Finance
Fed Chair Warsh Declines to Signal October Rate Move as Brent Oil Touches $110, First Time Since May
Speaking in Bangkok a month after the Fed's first rate hike since 2023, Warsh said he does not prejudge meetings, while futures traders priced roughly an 82% to 85% chance the Fed holds rates steady on Oct. 27-28.
Treasury and OCC Fine Bank of America $1.21 Billion Over Money-Laundering and Sanctions Failures; Shares Fall About 5% After Third-Quarter Revenue Misses Estimates
FinCEN set a $1.2 billion penalty, the OCC set a record $750 million penalty that counts toward it, and OFAC settled for $11.6 million on Oct. 13. A day later the bank reported quarterly revenue below Wall Street forecasts.
Social Security Sets 3.6% Cost-of-Living Increase for 2027, Largest Since 2023
The raise adds about $75 a month to the average retired worker's check starting in January; advocates say it trails what older Americans actually pay, and fiscal watchdogs say it adds to the program's long-term gap.
S&P 500 Falls 1.1% and Nasdaq 1.9% After September CPI Shows 3.7% Annual Inflation; Traders Raise Odds of an October Fed Hike
Gasoline rose 9.1% in a month and core prices beat forecasts by a tenth of a point. Tech and AI-infrastructure stocks led Wednesday's decline, while health care and consumer staples rose.
JPMorgan Reports Third-Quarter EPS of $5.57, Below Analyst Estimates, as Bond-Trading Revenue Comes In at $5.37 Billion; Shares Down About 3.5% Premarket
The largest U.S. bank earned $15.31 billion. Its fixed-income trading desk brought in less than the roughly $6 billion analysts expected, and the size of the revenue miss depends on which of the bank's two revenue figures is used. Goldman Sachs, Citigroup and Wells Fargo also reported Tuesday.
South Korea's Kospi Closes Down 5.46% After Falling as Much as 7.4%, Led by SK Hynix and Samsung; Micron Fell 3.9% in U.S. Trading the Day Before
Investors sold memory-chip stocks after China's CXMT said it plans to launch a denser server memory chip by year-end and after a Broadcom executive warned about AI spending. The drop started on Wall Street Monday and spread to Seoul on Tuesday.
Brent Swings Between About $102 and $105 Monday After Trump Announces Russia-Ukraine 'Energy Ceasefire'; Energy Department Loaned Up to 4 Million Barrels of Reserve Crude to Exxon and BP on Saturday After Isaias
Brent was down $1.54 at $103.18 in early Asian trading, then reversed; Reuters had it at $105.41 by 0923 GMT. A drone strike on a tanker off Oman and a projectile strike near Hormuz kept Gulf risk in focus. The Kremlin has not confirmed the truce. U.S. stock futures were mixed and the bond market was closed for Columbus Day.
S&P 500 Rises 0.6% to 7,811.54 Friday and 1.15% for the Week; Brent Settles at $104.72 as Hurricane Isaias Shuts 71.5% of U.S. Gulf Oil Output
Stocks rose Friday after Thursday's AI-led tech selloff, and oil ended slightly higher after giving up early losses tied to President Trump's Iran remarks. Ahead are a hurricane landfall, the Oct. 14 inflation report and the start of earnings season.
Initial Jobless Claims Dip 2,000 to 197,000; 10-Year Treasury Yield at 5.23% Ahead of Oct. 14 CPI Report
Layoffs stayed near their lowest level since the late 1960s in the week ending Oct. 3. Hiring stayed slow. Treasury yields sit near their highest since 2002 and Brent crude is above $100, and that is the backdrop for next week's September inflation data.
Nasdaq Falls 1.25% to 27,193.34, Its Worst Day Since Mid-August, After Report Puts OpenAI's Annualized Revenue Near $50 Billion; Futures Rise Friday
Chip and AI-infrastructure stocks led Thursday's drop. A widely reported $70 billion figure turned out to count partner sales that OpenAI's own figure leaves out. On Friday, a Bloomberg report that OpenAI expects $70 billion or more by December lifted futures.
Fed Minutes: All 19 Officials Backed September Hike to 3.75%-4.00%; Most Said Another Increase Is Likely by Year-End
Minutes released Oct. 7 show officials agreed on the quarter-point hike but gave different reasons for it. Weak jobs data released since the meeting has cut market odds of an October move.
Brent Falls 38 Cents to $100.20 After IEA Members Agree to Put Diesel First in Emergency Stock Release
Oil was higher earlier Wednesday amid Gulf and Yemen attacks, then turned lower after the IEA backed a faster, diesel-first release of the 100 million barrels the G7 announced Oct. 2. U.S. diesel stays near $6.32 a gallon.