Latest news with #USStocks
Bloomberg
6 hours ago
- Business
- Bloomberg
US Stocks Gain as Fed's Waller Offers Hope on July Rate Cut
US stocks rose on Friday as investors returned from the Juneteenth holiday break to evaluate recent comments from a top Federal Reserve official as well as the latest developments in the conflict between Israel and Iran. The S&P 500 Index gained 0.6% at 9:43 a.m. in New York, with the benchmark teetering between a weekly gain or loss. The tech-heavy Nasdaq 100 Index advanced 0.8%. The VIX Index hovered around 19.
Bloomberg
2 days ago
- Business
- Bloomberg
Asian Stocks to Fall After Fed's Inflation Warning: Markets Wrap
Asian equities were primed to open lower Thursday after Federal Reserve Chair Jerome Powell said he expects inflation to pickup meaningfully in the coming months. The Fed left rates unchanged in its Wednesday meeting and indicated it still sees two further cuts this year. Yet Powell said tariff-driven economic uncertainty and inflation risk continued to complicate the central bank's bid to ease policy. The dollar strengthened while Treasuries and US stocks were little changed Wednesday. US markets are closed Thursday for a holiday.
Yahoo
2 days ago
- Business
- Yahoo
Stock market today: Dow, S&P 500, Nasdaq waver as Fed holds rates steady, forecasts 2 cuts in 2025
US stocks were mixed on Wednesday, with the prospect of the US joining Israel-Iran hostilities keeping investors on edge as the Federal Reserve held interest rates steady. The central bank also released its latest Summary of Economic Projections (SEP), including its "dot plot," which maps out policymakers' expectations for where interest rates could be headed in the future. The median official's forecast for the federal funds rate at the end of 2025 was 3.9%, which would likely represent two 25-basis-point cuts this year. The Dow Jones Industrial Average (^DJI) was just below the flat line. The S&P 500 (^GSPC) was up about 0.1% while the Nasdaq Composite (^IXIC) rose about 0.3%. Markets are also on alert for any sign that the US has joined the Middle East conflict, which has swung stocks around since it broke out last week. President Trump demurred Wednesday when asked if he's moving closer to bombing Iran. "I may do it. I may not do it. I mean, nobody knows what I'm going to do," he said. Iran has warned it will respond firmly if the US crosses a red line into involvement and has reportedly readied missiles for strikes on US bases in the region if it does. Oil prices moved over 1% higher, reversing course after the morning's decline. Brent futures (BZ=F), the international benchmark, were roughly flat at $76 a barrel while West Texas Intermediate (CL=F) crude traded just below $75. Read more: The latest on Trump's tariffs Meanwhile, weekly jobless claims remained near their highest level in eight months. On June 4, The Wall Street Journal reported that a hiring freeze at the Bureau of Labor Statistics would force the federal agency to survey fewer businesses for its reports like the Consumer Price Index (CPI). When asked about these cutbacks on Wednesday Powell said the cutback on survey size will, "lead to more volatility in the surveys." To be clear, Powell said, "the data we get right now, we can do our jobs. I'm not concerned that we can't do our jobs." But the Fed chair did spend some time stressing the importance of accurate data. "Having really good data on the state of the economy at any given time is a huge public good," Powell said. "It helps. It doesn't just help the fed, it helps the government. It helps Congress. It helps the executive branch. More importantly, really, it helps businesses. They need to know what's going on in the economy." There was a clear divide in the June 2025 summary of economic projections. Seven officials see the Fed's benchmark interest rate not changing at all this year while eight officials see the central bank lowering the rate by a total of 50 basis points. When asked about the divergence Fed chair Jerome Powell said "if you have a higher inflation forecast, you're going to be less likely to be writing down more cuts." "People can look at the same data and they can evaluate the risks differently as you know," Powell said. "And that includes the risk of higher inflation, the risk that will be more persistent, the risk that the labor market will weaken. People are going to have different assessments of that risk." But Powell continued, adding, that with elevated uncertainty about the economic outlook "no one holds these rate paths [in the Fed's projections] with a lot of conviction." "As the data come in, you should see those differences diminish," Powell said. Federal Reserve Chair Jerome Powell acknowledged Wednesday that the housing market remains a weak spot in the broader economy — one the Fed is watching closely, but can do little to directly fix. "The housing market is a longer-run problem," Powell said, pointing to a mix of persistent supply shortages and still-elevated mortgage rates. It's both a short-term strain and a longer-term structural issue, he noted, and not something that can be resolved through monetary policy alone. "I think the best thing we can do for the housing market is to restore price stability in a sustainable way and create a strong labor market," Powell added. His comments come just hours after fresh data showed a sharp pullback in home construction. Housing starts and building permits for May both came in below expectations, with just 1.26 million new homes started, the lowest monthly total since the height of the pandemic. Federal Reserve chair Jerome Powell highlighted a theme playing out in markets over the two past two months during his press conference on Wednesday: The economic outlook looks better than it did in early April, but not necessarily better than it was prior to the tariff whipsaw. "Estimates of where the tariffs will be have actually moved back down, although still at an elevated level," Powell said. As Powell pointed out, the peak estimated effective tariff rate as estimated by JPMorgan below, has been falling since early April. But the 14.4% estimated effective tariff rate remains well above the 2.5% seen entering this year and above the 10.3% seen before President Trump's "Liberation Day" tariff announcements in April. The Federal Reserve's latest "dot plot" outlining future interest rate moves suggests the central bank will still cut rates twice this year, unchanged from its March outlook, though June's forecasts shows a more divided Fed weighing its next move on interest rates. The Fed announced Wednesday that it held its benchmark interest rate in a range of 4.25%-4.5%, as expected. This marked the fourth straight meeting the Fed kept rates unchanged since cutting rates by 0.25% back in December. Along with its policy announcement, the Fed released updated economic forecasts in its Summary of Economic Projections (SEP), including its "dot plot," which maps out policymakers' expectations for where interest rates could be headed in the future. The central bank raised its projections for inflation and unemployment at the end of this year while lowering its forecast for economic growth. Fed officials see the fed funds rate falling to 3.9% this year, on par with its previous March projection. Coming into the decision, markets had priced in one to two additional rate cuts this year, according to Bloomberg data. The central bank slashed interest rates by a total of 100 basis points in 2024. It is yet to deliver rate cuts so far this year. In 2026, officials see one additional cut; in March, the Fed expected to cut rates twice next year. Twelve officials predict a rate cut this year, with two officials seeing a decrease of more than 0.5%. Most notable in Wednesday's dot plot were forecasts that showed seven FOMC members see no change in rates this year, signaling a more hawkish stance compared to March when four officials saw no change. Two FOMC members expect only one interest rate cut this year. Read more here. The Federal Reserve held interest rates steady in a range of 4.25% to 4.5%. The central bank also released its latest Summary of Economic Projections (SEP), including its "dot plot," which maps out policymakers' expectations for where interest rates could be headed in the future. The median official's forecast for the federal funds rate at the end of 2025 was 3.9%, which would likely represent two 25 basis points cuts this year. As part of the Fed's SEP, officials marked up their projections for core inflation and lowered their forecast for economic growth in 2025. The Fed now also sees the "core" PCE inflation hitting 3.1% in 2025 up from a prior forecast of 2.8%. Less than 30 minutes before the Federal Reserve is set to release its next policy update, the Dow Jones Industrial Average (^DJI) rose 0.1% and S&P 500 (^GSPC) added less than 0.1%. Meanwhile, the Nasdaq Composite (^IXIC) added about 0.2%. All three major averages had been up about 0.6% at one point in the trading day. The 10-year Treasury yield (^TNX) was down about three basis points to hover near 4.36%. As we often note, most of the stock swings on Fed days typically comes after Federal Reserve chair Jerome Powell's press conference starts at 2:30 p.m. ET. But specifically the last hour of trading has been where the market action is as of late. Research from Bespoke Investment Group shows that since all Fed meetings since 1994 the S&P 500 (^GSPC) has dropped an average of six basis points in the final hour of trading. But across the past 10 meetings, those losses have worsened with the S&P 500 falling more than 41 basis points on average. This included eight straight meetings that saw the S&P 500 fall in the final hour trading leading into the March meeting when the S&P 500 rose 10 basis points in the final hour of trading. Yahoo Finance's Claire Boston reports: Mortgage rates drifted slightly lower but remained above 6.8% for another week as the Treasury yields they closely track oscillated. The average 30-year mortgage rate was 6.81% for the week through Tuesday, down from 6.84% a week earlier, according to Freddie Mac data. The average 15-year mortgage rate was essentially unchanged at 5.96%, from 5.97%. This week's data collection period was a day shorter than normal to account for Thursday's Juneteenth holiday. This week's rate is the lowest in four weeks, but mortgage rates haven't been able to break out of a narrow range between 6.8% and 7% since April. This week, the 10-year Treasury yield, which closely tracks mortgage rates, whipsawed and, ultimately, dropped slightly in response to the Israel-Iran conflict and a contraction in retail sales in May as consumers remain jittery about tariffs and their financial positions. Read more here. Yahoo Finance's Jennifer Schonberger reports: The Federal Reserve is widely expected to hold rates steady at the conclusion of its policy meeting Wednesday, but the big question is whether Chairman Jerome Powell and his colleagues will stay committed to two rate cuts in 2025. The answer will come in the form of the "dot plot," a chart updated quarterly that shows each Fed official's prediction about the direction of the central bank's benchmark interest rate. The last dot plot, released in March, revealed a consensus among Fed officials for two cuts this year as some were already factoring the uncertainties of President Trump's economic policies into their projections. They made the same prediction last December. Many Fed watchers expect central bank officials to stick with what they have already signaled as they weigh numerous unknowns, including the ultimate outcome of trade policies and the ripple effects triggered by a new conflict between Israel and Iran. "I think they'll end up keeping two cuts, but will stick with narrative that they need more time to see effects of tariffs on inflation," Wilmington Trust senior bond fund manager Wilmer Stith said. Read more here. Circle (CRCL) stock rose 15% on Wednesday as the US Senate passed a bill to regulate the sector. The stablecoin issuer has now seen its shares soar more than 460% since its IPO in early June. Marvell Technology (MRVL) stock rose roughly 8% on Wednesday as investors digested the company's AI event. "We continue to like MRVL as the rising tide of AI capex can help drive potential upside for one of the few franchises with a singular data-center focus, and with breadth of leading IP across compute, XPU, networking, electro-optics, security, and memory/storage," Bank of America analyst Vivek Arya analyst wrote in a note to clients on Wednesday while boosting his price target to $90 from $80. Housing activity remains in the doldrums. Privately owned housing starts declined 9.8% in May to hit 1.256 million, the lowest level in five years, according to data from the Census Bureau on Thursday. "Housing starts are running below the level of housing completions," Renaissance Macro head of economics Neil Dutta wrote in a note to clients on Wednesday. "This means that units under construction will continue to decline." Citi economist Veronica Clark pointed out in a note to clients that the weak housing starts data could also be a bad sign for future employment in the sector. "As construction declines, we continue to see downside risks to employment in this sector," Clark wrote. US stocks wavered on Wednesday, with the prospect of the US joining Israel-Iran hostilities keeping investors on edge as they braced for the Federal Reserve's interest rate decision later in the day. The Dow Jones Industrial Average (^DJI), S&P 500 (^GSPC), and Nasdaq Composite (^IXIC) were all within less than 0.1% of the flat line at the open. Weekly claims for unemployment benefits remained near their highest level in eight months during the second full week of June, while the number of Americans filing for unemployment insurance on an ongoing basis also remained near the highest level since November 2021. Data from the Department of Labor released Thursday morning showed 245,000 initial jobless claims were filed in the week ending June 14, down from 250,000 seen the week prior and in line with economists' expectations. Meanwhile, 1.945 million continuing claims were filed. This marked a slight move down from 1.951 million the week prior, which had been the highest level since November 2021. Economists see an increase in continuing claims as a sign that those out of work are taking longer to find new jobs. Shares of the largest US stablecoin issuer, Circle (CRCL), popped 3% after the Senate passed new legislation that would establish a framework for dollar-backed cryptocurrencies known as stablecoins. The GENIUS Act still needs to move through the House and President Trump before it's signed into law, but the bill's passage in the Senate was heralded as a win for the crypto industry, which has been pushing for clearer and more positive regulation. 'I feel really good about [this bill],' Dante Disparte, chief strategy officer and head of global policy and operations at Circle, told Yahoo Finance's David Hollerith and Jennifer Schonberger. Circle stock debuted on the public markets on June 5 in an explosive IPO. Since its debut, Circle stock is up more than 380%. Read more here. Toymaker Hasbro (HAS) announced Tuesday it cut 3% of its global workforce, or about 150 employees, as part of a larger cost-cutting effort. The stock fell 3% in premarket trade on Wednesday. The Monopoly maker has been navigating President Trump's tariffs and trade war, especially with China, where it sources about half of its toys and games. The company is working to diversify its supply chain. and reduce its exposure to China. "Ultimately, tariffs translate into higher consumer prices, potential job losses as we adjust to absorb increased costs, and reduced profits for our shareholders," Hasbro's CEO Chris Cocks said during an earnings call in April, per Reuters. Read more here. Here are some top stocks trending on Yahoo Finance in premarket trading: AMD (AMD) stock rose over 1% in premarket trading on Wednesday, following the news it plans to partner with Microsoft to develop custom chips to power the next range of Xbox systems. Tesla (TSLA) stock was up before the bell today. A Bloomberg report on Wednesday said that Elon Musk's artificial intelligence startup xAI was burning through $1B a month as costs of building its AI models increased. Micron (MU) shares rose 1% today in premarket trading, following Wells Fargo analysts maintaining a Buy rating for the tech stock and a price target of $130.00. The S&P 500 (^GSPC) is back trading near record highs, but there's still skepticism on Wall Street, Yahoo Finance's Allie Canal reports: Read more here. Economic data: Building permits (May preliminary); Housing starts (May); FOMC rate decision; FOMC median rate forecast for end of 2025; Initial jobless claims (week ending June 14); Continuing claims (week ending June 7) Earnings: Aurora (ACB), Smith & Wesson (SWBI) Here are some of the biggest stories you may have missed overnight and early this morning: Stocks are back near record highs — but Wall Street isn't buying it Investors brace for Fed signal on 2025 rate cuts Musk's xAI burns through $1 billion a month as costs pile up US added over 1,000 new millionaires a day last year: UBS Trump flexes security powers to keep global tariff goal alive Nintendo extends gains to record as Switch 2 sales boom On June 4, The Wall Street Journal reported that a hiring freeze at the Bureau of Labor Statistics would force the federal agency to survey fewer businesses for its reports like the Consumer Price Index (CPI). When asked about these cutbacks on Wednesday Powell said the cutback on survey size will, "lead to more volatility in the surveys." To be clear, Powell said, "the data we get right now, we can do our jobs. I'm not concerned that we can't do our jobs." But the Fed chair did spend some time stressing the importance of accurate data. "Having really good data on the state of the economy at any given time is a huge public good," Powell said. "It helps. It doesn't just help the fed, it helps the government. It helps Congress. It helps the executive branch. More importantly, really, it helps businesses. They need to know what's going on in the economy." There was a clear divide in the June 2025 summary of economic projections. Seven officials see the Fed's benchmark interest rate not changing at all this year while eight officials see the central bank lowering the rate by a total of 50 basis points. When asked about the divergence Fed chair Jerome Powell said "if you have a higher inflation forecast, you're going to be less likely to be writing down more cuts." "People can look at the same data and they can evaluate the risks differently as you know," Powell said. "And that includes the risk of higher inflation, the risk that will be more persistent, the risk that the labor market will weaken. People are going to have different assessments of that risk." But Powell continued, adding, that with elevated uncertainty about the economic outlook "no one holds these rate paths [in the Fed's projections] with a lot of conviction." "As the data come in, you should see those differences diminish," Powell said. Federal Reserve Chair Jerome Powell acknowledged Wednesday that the housing market remains a weak spot in the broader economy — one the Fed is watching closely, but can do little to directly fix. "The housing market is a longer-run problem," Powell said, pointing to a mix of persistent supply shortages and still-elevated mortgage rates. It's both a short-term strain and a longer-term structural issue, he noted, and not something that can be resolved through monetary policy alone. "I think the best thing we can do for the housing market is to restore price stability in a sustainable way and create a strong labor market," Powell added. His comments come just hours after fresh data showed a sharp pullback in home construction. Housing starts and building permits for May both came in below expectations, with just 1.26 million new homes started, the lowest monthly total since the height of the pandemic. Federal Reserve chair Jerome Powell highlighted a theme playing out in markets over the two past two months during his press conference on Wednesday: The economic outlook looks better than it did in early April, but not necessarily better than it was prior to the tariff whipsaw. "Estimates of where the tariffs will be have actually moved back down, although still at an elevated level," Powell said. As Powell pointed out, the peak estimated effective tariff rate as estimated by JPMorgan below, has been falling since early April. But the 14.4% estimated effective tariff rate remains well above the 2.5% seen entering this year and above the 10.3% seen before President Trump's "Liberation Day" tariff announcements in April. The Federal Reserve's latest "dot plot" outlining future interest rate moves suggests the central bank will still cut rates twice this year, unchanged from its March outlook, though June's forecasts shows a more divided Fed weighing its next move on interest rates. The Fed announced Wednesday that it held its benchmark interest rate in a range of 4.25%-4.5%, as expected. This marked the fourth straight meeting the Fed kept rates unchanged since cutting rates by 0.25% back in December. Along with its policy announcement, the Fed released updated economic forecasts in its Summary of Economic Projections (SEP), including its "dot plot," which maps out policymakers' expectations for where interest rates could be headed in the future. The central bank raised its projections for inflation and unemployment at the end of this year while lowering its forecast for economic growth. Fed officials see the fed funds rate falling to 3.9% this year, on par with its previous March projection. Coming into the decision, markets had priced in one to two additional rate cuts this year, according to Bloomberg data. The central bank slashed interest rates by a total of 100 basis points in 2024. It is yet to deliver rate cuts so far this year. In 2026, officials see one additional cut; in March, the Fed expected to cut rates twice next year. Twelve officials predict a rate cut this year, with two officials seeing a decrease of more than 0.5%. Most notable in Wednesday's dot plot were forecasts that showed seven FOMC members see no change in rates this year, signaling a more hawkish stance compared to March when four officials saw no change. Two FOMC members expect only one interest rate cut this year. Read more here. The Federal Reserve held interest rates steady in a range of 4.25% to 4.5%. The central bank also released its latest Summary of Economic Projections (SEP), including its "dot plot," which maps out policymakers' expectations for where interest rates could be headed in the future. The median official's forecast for the federal funds rate at the end of 2025 was 3.9%, which would likely represent two 25 basis points cuts this year. As part of the Fed's SEP, officials marked up their projections for core inflation and lowered their forecast for economic growth in 2025. The Fed now also sees the "core" PCE inflation hitting 3.1% in 2025 up from a prior forecast of 2.8%. Less than 30 minutes before the Federal Reserve is set to release its next policy update, the Dow Jones Industrial Average (^DJI) rose 0.1% and S&P 500 (^GSPC) added less than 0.1%. Meanwhile, the Nasdaq Composite (^IXIC) added about 0.2%. All three major averages had been up about 0.6% at one point in the trading day. The 10-year Treasury yield (^TNX) was down about three basis points to hover near 4.36%. As we often note, most of the stock swings on Fed days typically comes after Federal Reserve chair Jerome Powell's press conference starts at 2:30 p.m. ET. But specifically the last hour of trading has been where the market action is as of late. Research from Bespoke Investment Group shows that since all Fed meetings since 1994 the S&P 500 (^GSPC) has dropped an average of six basis points in the final hour of trading. But across the past 10 meetings, those losses have worsened with the S&P 500 falling more than 41 basis points on average. This included eight straight meetings that saw the S&P 500 fall in the final hour trading leading into the March meeting when the S&P 500 rose 10 basis points in the final hour of trading. Yahoo Finance's Claire Boston reports: Mortgage rates drifted slightly lower but remained above 6.8% for another week as the Treasury yields they closely track oscillated. The average 30-year mortgage rate was 6.81% for the week through Tuesday, down from 6.84% a week earlier, according to Freddie Mac data. The average 15-year mortgage rate was essentially unchanged at 5.96%, from 5.97%. This week's data collection period was a day shorter than normal to account for Thursday's Juneteenth holiday. This week's rate is the lowest in four weeks, but mortgage rates haven't been able to break out of a narrow range between 6.8% and 7% since April. This week, the 10-year Treasury yield, which closely tracks mortgage rates, whipsawed and, ultimately, dropped slightly in response to the Israel-Iran conflict and a contraction in retail sales in May as consumers remain jittery about tariffs and their financial positions. Read more here. Yahoo Finance's Jennifer Schonberger reports: The Federal Reserve is widely expected to hold rates steady at the conclusion of its policy meeting Wednesday, but the big question is whether Chairman Jerome Powell and his colleagues will stay committed to two rate cuts in 2025. The answer will come in the form of the "dot plot," a chart updated quarterly that shows each Fed official's prediction about the direction of the central bank's benchmark interest rate. The last dot plot, released in March, revealed a consensus among Fed officials for two cuts this year as some were already factoring the uncertainties of President Trump's economic policies into their projections. They made the same prediction last December. Many Fed watchers expect central bank officials to stick with what they have already signaled as they weigh numerous unknowns, including the ultimate outcome of trade policies and the ripple effects triggered by a new conflict between Israel and Iran. "I think they'll end up keeping two cuts, but will stick with narrative that they need more time to see effects of tariffs on inflation," Wilmington Trust senior bond fund manager Wilmer Stith said. Read more here. Circle (CRCL) stock rose 15% on Wednesday as the US Senate passed a bill to regulate the sector. The stablecoin issuer has now seen its shares soar more than 460% since its IPO in early June. Marvell Technology (MRVL) stock rose roughly 8% on Wednesday as investors digested the company's AI event. "We continue to like MRVL as the rising tide of AI capex can help drive potential upside for one of the few franchises with a singular data-center focus, and with breadth of leading IP across compute, XPU, networking, electro-optics, security, and memory/storage," Bank of America analyst Vivek Arya analyst wrote in a note to clients on Wednesday while boosting his price target to $90 from $80. Housing activity remains in the doldrums. Privately owned housing starts declined 9.8% in May to hit 1.256 million, the lowest level in five years, according to data from the Census Bureau on Thursday. "Housing starts are running below the level of housing completions," Renaissance Macro head of economics Neil Dutta wrote in a note to clients on Wednesday. "This means that units under construction will continue to decline." Citi economist Veronica Clark pointed out in a note to clients that the weak housing starts data could also be a bad sign for future employment in the sector. "As construction declines, we continue to see downside risks to employment in this sector," Clark wrote. US stocks wavered on Wednesday, with the prospect of the US joining Israel-Iran hostilities keeping investors on edge as they braced for the Federal Reserve's interest rate decision later in the day. The Dow Jones Industrial Average (^DJI), S&P 500 (^GSPC), and Nasdaq Composite (^IXIC) were all within less than 0.1% of the flat line at the open. Weekly claims for unemployment benefits remained near their highest level in eight months during the second full week of June, while the number of Americans filing for unemployment insurance on an ongoing basis also remained near the highest level since November 2021. Data from the Department of Labor released Thursday morning showed 245,000 initial jobless claims were filed in the week ending June 14, down from 250,000 seen the week prior and in line with economists' expectations. Meanwhile, 1.945 million continuing claims were filed. This marked a slight move down from 1.951 million the week prior, which had been the highest level since November 2021. Economists see an increase in continuing claims as a sign that those out of work are taking longer to find new jobs. Shares of the largest US stablecoin issuer, Circle (CRCL), popped 3% after the Senate passed new legislation that would establish a framework for dollar-backed cryptocurrencies known as stablecoins. The GENIUS Act still needs to move through the House and President Trump before it's signed into law, but the bill's passage in the Senate was heralded as a win for the crypto industry, which has been pushing for clearer and more positive regulation. 'I feel really good about [this bill],' Dante Disparte, chief strategy officer and head of global policy and operations at Circle, told Yahoo Finance's David Hollerith and Jennifer Schonberger. Circle stock debuted on the public markets on June 5 in an explosive IPO. Since its debut, Circle stock is up more than 380%. Read more here. Toymaker Hasbro (HAS) announced Tuesday it cut 3% of its global workforce, or about 150 employees, as part of a larger cost-cutting effort. The stock fell 3% in premarket trade on Wednesday. The Monopoly maker has been navigating President Trump's tariffs and trade war, especially with China, where it sources about half of its toys and games. The company is working to diversify its supply chain. and reduce its exposure to China. "Ultimately, tariffs translate into higher consumer prices, potential job losses as we adjust to absorb increased costs, and reduced profits for our shareholders," Hasbro's CEO Chris Cocks said during an earnings call in April, per Reuters. Read more here. Here are some top stocks trending on Yahoo Finance in premarket trading: AMD (AMD) stock rose over 1% in premarket trading on Wednesday, following the news it plans to partner with Microsoft to develop custom chips to power the next range of Xbox systems. Tesla (TSLA) stock was up before the bell today. A Bloomberg report on Wednesday said that Elon Musk's artificial intelligence startup xAI was burning through $1B a month as costs of building its AI models increased. Micron (MU) shares rose 1% today in premarket trading, following Wells Fargo analysts maintaining a Buy rating for the tech stock and a price target of $130.00. The S&P 500 (^GSPC) is back trading near record highs, but there's still skepticism on Wall Street, Yahoo Finance's Allie Canal reports: Read more here. Economic data: Building permits (May preliminary); Housing starts (May); FOMC rate decision; FOMC median rate forecast for end of 2025; Initial jobless claims (week ending June 14); Continuing claims (week ending June 7) Earnings: Aurora (ACB), Smith & Wesson (SWBI) Here are some of the biggest stories you may have missed overnight and early this morning: Stocks are back near record highs — but Wall Street isn't buying it Investors brace for Fed signal on 2025 rate cuts Musk's xAI burns through $1 billion a month as costs pile up US added over 1,000 new millionaires a day last year: UBS Trump flexes security powers to keep global tariff goal alive Nintendo extends gains to record as Switch 2 sales boom Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Stock market today: Dow, S&P 500, Nasdaq fall as Trump calls for 'unconditional surrender' of Iran
US stocks fell on Tuesday amid dwindling hopes for a quick resolution to Israel-Iran hostilities, as President Trump heightened his rhetoric against Iran, calling for an "unconditional surrender." In a post on Truth Social, Trump said the US knows where the country's leader is hiding, adding, "He is an easy target, but is safe there — We are not going to take him out (kill!), at least not for now. But we don't want missiles shot at civilians, or American soldiers. Our patience is wearing thin." Stock losses accelerated shortly following the post. The Dow Jones Industrial Average (^DJI) fell around 0.3%, while the benchmark S&P 500 (^GSPC) dipped roughly 0.2%. The tech-heavy Nasdaq Composite (^IXIC) pulled back around 0.2%. Overall, US stocks have so far proved resilient amid the conflict. The major gauges ended higher on Monday after a report that Iran is seeking a ceasefire and return to nuclear program negotiations. New reports on Tuesday indicated that the US is contemplating military strikes against Iran, heightening concerns about the possibility of a full-scale regional conflict. Oil prices jumped about 3% as investors weighed the stream of remarks, with Brent futures (BZ=F) rising above $75 a barrel and West Texas Intermediate (CL=F) crude hovering just below $74. At the same time, Wall Street is also grappling with concerns over Trump's trade policy and the direction of US interest rates. As the date for lifting the pause on Trump's sweeping tariffs approaches, US officials have used the G7 summit to pursue trade deals. The first completed deal emerged Monday, when Trump and British Prime Minister Keir Starmer signed off on the US-UK trade pact agreed in May. Read more: The latest on Trump's tariffs Meanwhile, in the week's key data release, US retail sales fell 0.9% in May, more than economists expected, as consumers pulled back from a pre-tariff splurge. Wall Street is looking to the Federal Reserve's two-day meeting that starts on Tuesday for clues to whether policymakers still want to cut interest rates twice in 2025, given recent signs of cooling inflation. The Fed is expected to hold rates steady in its decision on Wednesday. Yahoo Finance's Ines Ferré reports: Read more here. JetBlue's (JBLU) stock declined more than 3% on Tuesday after the company revealed plans to further reduce costs and scale back flights. Yahoo Finance's Brooke DiPalma reports: Read more here. A prolonged conflict between Israel and Iran may do more than rattle energy markets. One argument on Wall Street is that it could push the Federal Reserve to cut interest rates sooner than expected. "A sustained rise in oil prices could cause the Fed to strike a more dovish tone," Oxford Economics chief US economist Ryan Sweet wrote in a recent note to clients, arguing that an extended oil shock could dent demand and potentially spill over into an otherwise resilient labor market. That's because, historically, sudden spikes in oil prices tend to cause only a temporary rise in inflation that the Fed usually overlooks. But with the economy already softening, a persistent surge could pose a bigger threat to growth and jobs than to inflation itself. "The economy has slowed and is vulnerable to anything else going wrong, including a sudden and persistent increase in oil prices," Sweet said. "If the Fed views the hit to the economy and the labor market as greater than the temporary boost to inflation, the central bank could signal that it's open to cutting interest rates sooner." On Tuesday, oil prices rallied, with international benchmark Brent (BZ=F) rising above $75 a barrel after President Trump called for Tehran residents to evacuate and rebuffed the idea of an Israel-Iran ceasefire. That contrasted with optimism on Monday, when the Wall Street Journal reported that tensions between Iran and Israel had eased, sparking a rally in US equities and stabilizing crude oil prices following last week's biggest price surge in three years. Sweet, whose baseline forecast is that the Fed will deliver its first rate cut in December, noted it may take weeks before markets gain a clearer sense of the direction of oil prices. Read more here. Solar stocks were pummeled in early afternoon trading after the Senate's version of President Trump's tax and spending bill showed that Republicans are united in eliminating tax credits for clean energy. The Senate's changes to the bill, released on Monday, called for a total phaseout of solar and wind credits by 2028, prompting the sell-off in solar names. Meanwhile, the revisions extended tax incentives for hydropower, nuclear, and geothermal energy until 2036, boosting shares of Sam Altman-backed nuclear energy startup Oklo (OKLO) and other energy names that are seen as winners. Read more about what the Senate's budget blueprint means for business. Yahoo Finance's Dan Howley and Alexis Keenan report: Read more here. US stocks slid on Tuesday as President Trump played down the prospect of a truce between Israel and Iran and retail sales came in below expectations. The Dow Jones Industrial Average (^DJI) fell around 0.4%, while the benchmark S&P 500 (^GSPC) dipped roughly 0.3%. The tech-heavy Nasdaq Composite (^IXIC) also pulled back 0.3%. Kraft Heinz (KHC) stock edged higher after the maker of Kool-Aid and Jell-O said it's eliminating synthetic dyes across the remaining 10% of its US portfolio that contains them. Yahoo Finance's Brooke DiPalma reports that Kraft Heinz will replace artificial dyes with natural colors or reinvent items with new colors. The company will also refrain from launching new products that contain food additives. This announcement comes amid growing scrutiny of food additives. Health and Human Services Secretary Robert F. Kennedy Jr. has said he wants to remove artificial coloring from the food supply by the time he leaves office. Read more here. The US Department of Defense announced Monday that it awarded OpenAI ( a $200 million contract to "develop prototype frontier AI capabilities to address critical national security challenges in both warfighting and enterprise domains." "This contract is one of the largest Department of Defense contracts given to a software provider when measured by annual contract value," William Blair analyst Louie DiPalma wrote in a note to clients Monday. DiPalma said that the "contract announcement could signal increased competition from OpenAI going forward" for Palantir (PLTR) "if OpenAI moves into Palantir's ontology territory." Ontology refers to an operational layer in Palantir's platform. DiPalma noted that Palantir paved the way for OpenAI and others. "Palantir has pioneered software providers serving as prime contractors for Department of Defense programs," DiPalma wrote. "Traditionally, software providers served as subcontractors to systems integrators. Under the new administration, the Department of Defense is looking to contract directly with commercial software providers when possible." Palantir rose less than 1% on Tuesday. In December, Palantir shares dropped as much as 5% when defense tech firm Anduril ( announced a partnership with OpenAI to "develop and responsibly deploy advanced artificial intelligence (AI) solutions for national security missions." Retail sales fell in May, dragged down by declines in gas and auto purchases during the second month that a wide array of President Trump's tariffs were in effect. Headline retail sales declined 0.9% in May, surpassing economists' expectations for a 0.6% decline month on month. By comparison, sales decreased 0.1% in April, according to revised Census Bureau data. A 2% decline in gasoline sales, a 3.5% slide in auto purchases, and a 2.7% decline in building materials drove the May headline number lower. There was some positive news in the release: The control group in Thursday's release, which excludes several volatile categories and factors into the gross domestic product (GDP) reading for the quarter, rose 0.4%. That compares with a 0.1% decrease seen in April. Economists expected a 0.3% increase. May sales, excluding auto and gas, declined 0.1%. Economists had expected a 0.3% rise. In April, sales excluding auto and gas rose 0.1%. Reddit stock (RDDT) rose roughly 5% in premarket trading on Tuesday following the social media platform's release of new AI ad tools at the Cannes Lions festival for marketers on its platform. Meanwhile, broader S&P 500 futures (ES=F) fell by 0.3%. The gain follows Reddit's 6.8% jump Monday, after media reports spotlighted a recent analysis from data analytics firm Semrush, showing that Reddit is the second most cited website in Google AI overviews. 'Reddit may also perform well because Google has a partnership with Reddit and uses Reddit data to train its systems,' Semrush analyst Rachel Handley wrote in the June 9 analysis. Google announced its $60 million deal with Reddit last February. Despite Reddit stock's climb this week, shares are far below their high of above $230 in February. The stock traded at around $131 before the market open Tuesday. Yahoo Finance's Hamza Shaban writes in today's Morning Brief newsletter: Read more here. A standout record-setting rally in gold (GC=F) is about to peter out, Citigroup strategists said as they forecast a slide back below $3,000 an ounce for the precious metal in coming quarters. Bloomberg reports: Read more here. Economic data: Retail sales (May); Industrial production (May); NAHB housing market index (June); Import price index (May) Earnings: La-Z-Boy Incorporated (LZB) Here are some of the biggest stories you may have missed overnight and early this morning: Investor optimism has squashed another downbeat catalyst Trump: EU not offering fair trade deal, Japan being 'tough' too Trump says he wants 'real end' to conflict, not just ceasefire Anne Wojcicki's 23andMe bid may not end DNA data lawsuit How a prolonged Israel-Iran conflict could speed up Fed rate cuts US solar stocks slammed after Senate changes to tax bill Trump says he will probably extend TikTok deadline again SoftBank sells T-Mobile stake for $4.8 billion to fund AI push Here are some top stocks trending on Yahoo Finance in premarket trading: T-Mobile US, Inc. (TMUS) stock fell 4% in premarket trading on Tuesday, after SoftBank Group Corp. (SFTBF, SFTBY) managed to raise $4.8B via the sale of T-Mobile US Inc. shares. The move is set to help fund Softbank's plans for artificial intelligence. Microsoft (MSFT) stock fell over 1% before the bell today following reports that the Big Tech's relationship with OpenAI has become "strained." Per The Wall Street Journal, OpenAI executives are weighing the option of whether to accuse Microsoft of anticompetitive behavior, according to people familiar with the matter. Solar stocks dropped in premarket trading Tuesday after Senate Republicans released a bill that would end tax credits for wind and solar earlier that other sources. The news caused SunRun Inc. (RUN) stock to drop by 28% and SolarEdge Technologies Inc. (SEDG) by 21%. US solar stocks have tumbled after a Senate panel released proposals for an early and full phase-out of solar and wind energy tax credits on Monday. The plan to remove credits by 2028 are among the several changes put forward by a Republican-controlled panel to President Trump's "big beautiful" tax and spending bill. Shares of Enphase Energy (ENPH), which makes solar inverters, dropped 17% before the bell. Meanwhile, solar panel seller Sunrun (RUN) tumbled 26%, while its peer SolarEdge Technologies (SEDG) sank more than 20%. First Solar (FSLR) pulled back 11%. Gold (GC=F) prices rose higher Monday night as the ongoing Israel-Iran conflict pushed risk-averse investors into safer positions, such as gold as a haven asset. Bloomberg reports: Read more here. Yahoo Finance's Ines Ferré reports: Read more here. JetBlue's (JBLU) stock declined more than 3% on Tuesday after the company revealed plans to further reduce costs and scale back flights. Yahoo Finance's Brooke DiPalma reports: Read more here. A prolonged conflict between Israel and Iran may do more than rattle energy markets. One argument on Wall Street is that it could push the Federal Reserve to cut interest rates sooner than expected. "A sustained rise in oil prices could cause the Fed to strike a more dovish tone," Oxford Economics chief US economist Ryan Sweet wrote in a recent note to clients, arguing that an extended oil shock could dent demand and potentially spill over into an otherwise resilient labor market. That's because, historically, sudden spikes in oil prices tend to cause only a temporary rise in inflation that the Fed usually overlooks. But with the economy already softening, a persistent surge could pose a bigger threat to growth and jobs than to inflation itself. "The economy has slowed and is vulnerable to anything else going wrong, including a sudden and persistent increase in oil prices," Sweet said. "If the Fed views the hit to the economy and the labor market as greater than the temporary boost to inflation, the central bank could signal that it's open to cutting interest rates sooner." On Tuesday, oil prices rallied, with international benchmark Brent (BZ=F) rising above $75 a barrel after President Trump called for Tehran residents to evacuate and rebuffed the idea of an Israel-Iran ceasefire. That contrasted with optimism on Monday, when the Wall Street Journal reported that tensions between Iran and Israel had eased, sparking a rally in US equities and stabilizing crude oil prices following last week's biggest price surge in three years. Sweet, whose baseline forecast is that the Fed will deliver its first rate cut in December, noted it may take weeks before markets gain a clearer sense of the direction of oil prices. Read more here. Solar stocks were pummeled in early afternoon trading after the Senate's version of President Trump's tax and spending bill showed that Republicans are united in eliminating tax credits for clean energy. The Senate's changes to the bill, released on Monday, called for a total phaseout of solar and wind credits by 2028, prompting the sell-off in solar names. Meanwhile, the revisions extended tax incentives for hydropower, nuclear, and geothermal energy until 2036, boosting shares of Sam Altman-backed nuclear energy startup Oklo (OKLO) and other energy names that are seen as winners. Read more about what the Senate's budget blueprint means for business. Yahoo Finance's Dan Howley and Alexis Keenan report: Read more here. US stocks slid on Tuesday as President Trump played down the prospect of a truce between Israel and Iran and retail sales came in below expectations. The Dow Jones Industrial Average (^DJI) fell around 0.4%, while the benchmark S&P 500 (^GSPC) dipped roughly 0.3%. The tech-heavy Nasdaq Composite (^IXIC) also pulled back 0.3%. Kraft Heinz (KHC) stock edged higher after the maker of Kool-Aid and Jell-O said it's eliminating synthetic dyes across the remaining 10% of its US portfolio that contains them. Yahoo Finance's Brooke DiPalma reports that Kraft Heinz will replace artificial dyes with natural colors or reinvent items with new colors. The company will also refrain from launching new products that contain food additives. This announcement comes amid growing scrutiny of food additives. Health and Human Services Secretary Robert F. Kennedy Jr. has said he wants to remove artificial coloring from the food supply by the time he leaves office. Read more here. The US Department of Defense announced Monday that it awarded OpenAI ( a $200 million contract to "develop prototype frontier AI capabilities to address critical national security challenges in both warfighting and enterprise domains." "This contract is one of the largest Department of Defense contracts given to a software provider when measured by annual contract value," William Blair analyst Louie DiPalma wrote in a note to clients Monday. DiPalma said that the "contract announcement could signal increased competition from OpenAI going forward" for Palantir (PLTR) "if OpenAI moves into Palantir's ontology territory." Ontology refers to an operational layer in Palantir's platform. DiPalma noted that Palantir paved the way for OpenAI and others. "Palantir has pioneered software providers serving as prime contractors for Department of Defense programs," DiPalma wrote. "Traditionally, software providers served as subcontractors to systems integrators. Under the new administration, the Department of Defense is looking to contract directly with commercial software providers when possible." Palantir rose less than 1% on Tuesday. In December, Palantir shares dropped as much as 5% when defense tech firm Anduril ( announced a partnership with OpenAI to "develop and responsibly deploy advanced artificial intelligence (AI) solutions for national security missions." Retail sales fell in May, dragged down by declines in gas and auto purchases during the second month that a wide array of President Trump's tariffs were in effect. Headline retail sales declined 0.9% in May, surpassing economists' expectations for a 0.6% decline month on month. By comparison, sales decreased 0.1% in April, according to revised Census Bureau data. A 2% decline in gasoline sales, a 3.5% slide in auto purchases, and a 2.7% decline in building materials drove the May headline number lower. There was some positive news in the release: The control group in Thursday's release, which excludes several volatile categories and factors into the gross domestic product (GDP) reading for the quarter, rose 0.4%. That compares with a 0.1% decrease seen in April. Economists expected a 0.3% increase. May sales, excluding auto and gas, declined 0.1%. Economists had expected a 0.3% rise. In April, sales excluding auto and gas rose 0.1%. Reddit stock (RDDT) rose roughly 5% in premarket trading on Tuesday following the social media platform's release of new AI ad tools at the Cannes Lions festival for marketers on its platform. Meanwhile, broader S&P 500 futures (ES=F) fell by 0.3%. The gain follows Reddit's 6.8% jump Monday, after media reports spotlighted a recent analysis from data analytics firm Semrush, showing that Reddit is the second most cited website in Google AI overviews. 'Reddit may also perform well because Google has a partnership with Reddit and uses Reddit data to train its systems,' Semrush analyst Rachel Handley wrote in the June 9 analysis. Google announced its $60 million deal with Reddit last February. Despite Reddit stock's climb this week, shares are far below their high of above $230 in February. The stock traded at around $131 before the market open Tuesday. Yahoo Finance's Hamza Shaban writes in today's Morning Brief newsletter: Read more here. A standout record-setting rally in gold (GC=F) is about to peter out, Citigroup strategists said as they forecast a slide back below $3,000 an ounce for the precious metal in coming quarters. Bloomberg reports: Read more here. Economic data: Retail sales (May); Industrial production (May); NAHB housing market index (June); Import price index (May) Earnings: La-Z-Boy Incorporated (LZB) Here are some of the biggest stories you may have missed overnight and early this morning: Investor optimism has squashed another downbeat catalyst Trump: EU not offering fair trade deal, Japan being 'tough' too Trump says he wants 'real end' to conflict, not just ceasefire Anne Wojcicki's 23andMe bid may not end DNA data lawsuit How a prolonged Israel-Iran conflict could speed up Fed rate cuts US solar stocks slammed after Senate changes to tax bill Trump says he will probably extend TikTok deadline again SoftBank sells T-Mobile stake for $4.8 billion to fund AI push Here are some top stocks trending on Yahoo Finance in premarket trading: T-Mobile US, Inc. (TMUS) stock fell 4% in premarket trading on Tuesday, after SoftBank Group Corp. (SFTBF, SFTBY) managed to raise $4.8B via the sale of T-Mobile US Inc. shares. The move is set to help fund Softbank's plans for artificial intelligence. Microsoft (MSFT) stock fell over 1% before the bell today following reports that the Big Tech's relationship with OpenAI has become "strained." Per The Wall Street Journal, OpenAI executives are weighing the option of whether to accuse Microsoft of anticompetitive behavior, according to people familiar with the matter. Solar stocks dropped in premarket trading Tuesday after Senate Republicans released a bill that would end tax credits for wind and solar earlier that other sources. The news caused SunRun Inc. (RUN) stock to drop by 28% and SolarEdge Technologies Inc. (SEDG) by 21%. US solar stocks have tumbled after a Senate panel released proposals for an early and full phase-out of solar and wind energy tax credits on Monday. The plan to remove credits by 2028 are among the several changes put forward by a Republican-controlled panel to President Trump's "big beautiful" tax and spending bill. Shares of Enphase Energy (ENPH), which makes solar inverters, dropped 17% before the bell. Meanwhile, solar panel seller Sunrun (RUN) tumbled 26%, while its peer SolarEdge Technologies (SEDG) sank more than 20%. First Solar (FSLR) pulled back 11%. Gold (GC=F) prices rose higher Monday night as the ongoing Israel-Iran conflict pushed risk-averse investors into safer positions, such as gold as a haven asset. Bloomberg reports: Read more here. Sign in to access your portfolio
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3 days ago
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Stock market today: Dow, S&P 500, Nasdaq slide as Trump shakes hopes for an Israel-Iran truce
US stocks retreated on Tuesday amid dwindling hopes for a quick resolution to Israel-Iran hostilities, as President Trump played down the prospect of a truce and air strikes continued. The Dow Jones Industrial Average (^DJI) fell around 0.4%, while the benchmark S&P 500 (^GSPC) dipped roughly 0.3%. The tech-heavy Nasdaq Composite (^IXIC) also pulled back 0.3%. Overall, US stocks have so far proved resilient amid the conflict. The major gauges ended higher on Monday after a report that Iran is seeking a ceasefire and return to nuclear program negotiations. But Trump's overnight call for the evacuation of Iran's capital city amid a spike in Israel-Iran tensions has spooked markets worried about the risk of a descent into full-on regional war. The president's early exit from the G7 summit is also spurring fears of an escalation. Early on Tuesday, Trump rejected the idea he was working on a Middle East pause in hostilities, as suggested by France's President Macron. It "certainly has nothing to do with a Cease Fire. Much bigger than that,' he posted on social media. Pressed on what he was looking for, Trump said on Air Force One: "An end. A real end, not a ceasefire, an end." But the president did not provide more detail, including on next steps. Oil prices jumped nearly 2% as investors weighed the stream of remarks, with Brent futures (BZ=F) rising to almost $75 a barrel and West Texas Intermediate (CL=F) crude hovering around $73. At the same time, Wall Street is also grappling with concerns over Trump's trade policy and the direction of US interest rates. As the date for lifting the pause on Trump's sweeping tariffs approaches, US officials have used the G7 summit to pursue trade deals. The first completed deal emerged Monday, when Trump and British Prime Minister Keir Starmer signed off on the US-UK trade pact agreed in May. Read more: The latest on Trump's tariffs Meanwhile, in the week's key data release, US retail sales fell 0.9% in May, more than economists expected, as consumers pulled back from a pre-tariff splurge. Wall Street is looking to the Federal Reserve's two-day meeting that starts on Tuesday for clues to whether policymakers still want to cut interest rates twice in 2025, given recent signs of cooling inflation. The Fed is expected to hold rates steady in its decision on Wednesday. US stocks slid on Tuesday as President Trump played down the prospect of a truce between Israel and Iran and retail sales came in below expectations. The Dow Jones Industrial Average (^DJI) fell around 0.4%, while the benchmark S&P 500 (^GSPC) dipped roughly 0.3%. The tech-heavy Nasdaq Composite (^IXIC) also pulled back 0.3%. Kraft Heinz (KHC) stock edged higher after the maker of Kool-Aid and Jell-O said it's eliminating synthetic dyes across the remaining 10% of its US portfolio that contains them. Yahoo Finance's Brooke DiPalma reports that Kraft Heinz will replace artificial dyes with natural colors or reinvent items with new colors. The company will also refrain from launching new products that contain food additives. This announcement comes amid growing scrutiny of food additives. Health and Human Services Secretary Robert F. Kennedy Jr. has said he wants to remove artificial coloring from the food supply by the time he leaves office. Read more here. The US Department of Defense announced Monday that it awarded OpenAI ( a $200 million contract to "develop prototype frontier AI capabilities to address critical national security challenges in both warfighting and enterprise domains." "This contract is one of the largest Department of Defense contracts given to a software provider when measured by annual contract value," William Blair analyst Louie DiPalma wrote in a note to clients Monday. DiPalma said that the "contract announcement could signal increased competition from OpenAI going forward" for Palantir (PLTR) "if OpenAI moves into Palantir's ontology territory." Ontology refers to an operational layer in Palantir's platform. DiPalma noted that Palantir paved the way for OpenAI and others. "Palantir has pioneered software providers serving as prime contractors for Department of Defense programs," DiPalma wrote. "Traditionally, software providers served as subcontractors to systems integrators. Under the new administration, the Department of Defense is looking to contract directly with commercial software providers when possible." Palantir rose less than 1% on Tuesday. In December, Palantir shares dropped as much as 5% when defense tech firm Anduril ( announced a partnership with OpenAI to "develop and responsibly deploy advanced artificial intelligence (AI) solutions for national security missions." Retail sales fell in May, dragged down by declines in gas and auto purchases during the second month that a wide array of President Trump's tariffs were in effect. Headline retail sales declined 0.9% in May, surpassing economists' expectations for a 0.6% decline month on month. By comparison, sales decreased 0.1% in April, according to revised Census Bureau data. A 2% decline in gasoline sales, a 3.5% slide in auto purchases, and a 2.7% decline in building materials drove the May headline number lower. There was some positive news in the release: The control group in Thursday's release, which excludes several volatile categories and factors into the gross domestic product (GDP) reading for the quarter, rose 0.4%. That compares with a 0.1% decrease seen in April. Economists expected a 0.3% increase. May sales, excluding auto and gas, declined 0.1%. Economists had expected a 0.3% rise. In April, sales excluding auto and gas rose 0.1%. Reddit stock (RDDT) rose roughly 5% in premarket trading on Tuesday following the social media platform's release of new AI ad tools at the Cannes Lions festival for marketers on its platform. Meanwhile, broader S&P 500 futures (ES=F) fell by 0.3%. The gain follows Reddit's 6.8% jump Monday, after media reports spotlighted a recent analysis from data analytics firm Semrush, showing that Reddit is the second most cited website in Google AI overviews. 'Reddit may also perform well because Google has a partnership with Reddit and uses Reddit data to train its systems,' Semrush analyst Rachel Handley wrote in the June 9 analysis. Google announced its $60 million deal with Reddit last February. Despite Reddit stock's climb this week, shares are far below their high of above $230 in February. The stock traded at around $131 before the market open Tuesday. Yahoo Finance's Hamza Shaban writes in today's Morning Brief newsletter: Read more here. A standout record-setting rally in gold (GC=F) is about to peter out, Citigroup strategists said as they forecast a slide back below $3,000 an ounce for the precious metal in coming quarters. Bloomberg reports: Read more here. Economic data: Retail sales (May); Industrial production (May); NAHB housing market index (June); Import price index (May) Earnings: La-Z-Boy Incorporated (LZB) Here are some of the biggest stories you may have missed overnight and early this morning: Investor optimism has squashed another downbeat catalyst Trump: EU not offering fair trade deal, Japan being 'tough' too Trump says he wants 'real end' to conflict, not just ceasefire Anne Wojcicki's 23andMe bid may not end DNA data lawsuit How a prolonged Israel-Iran conflict could speed up Fed rate cuts US solar stocks slammed after Senate changes to tax bill Trump says he will probably extend TikTok deadline again SoftBank sells T-Mobile stake for $4.8 billion to fund AI push Here are some top stocks trending on Yahoo Finance in premarket trading: T-Mobile US, Inc. (TMUS) stock fell 4% in premarket trading on Tuesday, after SoftBank Group Corp. (SFTBF, SFTBY) managed to raise $4.8B via the sale of T-Mobile US Inc. shares. The move is set to help fund Softbank's plans for artificial intelligence. Microsoft (MSFT) stock fell over 1% before the bell today following reports that the Big Tech's relationship with OpenAI has become "strained." Per The Wall Street Journal, OpenAI executives are weighing the option of whether to accuse Microsoft of anticompetitive behavior, according to people familiar with the matter. Solar stocks dropped in premarket trading Tuesday after Senate Republicans released a bill that would end tax credits for wind and solar earlier that other sources. The news caused SunRun Inc. (RUN) stock to drop by 28% and SolarEdge Technologies Inc. (SEDG) by 21%. US solar stocks have tumbled after a Senate panel released proposals for an early and full phase-out of solar and wind energy tax credits on Monday. The plan to remove credits by 2028 are among the several changes put forward by a Republican-controlled panel to President Trump's "big beautiful" tax and spending bill. Shares of Enphase Energy (ENPH), which makes solar inverters, dropped 17% before the bell. Meanwhile, solar panel seller Sunrun (RUN) tumbled 26%, while its peer SolarEdge Technologies (SEDG) sank more than 20%. First Solar (FSLR) pulled back 11%. Gold (GC=F) prices rose higher Monday night as the ongoing Israel-Iran conflict pushed risk-averse investors into safer positions, such as gold as a haven asset. Bloomberg reports: Read more here. US stocks slid on Tuesday as President Trump played down the prospect of a truce between Israel and Iran and retail sales came in below expectations. The Dow Jones Industrial Average (^DJI) fell around 0.4%, while the benchmark S&P 500 (^GSPC) dipped roughly 0.3%. The tech-heavy Nasdaq Composite (^IXIC) also pulled back 0.3%. Kraft Heinz (KHC) stock edged higher after the maker of Kool-Aid and Jell-O said it's eliminating synthetic dyes across the remaining 10% of its US portfolio that contains them. Yahoo Finance's Brooke DiPalma reports that Kraft Heinz will replace artificial dyes with natural colors or reinvent items with new colors. The company will also refrain from launching new products that contain food additives. This announcement comes amid growing scrutiny of food additives. Health and Human Services Secretary Robert F. Kennedy Jr. has said he wants to remove artificial coloring from the food supply by the time he leaves office. Read more here. The US Department of Defense announced Monday that it awarded OpenAI ( a $200 million contract to "develop prototype frontier AI capabilities to address critical national security challenges in both warfighting and enterprise domains." "This contract is one of the largest Department of Defense contracts given to a software provider when measured by annual contract value," William Blair analyst Louie DiPalma wrote in a note to clients Monday. DiPalma said that the "contract announcement could signal increased competition from OpenAI going forward" for Palantir (PLTR) "if OpenAI moves into Palantir's ontology territory." Ontology refers to an operational layer in Palantir's platform. DiPalma noted that Palantir paved the way for OpenAI and others. "Palantir has pioneered software providers serving as prime contractors for Department of Defense programs," DiPalma wrote. "Traditionally, software providers served as subcontractors to systems integrators. Under the new administration, the Department of Defense is looking to contract directly with commercial software providers when possible." Palantir rose less than 1% on Tuesday. In December, Palantir shares dropped as much as 5% when defense tech firm Anduril ( announced a partnership with OpenAI to "develop and responsibly deploy advanced artificial intelligence (AI) solutions for national security missions." Retail sales fell in May, dragged down by declines in gas and auto purchases during the second month that a wide array of President Trump's tariffs were in effect. Headline retail sales declined 0.9% in May, surpassing economists' expectations for a 0.6% decline month on month. By comparison, sales decreased 0.1% in April, according to revised Census Bureau data. A 2% decline in gasoline sales, a 3.5% slide in auto purchases, and a 2.7% decline in building materials drove the May headline number lower. There was some positive news in the release: The control group in Thursday's release, which excludes several volatile categories and factors into the gross domestic product (GDP) reading for the quarter, rose 0.4%. That compares with a 0.1% decrease seen in April. Economists expected a 0.3% increase. May sales, excluding auto and gas, declined 0.1%. Economists had expected a 0.3% rise. In April, sales excluding auto and gas rose 0.1%. Reddit stock (RDDT) rose roughly 5% in premarket trading on Tuesday following the social media platform's release of new AI ad tools at the Cannes Lions festival for marketers on its platform. Meanwhile, broader S&P 500 futures (ES=F) fell by 0.3%. The gain follows Reddit's 6.8% jump Monday, after media reports spotlighted a recent analysis from data analytics firm Semrush, showing that Reddit is the second most cited website in Google AI overviews. 'Reddit may also perform well because Google has a partnership with Reddit and uses Reddit data to train its systems,' Semrush analyst Rachel Handley wrote in the June 9 analysis. Google announced its $60 million deal with Reddit last February. Despite Reddit stock's climb this week, shares are far below their high of above $230 in February. The stock traded at around $131 before the market open Tuesday. Yahoo Finance's Hamza Shaban writes in today's Morning Brief newsletter: Read more here. A standout record-setting rally in gold (GC=F) is about to peter out, Citigroup strategists said as they forecast a slide back below $3,000 an ounce for the precious metal in coming quarters. Bloomberg reports: Read more here. Economic data: Retail sales (May); Industrial production (May); NAHB housing market index (June); Import price index (May) Earnings: La-Z-Boy Incorporated (LZB) Here are some of the biggest stories you may have missed overnight and early this morning: Investor optimism has squashed another downbeat catalyst Trump: EU not offering fair trade deal, Japan being 'tough' too Trump says he wants 'real end' to conflict, not just ceasefire Anne Wojcicki's 23andMe bid may not end DNA data lawsuit How a prolonged Israel-Iran conflict could speed up Fed rate cuts US solar stocks slammed after Senate changes to tax bill Trump says he will probably extend TikTok deadline again SoftBank sells T-Mobile stake for $4.8 billion to fund AI push Here are some top stocks trending on Yahoo Finance in premarket trading: T-Mobile US, Inc. (TMUS) stock fell 4% in premarket trading on Tuesday, after SoftBank Group Corp. (SFTBF, SFTBY) managed to raise $4.8B via the sale of T-Mobile US Inc. shares. The move is set to help fund Softbank's plans for artificial intelligence. Microsoft (MSFT) stock fell over 1% before the bell today following reports that the Big Tech's relationship with OpenAI has become "strained." Per The Wall Street Journal, OpenAI executives are weighing the option of whether to accuse Microsoft of anticompetitive behavior, according to people familiar with the matter. Solar stocks dropped in premarket trading Tuesday after Senate Republicans released a bill that would end tax credits for wind and solar earlier that other sources. The news caused SunRun Inc. (RUN) stock to drop by 28% and SolarEdge Technologies Inc. (SEDG) by 21%. US solar stocks have tumbled after a Senate panel released proposals for an early and full phase-out of solar and wind energy tax credits on Monday. The plan to remove credits by 2028 are among the several changes put forward by a Republican-controlled panel to President Trump's "big beautiful" tax and spending bill. Shares of Enphase Energy (ENPH), which makes solar inverters, dropped 17% before the bell. Meanwhile, solar panel seller Sunrun (RUN) tumbled 26%, while its peer SolarEdge Technologies (SEDG) sank more than 20%. First Solar (FSLR) pulled back 11%. Gold (GC=F) prices rose higher Monday night as the ongoing Israel-Iran conflict pushed risk-averse investors into safer positions, such as gold as a haven asset. Bloomberg reports: Read more here.
