Here’s an exciting market update from CNBC, as some of the biggest names in the technology industry have made headlines after trading hours:
Shares of Facebook popped more than 7% in extended trading Wednesday following the release of the social media giant’s first-quarter earnings. Facebook reported earnings per share of 85 cents, which was not comparable to analysts’ estimates due to a $3 billion legal expense related to a Federal Trade Commission inquiry into Facebook’s privacy policies.
Revenue came in at $15.08 billion, topping Wall Street’s $14.98 billion forecast, according to Refinitiv. Daily active users increased 8% year over year to total 1.56 billion. Average revenue per user was $6.42, beating estimates of $6.39.
Microsoft shares jumped more than 3% after hours Wednesday after the company posted better-than-expected third-quarter earnings. The second largest company by market valuation, behind Apple, earned $30.57 billion in revenue during the period. That tops estimates of $29.84 billion, according to analysts surveyed by Refinitiv. Earnings per share were $1.14, higher than the $1.00 expected by analysts.
Shares of Tesla seesawed after market close Wednesday based on disappointing first-quarter earnings. Elon Musk’s automaker reported a loss of $2.90 on revenue of $4.54 billion. Analysts expected a loss of 69 cents on revenue of $5.19 billion per Refinitiv.
Chipotle shares were volatile in extended trading Wednesday following the release of the restaurant company’s first-quarter earnings. Chipotle posted revenue of $1.31 billion, beating estimates of $1.26 billion. Earnings per share were $3.40, compared to the $3.01 forecast on the Street.
Chipotle’s same store sales grew 9.9%, topping estimates of 7.3%.
Continue reading HERE.
It’s maybe challenging to take control of your finances, meanwhile, set aside money for savings when you have lots of bills and expenses to pay, every now and then. But if you’re focused and determined to achieve a financially stable life in the future, nothing is impossible.
Whatever financial difficulties you may encounter in the future, whether it’s for your medical needs, or simply a house and car repair costs, your emergency savings is a huge help to cover these kinds of unexpected expenses. It is one of the most important financial practices everyone should exercise in life.
Many of the younger ones today are interested to venture into the world of investing, but only a few have the courage to invest their money and take the risky journey. Mainly because most of them are hesitant due to constant uncertainties and instability happening in the market today. But according to billionaire investor, Warren Buffet, the key to achieve financial security is to start saving and investing early regardless of the amount of your money.
Living in a comfortable life throughout your golden years is one of the compelling reasons why you should secure substantial retirement savings, while you’re still young and capable. Today’s portion of your income can make a significant contribution to your living expenses and essentials when you retire someday.
Here’s a global stock market updates provided by CNBC:
- Shares in Asia mostly gained in afternoon trade.
- The U.S. and China are set to resume trade negotiations in Washington on Wednesday, following last week’s talks in Beijing.
- A Financial Times report on Wednesday said the two countries are closer to reaching a deal.
Stocks in Asia were higher in Wednesday afternoon trade following a report that said the U.S. and China are closer to reaching a trade agreement.
Mainland Chinese stocks, however, were tepid by the morning session’s end, with the Shanghai composite advancing 0.23 percent. The Shenzhen component and Shenzhen composite were largely flat.
Meanwhile, the ASX 200 in Australia rose 0.65 percent. Data on Wednesday showed that retail sales Down Under hit a 15-month high in February, with the country’s trade surplus soaring beyond expectations to its second highest on record in the same month.
The broad MSCI Asia ex-Japan index advanced 0.69 percent to 539.56, as of 12:27 p.m. HK/SIN.
The U.S. and China are set to resume trade negotiations in Washington on Wednesday, following last week’s talks in Beijing. Ahead of the meeting, White House economic adviser Larry Kudlow said the two countries “expect to make more headway” in this week’s talks.
Continue reading here.
Here’s a brief update on this week’s stock market performance from LOM Financial : Read more:
Markets rallied strongly last week, with the MSCI World index gaining 2.86% and the S&P 500 gaining 2.95%.
The Brexit endgame is coming more into focus. Last week, the British Parliament passed the Spelman/Dromay amendment by a vote of 312 to 308. The amendment was a non-binding ruling to prevent a hard Brexit under any circumstances. Perhaps paradoxically, Prime Minister May whipped her party to vote against this amendment. Her rationale appears to have been to force the issue of the Parliament agreeing terms on the exit. While there is talk of putting the terms of an orderly exit up for another vote, it appears unlikely the vote would go through since the deal has not changed materially and there is less incentive for voters to change their position.
This brings us to the March 29th Brexit deadline. Britain is likely to request an extension to their exit as they attempt to come to an agreement on the exit terms with the EU. This would require the EU countries to unanimously agree to allow Britain to extend their membership, something Nigel Farage has been lobbying that they reject. If they were to reject an extension, Britain would default into a hard Brexit. The likelihood of that occurring are low but non-trivial. The more likely outcome would be an extension, which presents certain challenges since an extension beyond July 1st would mean Britain would be required to participate in the European Parliament election. At this point, it is unclear what a short extension would accomplish as Parliament is resolutely against the proposed terms. While the whole ordeal is rather taxing, the prospects of entering a hard Brexit have diminished (a good thing). JP Morgan was suggesting a 10% likelihood of a hard Brexit.
Boeing 737 Max
More headwinds facing Boeing as their 737 Max have been grounded in most developed countries. This is a major hit to the company, which was set to deliver over 5000 of the planes. A surprise move in which the FAA reversed an earlier position that the planes were airworthy, causing the company to continue to fall. Boeing is now facing an investigation by the Department of Transportation in to whether enough vetting had taken place prior to the 737 Max release.
For more insights, continue reading here.
Here’s the latest market updates from CNBC:
- Shares in Japan, South Korea and Australia advanced in morning trade.
- The Wall Street Journal reported Sunday that the U.S. and China are “in the final stage of completing a trade deal,” with Beijing offering to lower tariffs on U.S. products in categories ranging from chemicals to autos.
Stocks in Asia rose on Monday morning following a report that China is offering to lower tariffs on certain U.S. products as part of a trade deal with America.
In Australia, the ASX 200 rose 0.58 percent in morning trade, with almost all sectors advancing.
US-China trade deal progress
The Wall Street Journal reported Sunday that the U.S. and China are “in the final stage of completing a trade deal,” with Beijing offering to lower tariffs on U.S. products in categories ranging from chemicals to autos. For its part, Washington is considering eliminating most if not all of the trade sanctions placed on Chinese goods last year, according to the Journal.
A summit between the two leaders could happen sometime in March, according to both Bloomberg and the Journal.
Continue reading HERE.
For most taxpayers, getting a chunk of refund from their taxes is a big thing. However, according to the source from CNBC, it is not an effective use of your cash flow. Find out why:
- As of the first week of the filing season, the IRS issued an average refund of $1,865. That’s down from $2,035 last year.
- The new tax law lowered individual income tax rates, roughly doubled the standard deduction, and limited itemized deductions.
- A large refund suggests you overpaid on taxes in the prior year.
If you are among the taxpayers expecting a refund this tax season, hold off on the champagne for a moment: A big check from the IRS isn’t necessarily good news.
The taxman kicked off the new filing season on Jan. 28, marking the first time taxpayers will be submitting their returns under the Tax Cuts and Jobs Act. The agency predicts it will receive more than 150 million individual income tax returns this spring.
In just the first week of the new filing season, the IRS has sent out 4.6 million refunds to early birds.
The average refund check as of the week of Feb. 1 was $1,865, according to the IRS, which in turn set off howls of protest on social media from taxpayers who were expecting at least what they got last year.
Though there’s no denying the feel-good factor of getting a fat check from Uncle Sam, it means you’ve likely overpaid your taxes during the prior year.
“A large refund from the IRS may seem like an advantage, but it isn’t the best or most effective use of your cash flow,” said Tim Steffen, CPA and director of advanced planning at Robert W. Baird & Co."You're basically giving the IRS an interest-free loan," he said.
If you are an employee, when you were hired your employer gave you a Form W-4, which you can use to tweak the amount of tax that’s withheld from your pay.
On that sheet, you can list the number of personal allowances you claim for your household. For instance, you can claim an allowance each for yourself, your spouse and your dependents.
Tread carefully: The more allowances you claim, the less tax you will have withheld.
If you underpay your taxes during the year, you’ll likely owe when you file your return.
“Some people read the form and think, ‘I’m married and have three kids,'” said Cari Weston, director of tax practice and ethics at the American Institute of CPAs. “They end up with five allowances and owe substantial taxes at the end of the year.”
To make things even more complicated, the IRS has adjusted its withholding tables and Form W-4 to reflect the changes from the Tax Cuts and Jobs Act. The agency has also released a new tax withholding calculator.
Because of the new tax law’s increase to the standard deduction and the elimination of personal exemptions, now might be the best time to review your Form W-4 to see if you’re withholding the appropriate amount of tax.
Continue reading HERE, for more insights.
Income-driven millennials will likely become multi-millionaire investors in the future. However, venturing into the risky world of investing can be a great challenge for the young generations. Nonetheless, the market sector has higher earning potential among other investment options, below are some of the many compelling reasons why the young demographics must invest in the stock market:
Apart from global economic growth, the rapid pace of technology advancement has transformed the way we trade stocks, today. Millennial investors can take advantage of the efficient trading tools such as cloud-based software and online trading platforms, developed to provide easier access to investors and keep track their investments anytime, anywhere.
Has a Variety of Safe and Profitable Investments
Alongside with Finance, the Tech sector has been one of the best-performing stocks in the market, for years. In terms of revenue, large companies like Microsoft, Apple, and Amazon are highly recognized as the most dominant tech stocks in the market. As they remain robust and successful despite economic crisis and uncertainties.
A Great Wealth Builder
Saving earlier for stable and financially secured golden years can be the best thing every millennial should learn. For instance, Warren Buffet, widely acclaimed as the richest business tycoon in the investment history was known to have built his fortune by trading in the stock market decades back until to date, following Benjamin Graham’s principles of value investing, according to Forbes.
Check out the latest stock market performance from LOM Financial, today:
Markets ended the abbreviated week as a warning of a global slowdown was offset by strong earnings. The MSCI World Index ended the week up 0.07% while the S&P 500 lost -0.21%.
IMF Warns of a Global Slowdown
The International Monetary Fund cut 2019 global growth estimates by 0.2% to 3.5%, citing risks of a more significant downward correction was rising. In the US, the effects of fiscal stimulus are expected to unwind. Mexico experienced a significant downgrade to growth reflecting lower private investment. The high levels of public and private debt mean capital markets should be more sensitive to downturns than they have been historically.
The IMF report mirrors the World Bank January 2019 assessment (published on 1/8/19), which sees headwinds from the removal of accommodative policies that supported the protracted recovery along with more extreme weather events creating challenges in developed and developing countries. Lax credit markets have resulted in a growing number of developing countries holding questionable levels of debt.
Market Wrap Up
Earnings releases have been mixed but strong positive revenues and EPS surprises on Wednesday from Proctor and Gamble, Comcast, and United Tech Corp marked the turnaround that helped bring markets back to levels near the beginning of the week.
Continue reading HERE.
Many investors are worried about the prolonged government shutdown in the U.S.. Despite market uncertainties and instability, according to Jim Cramer of CNBC, these are the stocks you can buy in the market today:
“Merck is exactly the kind of company that investors circle the wagons around” during difficult macroeconomic events like long-lived government shutdowns, Cramer said on “Mad Money” amid a broader market rotation.
“Even though Merck ran up dramatically last year, I think the stock remains way too cheap, and as the rotation plays out, it could get even cheaper, meaning you could get an even better buying opportunity,” he continued. “We’re talking about a best-of-breed drug company here, yet it’s not getting the kind of premium multiple I think it deserves.”
So, even though Cramer expects more selling in the drugmakers’ stocks in the next several days, he urged stock-pickers to consider the bigger picture and, if they’re interested, to scale into Merck’s stock “gradually.”
“Thanks to Keytruda,” Merck’s leading anti-cancer franchise, “Merck is once again a growth pharmaceutical company,” he said. “I’m betting it’ll be years before their key drug faces any meaningful competition, which means you can buy it into weakness here.”
Investors still have time to take advantage of the broad rotation out of “safe” food and drug stocks and into faster-growing stocks like the semiconductor plays, Cramer said Thursday.
For more insights, continue reading HERE.
What do you think of the investor’s stock market perspective for this year? Will it be the best or worst of times? Check out The Royal Gazette for more insights:
“It was the best of times, it was the worst of times …” begins a famous Charles Dickens novel. Unsurprisingly, this phrase has been repeated countless times in financial publications since Dickens wrote A Tale of Two Cities in 1859. Over the past few decades we have seen clear examples of both good and bad times in the global economy. Certainly, last year’s stock market plunge in the final quarter was not the best of times for investors, even though the global economy continued to expand.
In terms of what’s next, investors seem to be forecasting the worst of times. Despite record corporate profits last year and consensus forecasts for respectable global growth of around 3.5 per cent in 2019, stocks, commodities and credit prices have lately veered to the downside, notwithstanding a recent bump up from December’s lows. In any event, we have now had official market corrections of about 20 per cent on all the major stock market averages.
Market nervousness has also been evident in the credit space. Substantially higher credit spreads, or the additional amount of yield investors require in order to underwrite the risk of owning corporate bonds, have expanded to levels typically seen during periods of recession.
For example, last December, high yield bonds experienced their worst month since 2011. However, incoming economic data does not support a recession thesis — at least not at the moment.
The most critical market headwinds are the US-China trade war, tightening central bank monetary policies and likely, concerns over an unruly Brexit negotiation. Market direction going forward will therefore be determined by political leaders rather than traditional market forces. No wonder cautiousness prevails.
Continue reading HERE.