How the $1 trillion infrastructure bill will direct billions toward tech spending
During the pandemic, the internet kept Americans going as much as highways and rails. Now, a $1 trillion infrastructure bill passed by the Senate on Tuesday is set to inject money into expanding broadband access and bring funding to other parts of the tech sector, including electric vehicles. At the same time, the bill includes new tax […]
Fed’s $8 Trillion Balance Sheet Will Only Grow
Tuesday, August 10, 2021 03:00 AM By Lisa Abramowicz (Bloomberg Opinion) — Don’t expect the Federal Reserve to materially shrink its balance sheet for quite some time. Analysts and economists are coming to the conclusion that U.S. central bankers will keep slowly expanding their $8.2 trillion stockpile for the foreseeable future, even if the economic recovery […]
Bond Yields Can’t Stay This Low Forever
Monday, August 9, 2021 06:26 AM By Bill Dudley (Bloomberg Opinion) — See if you can figure out which of these data points conflicts with the others: The U.S. economy grew at an annualized, inflation-adjusted rate of 6.5% last quarter; it added an estimated 850,000 jobs last month; consumer prices have risen 5% over the past […]
Why Stop at 5,000? S&P 500 Could Hit 6,000 in 2025
6:46:59 AM Wall Street strategists are making increasingly optimistic predictions for the S&P 500 Index, which closed Thursday at 4,429.10. Goldman Sachs’s David Kostin is now calling for 4,900 at the end of next year. Yardeni Research Inc.’s Edward Yardeni is targeting 5,000. Leuthold Group’s Jim Paulsen is looking out further, to 2025, and seeing […]
From Ford trucks to Xbox, the chip shortage is still causing problems
Starting next week, General Motors is again halting the assembly lines of several pickup truck plants because the company doesn’t have enough computer chips. The plants had been back up and running for just a week following a shutdown in July, which was also caused by the chip shortage. These production halts may not stop anytime soon. […]
Manchin Urges Powell to Start QE Tapering, Citing Inflation Risk
Thursday, August 5, 2021 01:57 PM By Craig Torres and Laura Davison (Bloomberg) — Senator Joe Manchin, the West Virginia Democrat, urged Federal Reserve Chair Jerome Powell to start pulling back on its $120 billion in monthly bond purchases aimed at providing stimulus to the economy by lowering borrowing costs. “I am deeply concerned that the continuing stimulus put forth by […]
Tech Firms’ Rising Margins Can Fortify S&P 500 Gains
8:50:12 AM Sectors linked to post-pandemic reopening — energy, real estate and financials — are leading the S&P 500 higher this year. But tech may take over, with margin growth in focus for investors concerned about cost inputs and slowing economic growth. Tech is viewed as generally more likely to weather inflation than other industries that need to […]
Goldman Sachs raises year-end S&P 500 forecast to highest on Wall Street because of low rates
PUBLISHED THU, AUG 5 20216:28 AM EDTUPDATED 2 HOURS AGO Hannah Miao@HANNAHMIAO_ A Wall Street sign is pictured at the New York Stock exchange (NYSE) in New York, March 9, 2020. Carlo Allegri | Reuters Goldman Sachs raised its year-end price target on the S&P 500, citing strong corporate earnings and favorable interest rates. The […]
U.S. Service Industries Expanded at a Record Pace in July
Wednesday, August 4, 2021 07:12 AM By Reade Pickert ISM measure jumps four points, topping all estimates Prices-paid index rises to highest in nearly 16 years (Bloomberg) — U.S. service providers expanded in July at the fastest pace in records dating back to 1997 as measures of business activity, new orders and employment all improved. The […]
Oppenheimer raises S&P 500 year-end forecast to the highest on Street, sees 7% gain
PUBLISHED MON, AUG 2 20217:26 AM EDTUPDATED 2 HOURS AGO Hannah Miao@HANNAHMIAO_ The Wall St. sign is seen near the New York Stock Exchange (NYSE) in New York City, May 4, 2021. Brendan McDermid | Reuters Investor demand, economic growth and continued friendly Federal Reserve policies should push the stock market ever higher to the […]