Author: Press Room
Hello! This week’s ETF Wrap shines the light on banking ETFs after March’s brutal selloff and as banks deliver their first-quarter earnings.Please send feedback and tips to [email protected]. You can also follow me on Twitter at @cidzelis and find me on LinkedIn. Investors may still be licking their wounds from last month’s bank failures. Shares of SPDR S&P Bank ETF KBE, -1.66% and SPDR S&P Regional Banking ETF KRE, -1.87% have climbed this week as banks report their first-quarter earnings, but after being spooked in mid-March by the sudden failure of Silicon Valley Bank in California, investors aren’t piling funds into the beaten…
Oil futures settled lower Monday as investors eyed U.S. and global economic data for clues to the outlook for energy demand. A reading on the New York Fed’s Empire State business conditions index released Monday revealed the first increase in activity in five months. That pointed to strength in the U.S. economy, but also raised the potential for more Federal Reserve interest-rate hikes to combat inflation. Meanwhile, data on industrial output from China, and on the eurozone manufacturing and services sector are due out this week. Price action West Texas Intermediate crude for May delivery CL00, -0.34% CL.1, -2.36% CLK23,…
Dear Quentin, I am retiring soon with around $850,000 in stocks, $350,000 in a pension and about $30,000 in the bank. My husband and I own our home — worth around $275,000 — outright. We have been married for 37 years and have two children together, a son and a daughter, who are both adults and responsible for themselves. Neither of our children have partners or children of their own. My husband has a daughter from a previous marriage, my stepdaughter. She has a daughter, our granddaughter, who also has a daughter, our great-granddaughter. My stepdaughter and step-granddaughter live a…
For a decade, Andrew Beal waited for market conditions to change. With interest rates at rock-bottom levels, year after year, and other small and regional banks taking big risks to generate a little bit of income, Beal mostly did nothing. He sat on his hands while the assets of the bank that he ran decreased over a ten-year period. Then, a year ago, Beal pounced. As the Federal Reserve was about to embark on a rapid series of big rate hikes to fight inflation, the sole owner and chief of Beal Bank, based in Plano, Texas, started buying. He didn’t…
© Reuters Bed Bath & Beyond prepares for a potential bankruptcy filing, shares react By Davit Kirakosyan Bed Bath & Beyond (NASDAQ:) shares closed more than 35% higher today, while currently trading 29% lower after-hours following Bloomberg’s report in the morning, according to which the company is preparing for a potential bankruptcy filing as its recent attempts to raise funds have fallen short. According to the people familiar with the matter, the company is in talks with advisers and lenders regarding a Chapter 11 filing that could occur in the coming weeks. To finance itself during bankruptcy, the retailer is…
By Andrea Shalal WASHINGTON (Reuters) -The Group of Seven (G7) coalition will keep a $60 per barrel price cap on seaborne Russian oil, a coalition official said, despite rising global crude prices and calls by some countries for a lower price cap to restrict Moscow’s revenues. The G7 and Australia made the decision to maintain the cap over the past few weeks after a review of the $60 price – set in December with an aim to reduce Moscow’s ability to finance its war in Ukraine, the official said on condition of anonymity. It comes after four weeks of gains…
By Julie Zhu, Valentina Za, Scott Murdoch and Amy-Jo Crowley HONG KONG/LONDON (Reuters) -Credit Suisse Group AG’s dealmakers, hoping to secure jobs after UBS Group AG (SIX:)’s rescue takeover, are struggling to dispel fears about a culture clash and many will be disappointed, sources familiar with the talks told Reuters. UBS bankers over recent weeks have been meeting with their counterparts at Credit Suisse in the world’s biggest financial centres, to move quickly on potential new jobs once the merger is completed, four sources with knowledge of the talks said. Only a very small number of Credit Suisse senior bankers…
A lot of ink has been spilled speculating about FedNow, the US government’s forthcoming real-time payments infrastructure — especially how and why it differs from The Clearing House’s RTP product, same-day ACH and Visa Direct, etc. However, few have considered the key factor governing its ultimate success: will consumers, businesses, and institutions actually adopt FedNow? Fortunately, we have a lot to learn from the rest of the world, where real-time payment systems have proliferated in recent years, and can use their example to identify gaps in the US system. Hold On, What’s RTP Again? Real-time payments use digital infrastructure called…
After 1Q23 earnings and another missed growth goal, I continue to see Tesla TSLA as one of the most overvalued stocks in the market. Even in an optimistic future cash flow scenario, shares could trade as low as $28/share. Tesla’s latest earnings definitively show that it is not immune to competitive challenges and will likely see lower profitability in the future. But, its valuation implies the opposite. Any investor doing due diligence needs to be aware of the disconnect between Tesla’s fundamentals and the future growth implied by its stock price, which I will quantify below. What Happened? Where’s the…
Topline Tesla logged its largest daily stock price drop in more than three months Thursday after reporting quarterly earnings that met analysts’ top and bottom line expectations but amplified Wall Street’s concerns about the Elon Musk-led electric vehicle maker’s ability to deliver on hefty profit expectations. Key Facts Though the company’s sales and earnings per share for the first three months of 2023 were in line with forecasts, the report contained ample evidence of a potentially worrisome financial picture, as Tesla reported an 80% year-over-year decline in free cash flow and a 41% year-over-year drop in operating margin. Tesla’s stock…
