Wall Street Today | Fed's Goolsbee Calls for Policy Caution Amid Credit Uncertainty

Chicago Fed President Austan Goolsbee, who votes on monetary policy decisions this year, instead called for "prudence and patience" in assessing the economic impact of tighter credit conditions that are likely to stem from financial stress, the first official to suggest policymakers may need to hold off on further hikes for now.

New York Fed President John Williams also said Tuesday that Fed officials still have more work to do to bring down prices.

Expect the S&P 500 to drop at least 2% should the year-over-year inflation rate come in above the previous reading of 6%, Flood wrote in a note Tuesday. But stocks are likely to go higher, he says, if CPI meets or trails 5.1%, which happens to be the consensus estimate from economists in a Bloomberg survey. 

A net 9% of owners who borrow frequently said financing was harder to get compared to three months earlier, the most since December 2012, according to a survey from the National Federation of Independent Business out Tuesday. The same share expects tougher credit conditions in the next three months, matching the highest level in a decade.

Investors are betting on a challenging travel season for airlines as sky-high prices and the steady drumbeat of an approaching recession threaten to keep passengers away.

OpenAI will start paying people as much as $20,000 to help the company find bugs in its artificial intelligence systems, such as the massively popular ChatGPT chatbot.

Twitter Inc. has ceased to be an independent company after merging with a newly formed shell firm called X Corp., driving speculation about what Elon Musk intends for the social media platform.