Economists have been looking for cracks in U.S. consumer spending for years now amid persistent inflation and higher interest rates, but until recently, Americans have defied the odds at every turn. Despite consistent recession forecasts and dismal consumer sentiment numbers caused by the soaring cost of living, Americans managed to continue spending at record levels until recently. But in April, retail sales growth stopped completely. And now, major retailers’ earnings reports have revealed some stark warning signs about the health of the American consumer. First, to be clear, Walmart won the day. The retail giant topped Wall Street’s earnings and…
Author: insighter
Roundhill Investments wants to mimic the success of its Magnificent Seven ETF (MAGS) in China.The firm’s CEO Dave Mazza plans to launch the Lucky Eight ETF, which aims to be China’s answer to the success of Wall Street’s big tech stocks.”There’s a lot of question marks about the Chinese economy and the potential for growth of the consumer in China,” Mazza told CNBC’s “ETF Edge” on Monday. “But at the end of the day, we believe that investors are looking for exposures that give them precision, just like we found with MAGS.”Trading under the ticker “LCKY,” the Lucky Eight ETF…
Budget travelers rejoice. Just in time for summer travel to really kick off, major U.S. low-cost carriers Spirit Airlines and Frontier Airlines made big pricing updates and dropping change and cancellation fees. Frontier and Spirit offer low base fares, but any add-ons for basic amenities like seat selection or carry-on luggage come at a price. The total cost sometimes rivals other full-service airlines. And until now, changes and cancellations have also come at a steep cost. This move follows a growing trend in the airline industry in response to the COVID-19 pandemic. Previously, Southwest was one of the only domestic…
Jensen Huang, co-founder and chief executive officer of Nvidia Corp., during the Nvidia GPU Technology Conference (GTC) in San Jose, California, US, on Tuesday, March 19, 2024. David Paul Morris | Bloomberg | Getty ImagesNvidia reported fiscal first-quarter earnings on Wednesday that beat expectations for sales and earnings, and provided a strong forecast for the current quarter.Nvidia’s results have become a way for investors to gauge the strength of the AI boom that has transfixed markets in recent months. Its strong results on Wednesday suggest that demand for the AI chips Nvidia makes remains strong, and CEO Jensen Huang said the…
Michael M. Santiago | Getty ImagesThe U.S. stock market has been swooning. But there are risks that threaten to put a lid on the euphoria.The three “primary” risks are Federal Reserve policy, a surprise recession and lower-than-expected results on companies’ earnings, David Rosenberg, founder and president of economic consulting firm Rosenberg Research & Associates, said Wednesday at CNBC’s Financial Advisor Summit.The S&P 500 and tech-heavy Nasdaq closed at record highs on Tuesday. The U.S. stock indexes are up about 11% each so far in 2024, as of about 3 p.m. ET on Wednesday.Big threats to the stock marketNvidia, an artificial…
Southwest Airlines fares now appear with prices on Google Flights.This marks a significant shift for the carrier, which has historically not allowed its fares to appear on third-party flight aggregators, such as Google Flights and other online travel agencies. That made it difficult to compare Southwest fares against other airlines, as travelers would have to separately search Southwest’s own website to find flights and see prices.Now, Southwest fares display just like the other airlines in the search results. Here’s how it looks today:When you select the Southwest flight, the next screen displays the possible fare classes you can book. While…
Millions of people in the U.S. report using marijuana daily or nearly every day, according to an analysis of national survey data, and those people now outnumber those who say they are daily or nearly-daily drinkers of alcohol. Alcohol is still more widely used, but 2022 was the first time this intensive level of marijuana use overtook daily and near-daily drinking, said the study’s author, Jonathan Caulkins, a cannabis policy researcher at Carnegie Mellon University. “A good 40% of current cannabis users are using it daily or near daily, a pattern that is more associated with tobacco use than typical alcohol…
The U.S. economy has remained remarkably strong.Boosted by a strong labor market, the country has continued to expand since the Covid-19 pandemic, sidestepping earlier recessionary forecasts even after a series of Federal Reserve interest rate increases.And yet, consumer sentiment recently sank to a six-month low.That disconnect is what Joyce Chang, JPMorgan’s chair of global research, calls a “vibecession.”More from FA Playbook:Here’s a look at other stories impacting the financial advisor business.”If you’re a homeowner or if you own financial assets, you’ve done very well, but you’re leaving out huge segments of the population,” Chang explained in a session during the CNBC Financial Advisor Summit on Wednesday.”The wealth creation was…
Solar net metering, or NEM, is a billing mechanism that credits homeowners and businesses for excess solar electricity they generate and send to the power grid. The credits reduce the owner’s electric bills immediately or at a later time. Net metering, available in many states, makes solar more affordable.Even though they produce their own power, solar panels are usually connected to the power grid. Net metering lets you use the power grid as a giant battery to store electricity you generate but don’t use right away. When your panels aren’t producing as much electricity as you’re using — or aren’t…
As customers pull back from fast-food dining due to escalating prices, a number of chains are offering deals to entice those customers back. Now Wendy’s has joined the trend, but it’s taking the price wars to a different meal. Wendy’s has announced a new breakfast combo, which will give customers potatoes and their choice of either a Bacon, Egg & Cheese English Muffin or a Sausage, Egg & Cheese English Muffin for $3. Other discounts have largely been focused on the lunch and dinner crowds. The Wendy’s special is already in effect—and while McDonald’s has been very clear that its…
People walk by a CitiBank location in Manhattan on March 01, 2024 in New York City. Spencer Platt | Getty ImagesLONDON — British regulators on Wednesday dished out a combined £61.6 million ($79 million) in fines to U.S. investment bank Citi for failings in its trading systems and controls.The fines were issued by the Prudential Regulation Authority and the Financial Conduct Authority, whose investigation focused on the period between April 1, 2018, and May 31, 2022. Citi qualified for a 30% reduction in the amount of the penalty after agreeing to resolve the matter.”Firms involved in trading must have effective controls…
If you’re planning on renting a car while traveling, you’ll want to make sure that you’re covered with insurance. Most rental car companies offer some coverage at an extra cost, but these options tend to be expensive. But affordable rental car insurance is out there — it just takes some effort to coordinate.Here’s a look at how car rental travel insurance works, what it covers and other options for making sure you’re insured while on the road in a rented car. Does travel insurance cover car rentals?Yes, many travel insurance policies include some form of rental car coverage. If it’s…