ said Friday that it has achieved CEO Jim Farley's goal of becoming the second best-selling automaker of electric vehicles in the U.S. Ford said its share of the electric vehicle segment was 7.4% through November, up from 5.7% a year earlier.
Ford reported sales of 53,752 all-electric vehicles in the U.S. through November. $Tesla (TSLA.US)$ , which does not break out domestic results, reported global deliveries of more than 908,000 EVs through the third quarter.
Apple and Amazon Resume Advertising on Twitter, Report Says
$Apple (AAPL.US)$ and $Amazon (AMZN.US)$ are planning to resume advertising on $Twitter (Delisted) (TWTR.US)$, according to media reports on Saturday.
The developments follow an email sent by Twitter on Thursday to advertising agencies offering advertisers incentives to increase their spending on the platform, an effort to jump-start its business after Elon Musk's takeover prompted many companies to pull back.
On Saturday, a Platformer News reporter tweeted that Amazon is planning to resume advertising on Twitter at about $100 million a year, pending some security tweaks to the company's ads platform.
Source: Bloomberg, Dow Jones, CNBC, Yahoo Finance
Disclaimer: Moomoo Technologies Inc. is providing this content for information and educational use only.
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71707650 : Oh F off overheated wages, oh yeah Wendy's is paying enough to buy a combo meal an hour that's what lead to Higher peak rates.
70784737 : Dump time
Kevonte Murry : What![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")