Summary Of the Markets Today:
- The Dow closed down 66 points or 0.17%,
- Nasdaq closed up 0.34%, (Closed at 17,668, New Historic high 17,742)
- S&P 500 closed up 0.23%,
- Gold $2,320 down $35.30,
- WTI crude oil settled at $78 down $0.42,
- 10-year U.S. Treasury 4.244 down 0.051 points,
- USD index $105.20 up $0.56,
- Bitcoin $66,564 down $1,685 or 2.47%
*Stock data, cryptocurrency, and commodity prices at the market closing.
Click here to read our current Economic Forecast – June 2024 Economic Forecast: Our Index Marginally Weakened And There Is Another Indicator Warning Of A Recession
Today’s Economic Releases Compiled by Steven Hansen, Publisher:
Honestly, I am really glad I do the analysis of inflation myself. If you read the vomit spewed by the financial wizards of the mass media you would be convinced inflation is abating. In fact, the way US Census released the Producer Price Index for final demand was also misleading: “The Producer Price Index for final demand declined 0.2 percent in May…”. Because of the convoluted seasonal adjustments, data errors, and other analytic BS – the only way to wash the info is to do a year-over-year analysis which does not require seasonal adjustments and averages out the data errors. The truth is that the PPI inflation is up 2.24% in May 2024 which is down from April’s 2.27% – literally no change in the inflation rate in this level below retail. And the primary reason the PPI did not rise is due to a 7.1% decline in the price for gasoline. Look at the table below which displays the year-over-year inflation changes from May 2023 – do you see where inflation is abating?
| Month | Change in final demand from 12 months ago (unadj.) | Change in final demand less foods, energy, and trade from 12mo. ago (unadj.) |
|---|---|---|
| 2023 | ||
| May | 1.1 | 2.9 |
| June | 0.3 | 2.9 |
| July | 1.1 | 2.9 |
| Aug. | 1.9 | 2.9 |
| Sept. | 1.8 | 2.9 |
| Oct. | 1.1 | 2.8 |
| Nov. | 0.8 | 2.5 |
| Dec. | 1.1 | 2.7 |
| 2024 | ||
| Jan. | 1.0 | 2.7 |
| Feb. | 1.6 | 2.8 |
| Mar. | 1.9 | 2.9 |
| Apr. | 2.3 | 3.2 |
| May | 2.2 | 3.2 |
When the Port of Los Angeles is combined with the Port of Long Beach, the two ports handled approximately 29% of all containerized international waterborne trade in the U.S. These ports release their statistics early – and give us an insight into trade statistics for the entire nation. In May 2023, imports were down 5% year-over-year whilst exports were down 1%. Imports correlate to U.S. consumer spending – and this data is generally saying spending is down. However, before COVID, May was one of the lowest months for container imports. Over the last year – every month has been relatively equal. Therefore, I am challenged to offer an opinion on what this month’s data means – and I will pass this month.
In the week ending June 8, the advance figure for seasonally adjusted initial unemployment claims 4-week moving average was 227,000, an increase of 4,750 from the previous week’s unrevised average of 222,250.
Here are some of headlines we are reading today:
- U.S. Automakers Race to Offset the Rise in Copper Prices
- Microsoft: Russian and Chinese State Hackers Pose Growing Threat
- JPMorgan Analysts Cast Doubt on Tesla’s Robotaxi Revenue
- Nvidia CEO Jensen Huang Declares a New Industrial Revolution
- Falling Energy Prices Spark Hopes for Fed Rate Cuts
- S&P 500 posts its fourth straight record close, buoyed by cooler inflation data: Live updates
- Trump floats eliminating U.S. income tax and replacing it with tariffs on imports
- Taylor Swift’s Eras Tour shows trigger earthquake readings in Scotland; estimated $98 million economic boost
- FOMC Holds Rates As Expected, Dot-Plot Shifts More Hawkish In 2024
- FOMC Preview: From Three Rate Cuts To Two
- Housing demand wanes as buyers bank on rate cut
Click on the “Read More” below to access these, other headlines, and the associated news summaries moving the markets today.
The Market in Perspective
| Here are the headlines moving the markets. | |
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U.S. Automakers Race to Offset the Rise in Copper PricesVia Metal Miner The Automotive MMI (Monthly Metals Index) continued to rise month-over-month, this time increasing by 3.04%. Aluminum and platinum prices rose significantly, which pulled the index up and provided significant bullish price action. Meanwhile, copper prices also added some bullish sentiment to the index, though not quite as much as in May. Copper prices continue to be a hot topic of debate, with the recent rally, speculative purchasing and supply concerns causing ample volatility in the global copper market. With this vital metal… Read more at: https://oilprice.com/Metals/Commodities/US-Automakers-Race-to-Offset-the-Rise-in-Copper-Prices.html |
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Trump Criticizes Biden’s “Crazy” EV Mandate, Pledges Policy ReversalIn a recent meeting with House Republicans, former President Donald Trump declared his intention to completely reverse President Joe Biden’s electric vehicle (EV) policies if he is re-elected. Trump criticized the current administration’s push towards battery-powered cars, describing the mandate as “crazy,” according to Idaho Representative Russ Fulcher. He emphasized that, if given the opportunity, he would overturn Biden’s EV policies entirely. Trump’s remarks, delivered at the Capitol Hill Club, reflect his longstanding opposition to electric… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Trump-Criticizes-Bidens-Crazy-EV-Mandate-Pledges-Policy-Reversal.html |
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Chinese EV Makers Unfazed by Western TariffsThe West is attempting to form a front against the coming onslaught of cheap electric vehicles from China. Just this week the European Union slapped significant tariffs on Chinese EV imports, a month after the Biden administration quadrupled their own tariffs to reach a whopping 100%. But will it be enough to keep Western-made electric cars competitive on the global market? China is able to produce electric vehicles – and pretty much everything else – much, much more cheaply than its western competitors. Chinese EVs sell for as little… Read more at: https://oilprice.com/Energy/Energy-General/Chinese-EV-Makers-Unfazed-by-Western-Tariffs.html |
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Niger-Benin Oil Pipeline AttackedIn a tragic incident, unidentified assailants attacked soldiers guarding the major Niger-Benin oil pipeline, resulting in the deaths of six soldiers. Three security sources confirmed the attack, which took place between the villages of Salkam and Tibiri in Niger’s southeastern Dosso region. The assault targeted a patrol unit assigned to protect the pipeline. Despite the violence, the pipeline itself sustained no damage, according to one source. As of now, no group has claimed responsibility for the attack. However, the region is known for the presence… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Niger-Benin-Oil-Pipeline-Attacked.html |
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Microsoft: Russian and Chinese State Hackers Pose Growing ThreatU.S. tech giant Microsoft said Russian cyberattacks are becoming even “more aggressive” and warned that Moscow could deepen collaboration with U.S. adversaries in cyberspace, making it much harder to prevent intrusions. Hackers from Russia’s Foreign Intelligence Agency (SVR) are no longer disengaging from a computer environment once they are discovered but are doubling down, leading to the equivalent of “hand-to-hand combat” in cyberspace, according to Brad Smith, vice chairman and president of Microsoft, who is scheduled… Read more at: https://oilprice.com/Geopolitics/International/Microsoft-Russian-and-Chinese-State-Hackers-Pose-Growing-Threat.html |
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Apparent Houthi Attack Sets Vessel on Fire in Gulf of AdenA missile strike believed to have been launched by Yemen’s Iran-backed Houthis on a vessel in the Gulf of Aden on Thursday has set the ship on fire and intensified fears that the Houthis could further expand their campaign of maritime terror. A merchant vessel made a radio distress call, saying it had been struck by a missile as it was en route from Malaysia to Venice, Italy, according to private security firm Ambrey. The United Kingdom Maritime Trade Operations center also confirmed the attack and the subsequent fire in… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Apparent-Houthi-Attack-Sets-Vessel-on-Fire-in-Gulf-of-Aden.html |
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JPMorgan Analysts Cast Doubt on Tesla’s Robotaxi RevenueElon Musk has said that a purpose-built robotaxi will be the centerpiece of his long-term strategy for Tesla. In about two months, on August 8, Musk is set to unveil the ‘Robotaxi,’ potentially positioning Tesla to compete with some of the largest ride-hailing services. However, before these robotaxis flood city streets and highways, Tesla must first solve full autonomous driving mode. Tesla has yet to announce a timeline for the Robotaxi or Full Self-Driving (FSD) with no intervention. Musk recently said that future FSD versions are getting so… Read more at: https://oilprice.com/Energy/Energy-General/JPMorgan-Analysts-Cast-Doubt-on-Teslas-Robotaxi-Revenue.html |
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Russia Vows to Meet OPEC+ Target after Exceeding Oil Output Quota in MayRussia will reach its oil production quota in June after exceeding its target output under the OPEC+ deal in May, the Russian Energy Ministry said on Thursday. Russia slightly exceeded its OPEC+ quota in May, based on data from independent sources monitoring the agreement, the ministry said, adding that “the issue with overproduction will be resolved in June, when the target will be achieved.” The excess production volumes that Russia has pumped since April will be fully compensated for in the future, with the overproduction… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Russia-Vows-to-Meet-OPEC-Target-after-Exceeding-Oil-Output-Quota-in-May.html |
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Is The Middle Corridor The Best Alternative for EU-Asia Trade?The Middle Corridor AKA the Trans-Caspian International Transport Route, is a multimodal transport corridor connecting China to Europe. At over 4,700 km (and 2,000km shorter than Russia’s Northern Corridor according to the Caspian Policy Center), the Corridor is the shortest route and most sustainable transport corridor, between Europe and Western China. The Corridor received renewed attention after the start of the Russia-NATO war in Ukraine as it will enable Europe to trade with China and Central… Read more at: https://oilprice.com/Geopolitics/Asia/Is-The-Middle-Corridor-The-Best-Alternative-for-EU-Asia-Trade.html |
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Nvidia CEO Jensen Huang Declares a New Industrial RevolutionNvidia chief executive Jensen Huang has declared, “we are at the beginning of a new industrial revolution” due to the surging corporate demand for artificial intelligence (AI) technology. The quasi-celebrity billionaire, notorious for his signature leather jacket, said the work by companies like OpenAI and Google in developing advanced AI systems known as frontier models is “really, really important.” But he went on to say that the ability to manufacture intelligence at scale is new. “That’s one of… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Nvidia-CEO-Jensen-Huang-Declares-a-New-Industrial-Revolution.html |
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India Looks to Boost Coal Output and Cut ImportsThe world’s second-largest coal consumer, India, plans to increase its domestic coal production and reduce imports, G. Kishan Reddy, Minister of Coal and Mines, said on Thursday. Reddy, however, did not provide details about volumes, Indian media report. Earlier this year, Rajat Handa, vice president of international trade at Agarwal Coal, told Reuters that India’s coal imports “are not going to be higher than 160 million tons” in 2024. Many coal users that previously imported coal have started to switch… Read more at: https://oilprice.com/Energy/Coal/India-Looks-to-Boost-Coal-Output-and-Cut-Imports.html |
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Standard Bank to Move Forward With Funding $5-Billion African Oil PipelineAfrica’s top lender, Standard Bank, expects to help fund part of the planned $5-billion East Africa Crude Oil Pipeline (EACOP), a controversial project that has had environmental campaigners call on banks to abandon financing for the pipeline. The EACOP project, with a price tag of $5 billion, is for a 1,443 kilometer-long (897 miles) pipeline to be built from landlocked Uganda to the Tanga port in Tanzania. The oil pipeline is expected to bring crude from the Lake Albert project in Uganda to the international oil market. It is… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Standard-Bank-to-Move-Forward-With-Funding-5-Billion-African-Oil-Pipeline.html |
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Falling Energy Prices Spark Hopes for Fed Rate CutsUS inflation came in below expectations in a boost for investors hoping that the US Federal Reserve might be able to start cutting interest rates in a matter of months. Figures from the Bureau of Labor Statistics showed that prices did not increase in the month for the first time since last June. Economists had expected to see a 0.1 percent increase. This meant the annual rate of inflation eased to 3.3 percent, slightly below the 3.4 percent expected by markets. Energy prices were the largest downward drag, falling 2.0 percent. Shelter costs, which… Read more at: https://oilprice.com/Energy/Energy-General/Falling-Energy-Prices-Spark-Hopes-for-Fed-Rate-Cuts.html |
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OPEC Slams IEA for “Dangerous” Forecast of Peak Oil Demand by 2030Peak oil demand is not on the horizon, OPEC Secretary General Haitham Al Ghais said on Thursday, blasting the International Energy Agency’s prediction that global oil demand will peak before 2030. Some net-zero scenarios suggest that oil should not be part of a sustainable energy future, Al Ghais wrote in a column for EA Forum. “This narrative was repeated only yesterday when the IEA published its Oil 2024 report in which it once again stated that oil demand would peak before 2030,” he said. “It is a dangerous… Read more at: https://oilprice.com/Latest-Energy-News/World-News/OPEC-Slams-IEA-for-Dangerous-Forecast-of-Peak-Oil-Demand-by-2030.html |
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Saudi Aramco to Buy LNG From U.S. Rio Grande ProjectSaudi Aramco expects to buy liquefied natural gas from NextDecade Corporation’s planned train 4 at the Rio Grande LNG export facility in Texas under a 20-year agreement, the companies said on Thursday. The Saudi state oil giant and the U.S. LNG developer signed a non-binding Heads of Agreement (HoA) for a 20-year LNG offtake deal, under which Aramco expects to purchase 1.2 million tonnes per annum (MTPA) of LNG for 20 years on a free on board basis, at a price indexed to the U.S. benchmark, Henry Hub. Aramco and NextDecade… Read more at: https://oilprice.com/Latest-Energy-News/World-News/Saudi-Aramco-to-Buy-LNG-From-US-Rio-Grande-Project.html |
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Tesla’s shareholder meeting is coming up: Watch it hereWhile Tesla shareholders will vote on whether they think Elon Musk should get his mammoth pay package, the courts will have the final say. Read more at: https://www.cnbc.com/2024/06/13/tesla-shareholder-vote-on-musk-pay-plan-wont-clear-legal-disputes.html |
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What Trump told CEOs in their private meetingWhat Trump told CEOs in their private meeting Read more at: https://www.cnbc.com/2024/06/13/what-trump-told-ceos-in-their-private-meeting.html |
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Here are the ‘micro pockets’ of deflation in May 2024 — in one chartDeflation is the opposite of inflation: It’s how fast prices are falling. That’s been happening for some areas of consumer budgets. Read more at: https://www.cnbc.com/2024/06/13/deflation-cpi-may-2024-in-one-chart.html |
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S&P 500 posts its fourth straight record close, buoyed by cooler inflation data: Live updatesThe S&P 500 rose to record highs on Wednesday after investors got more economic data indicating inflation pressures are easing. Read more at: https://www.cnbc.com/2024/06/12/stock-market-today-live-updates.html |
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Watch out, these stocks are now overvalued after going on a monster run this yearInvestors may want to be careful when buying tech stocks, as some names in the sector have become overvalued after their recent gains. Read more at: https://www.cnbc.com/2024/06/13/watch-out-these-stocks-are-now-overvalued-after-going-on-a-monster-run-this-year.html |
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Netflix hunts for a production partner for its Christmas NFL gamesNetflix will stream NFL games on Christmas Day over the next three years. Now the streaming giant needs a production partner. Read more at: https://www.cnbc.com/2024/06/13/netflix-nfl-christmas-games-broadcast-partner.html |
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Trump floats eliminating U.S. income tax and replacing it with tariffs on importsTrump also talked about using tariffs to leverage negotiating power over bad actors, a source told CNBC. Read more at: https://www.cnbc.com/2024/06/13/trump-all-tariff-policy-to-replace-income-tax.html |
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Clarence Thomas took more undisclosed trips paid for by GOP megadonor Harlan Crow, Senate committee chair saysSupreme Court Justice Clarence has come under fire for accepting years of luxury gifts and private jet rides. Read more at: https://www.cnbc.com/2024/06/13/supreme-court-clarence-thomas-harlan-crow-trips-senate-judiciary.html |
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Microsoft employees’ cybersecurity contributions will factor into their payMicrosoft’s Brad Smith told a U.S. House committee that its board will evaluate top executives’ cybersecurity work when deciding on bonuses. Read more at: https://www.cnbc.com/2024/06/13/microsoft-employees-cybersecurity-work-will-factor-into-their-pay.html |
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Servers for GameStop annual shareholder meeting crash due to overwhelming interestThe debacle comes amid a meme stock craze that surged when Keith Gill, aka Roaring Kitty, resumed posting on his social accounts after more than three years. Read more at: https://www.cnbc.com/2024/06/13/gamestop-annual-shareholder-meeting-2024-servers-crash.html |
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Taylor Swift’s Eras Tour shows trigger earthquake readings in Scotland; estimated $98 million economic boostThe financial boost to the entire country is expected to be seismic too, with Swift’s Eras Tour set to add an estimated £1 billion to the U.K. economy. Read more at: https://www.cnbc.com/2024/06/13/taylor-swift-eras-tour-shows-trigger-earthquake-readings-in-scotland.html |
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Dimon, Fraser and Moynihan will attend private Trump CEO meeting — some others will skipDonald Trump will be courting CEOs in Washington, D.C. Read more at: https://www.cnbc.com/2024/06/12/trump-ceos-private-meeting.html |
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Tyson Foods suspends CFO after second arrestTyson had previously been arrested two years ago for falling asleep in the wrong house. Read more at: https://www.cnbc.com/2024/06/13/tyson-foods-suspends-cfo-john-r-tyson-after-second-arrest.html |
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FOMC Holds Rates As Expected, Dot-Plot Shifts More Hawkish In 2024Since the last FOMC statement (on May 1st), stocks and bonds have outperformed (with the former at record highs), gold is flat while the dollar is down modestly. Amid all that, oil is down significantly…
Source: Bloomberg These market moves have been prompted by a ‘bad news is good news’ regime as US macro data has serially disappointed…
Source: Bloomberg …adding significantly to hopes for a more … Read more at: https://www.zerohedge.com/markets/fomc-17 |
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Elliott Management May Force Southwest To Abandon ‘Bags Fly Free’ PolicyWith activist hedge fund Elliott Management in the pilot’s seat at Southwest Airlines, the budget airline’s popular “bags fly free” policy is under scrutiny. If Paul Singer gets his way, the airline’s popular “bags fly free” policy could end. This policy is a huge value proposition for customers when choosing a carrier to fly across the US. According to Bloomberg…
Southwest’s policy clearly stated on its website: “Each Customer is allowed two free checked bags.” Read more at: https://www.zerohedge.com/markets/elliot-management-may-force-southwest-abandon-bags-fly-free-policy |
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FOMC Preview: From Three Rate Cuts To TwoComing just hours after the May CPI print, tomorrow’s – and the month’s – main event is the FOMC decision due at 2pm ET, when the Fed is widely expected to leave rates on hold at 5.25-5.50%, and the statement will likely also largely be reiterated after slight tweaks in the May statement. Attention will fall on the Summary of Economic projections, and more specifically, the Dot Plot, where the number of projected rate cuts in 2024 will be trimmed from 3 to 2. After a string of hot inflation reports in Q1, the Fed has been stressing that the luxury of a strong economy gives the Fed time to be patient before acting, and the hot NFP released (assuming of course that a drop of 625,000 full-time jobs is viewed as “strong”), last week only gives the Fed more time. Therefore, it is likely the 2024 median FFR will be revised up from the 4.6% – or equivalent to 3 rate cuts over the remainder of 2024 – pencilled in at the March meeting.
Indeed, money markets curren … Read more at: https://www.zerohedge.com/economics/fomc-preview-three-rate-cuts-two |
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MSNBC’s Maddow Says She’s Worried Trump Will Put Her In A Concentration CampAuthored by Steve Watson via Modernity.news, MSNBC performative hack Rachel Maddow has declared that she is worried that if Donald Trump becomes the president again he’s going to round her up and throw her in a concentration camp with all her leftist friends.
Yes, really. Maddow teamed up with CNN’s resident mole man and former Brain Stelter acolyte Oliver Darcy for a super best friends ‘we hate Trump’ interview in which she made the comments.
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Musk says Tesla investors backing pay dealTesla is due to make an official announcement on the result of the vote at a meeting on Thursday. Read more at: https://www.bbc.com/news/articles/cleezyxjv4jo |
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Bank fires employees over fake keyboard activityWells Fargo has fired a number of workers, after reviewing claims of fake keyboard activity. Read more at: https://www.bbc.com/news/articles/cjll01220yeo |
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Housing demand wanes as buyers bank on rate cutHousebuilder Crest Nicholson warns on profits as the market softens while surveyors see confidence dip. Read more at: https://www.bbc.com/news/articles/cmllreerzmro |
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Morgan Stanley buys 3.13 crore shares of L&T Finance for Rs 534 crore via block dealBain Capital sold 8.82 crore shares of the company through its affiliates BC Asia Investment VI and BC Asia Growth Investment. For sometime, it has been planning a complete exit from L&T Finance by selling its existing stake. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/morgan-stanley-buys-3-13-crore-shares-of-lt-finance-for-rs-534-crore-via-block-deal/articleshow/110974753.cms |
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Tech View: Sideways Nifty getting primed for sharp move. Here’s how to trade on FridayNifty formed a small negative candle with a minor lower shadow. The short-term trend of Nifty continues to be a range bound with positive bias. Nifty has been consolidating in the broad range of 23,200-23,500. A decisive close beyond the boundaries can lead to a trending move. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/tech-view-sideways-nifty-getting-primed-for-sharp-move-heres-how-to-trade-on-friday/articleshow/110972127.cms |
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Nifty 500 Q4 recap: Domestic cyclicals fuel strong quarterly performance, says Motilal OswalA report by Motilal Oswal highlights that the fourth-quarter performance of Nifty-500 companies in FY24 showed strong showings from domestic cyclicals like BFSI and auto sectors while global cyclicals such as Oil & Gas and metals experienced a downturn. Read more at: https://economictimes.indiatimes.com/markets/stocks/news/nifty-500-q4-recap-domestic-cyclicals-fuel-strong-quarterly-performance-says-motilal-oswal/articleshow/110972521.cms |
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‘I don’t want to squander this opportunity’: I sold my business for $130,000. It’s the first time in my life I’m not living paycheck to paycheck. What should I do?“I have $150,000 left on my mortgage with 7.3% interest.” Read more at: https://www.marketwatch.com/story/i-have-a-new-lease-on-life-i-sold-my-business-for-130-000-its-the-first-time-in-my-life-im-not-living-paycheck-to-paycheck-what-should-i-do-with-this-cash-967d336d?mod=mw_rss_topstories |
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Is GameStop the next Berkshire Hathaway? Here are 3 ways the company could spend its $4 billion cash pile.The videogame retailer appears to be angling to become an investment-holding company, some analysts say. But there are other ways it could put its money to work. Read more at: https://www.marketwatch.com/story/is-gamestop-the-next-berkshire-hathaway-here-are-3-ways-the-company-could-spend-its-4-billion-cash-pile-a3b86e87?mod=mw_rss_topstories |
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‘Definitely hold on to your Apple position,’ says ‘Big Short’ investor Steve EismanApple Inc. remains a central figure in an AI story that’s driving the economy and markets, says investor Steve Eisman of ‘Big Short’ fame. Read more at: https://www.marketwatch.com/story/definitely-hold-on-to-your-apple-position-says-big-short-investor-steve-eisman-e990de96?mod=mw_rss_topstories |
