Core Insights - The Federal Reserve is entering 2026 facing significant political and policy challenges, including a new chair and a mixed economic environment that will complicate decision-making for policymakers [1][2] Economic Outlook - Following three consecutive interest rate cuts, the Federal Reserve is expected to adopt a cautious approach in 2026, with additional cuts likely being limited due to expectations of solid economic growth and persistent inflation pressures [2] - The year 2026 is anticipated to continue the extraordinary upheaval experienced in the previous year regarding the Federal Reserve [2] Political Context - President Donald Trump has previously threatened to remove Fed Chair Jerome Powell for not implementing interest rate cuts quickly enough, and there have been controversies surrounding the Fed, including cost overruns on a renovation project [4][5] - The potential removal of Governor Lisa Cook has also been a point of contention, with unproven allegations of mortgage fraud complicating the political landscape [5] Upcoming Events - A Supreme Court hearing is scheduled for January 21, 2026, to determine Trump's authority to remove Cook, followed by an interest rate vote by the Federal Open Market Committee [6] - Trump is expected to announce his choice for Fed chair in January, while Powell must decide whether to continue serving on the Board of Governors until January 2028 [6] Internal Dynamics - Recent rate votes have seen multiple dissents, and new regional presidents joining the Federal Open Market Committee are expected to have a hawkish stance, likely resisting further rate cuts [7]

Core Viewpoint - Warren Buffett expressed strong confidence in Greg Abel, the new CEO of Berkshire Hathaway, stating he would prefer Abel to manage his money over any top investment advisers or CEOs in the U.S. [1][10] Group 1: Leadership Transition - Buffett announced his plan to step down as CEO at the end of the year, with his last day on the job being Wednesday, while he will continue as chairman of the board [2] - Abel is expected to be the primary decision-maker, with Buffett praising his ability to accomplish more in a week than he could in a month [3][7] - Buffett highlighted Abel's normal lifestyle and character, indicating that he is well-suited to lead a large company like Berkshire Hathaway, which employs around 400,000 people [8] Group 2: Market Performance - On Abel's first trading day as CEO, Berkshire Hathaway's A shares fell by 1.4%, while B shares decreased by almost 1.2% [14] - In contrast, the S&P 500 index experienced a slight gain of 0.2%, leading to a year-to-date performance advantage of 1.60 percentage points over Berkshire's A shares [15] Group 3: Financial Metrics - As of September 30, Berkshire Hathaway's cash reserves stood at $381.7 billion, reflecting a 10.9% increase from June 30 [17] - The company's market capitalization is approximately $1.07 trillion, with no stock repurchases since May 2024 [17]

Core Points - The U.S. President ordered HieFo Corporation to divest a $2.9 million acquisition of chip assets from Emcore due to national security concerns [1] - HieFo's acquisition included semiconductor manufacturing facilities and digital chips, which posed a risk of diverting supply away from the U.S. [2] - The deal was not reported to the Committee on Foreign Investment in the United States (CFIUS), leading to a review of the transaction [3] Company Overview - HieFo Corporation was founded by Genzao Zhang and Harry Moore through a management buyout of Emcore's wafer fabrication and chip-related assets [5] - The company claims to have over 40 years of experience in indium phosphide chip manufacturing [6] - Emcore specializes in manufacturing navigation equipment, including gyroscopes and sensors for various applications, including defense [6] Regulatory Actions - CFIUS identified national security risks related to potential access to Emcore's intellectual property and expertise [4] - HieFo has been ordered to divest all acquired assets within 180 days and restrict access to Emcore's technical information [4]

Sean Anthony Eddy | E+ | Getty ImagesAs investors who use exchange-traded funds know, the cost can be a tiny fraction of the assets you invest.Sometimes, ETFs from different providers — i.e., Vanguard, State Street, Charles Schwab, etc. — track the same index (say, the S&P 500), which can make it tempting to go with whichever is cheapest. Yet when you choose a fund to invest in, experts say, it's important to consider more than just its expense."ETFs that compete on price are usually index-trackers that cha ...

Lithium and steel outshined A.I. in 2025, at least when it comes to CNBC's exclusive Power City Indexes.The Power City Indexes (PCI) were built ten years ago. The 'indexes' are made up from the 11 or 12 largest market cap companies in 36 different city and metro areas around America.  The stocks are equally weighted in each index and tracked through the year on FactSet.The PCIs are an easy and exclusive way to find out which city or metro area is "winning" the stock market.   We highlight them through the y ...

Every weekday, the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a.m. ET. Here's a recap of Friday's key moments. 1. Stocks are trading higher on the first trading day of the new year, with the S & P 500 trying to snap a four-session losing streak. It's a mixed tape: the Dow is weaker while the tech-heavy Nasdaq is having an upbeat session. Much of that strength stems from the moves in semiconductor stocks Nvidia and Broadcom , up 1.7% and 1.2%, respectively. Other areas ...

Group 1 - Ken Griffin's Citadel hedge fund experienced a double-digit gain in 2025, successfully navigating a volatile market characterized by sharp swings and trade tensions [1] - Citadel's flagship Wellington fund achieved a return of 10.2% in 2025, while its tactical trading fund rose by 18.6%, the fundamental equity strategy returned 14.5%, and the global fixed income fund advanced 9.4% [2] - The S&P 500 index recorded a 16.4% gain for the year, marking its third consecutive year of double-digit growth, recovering from a downturn in early April [3] Group 2 - Citadel plans to return approximately $5 billion of profits to clients to limit capital growth, which is expected to reduce assets under management from about $72 billion to $67 billion [4] - The Wellington fund has a strong long-term track record, generating an annualized return of 19% since its inception in 1990 [4]

Group 1 - Chipmaking stocks experienced a rally at the beginning of 2026, driven by investor interest in the artificial intelligence sector following a strong performance in the previous year [1] - ASML surged by 9%, Micron Technology increased by 8%, while Lam Research and Intel both rose by approximately 7%, and Marvell Technology saw a 5% increase [1] - Advanced Micro Devices (AMD) and Nvidia gained about 3% and 2%, respectively, in the early trading of 2026 [2] Group 2 - In 2025, AMD experienced a significant gain of 77%, while Nvidia saw a 39% increase, reflecting the ongoing growth in the chipmaking sector [2] - The demand for chipmaking stocks was bolstered by substantial investments from hyperscalers like Amazon and Google, aimed at meeting the persistent demand for datacenter capabilities [2]

A pedestrian passes in front of the Saks Fifth Avenue Inc. women's store at Brookfield Place in New York, U.S.Saks Global named a new CEO on Friday as the retailer is reportedly on the cusp of filing for bankruptcy protection.The parent of high-end department store chain Saks Fifth Avenue, which is privately held, will now be led by Richard Baker, the company's executive chairman, Saks said in a news release. He will continue to hold the executive chairman role.With the shakeup, three-decade long Saks execu ...

Core Insights - Berkshire Hathaway shares experienced a decline of up to 1.4% on the first day of Greg Abel as CEO, following Warren Buffett's retirement after a six-decade tenure [1] - The company ended 2025 with a gain of 10.9%, which was lower than the S&P 500's 16.4% increase, marking its 10th consecutive year of positive returns [2] - As of the end of September, Berkshire Hathaway holds a record cash reserve of $381.6 billion, with Abel now having final authority over capital allocation decisions [3] - Buffett's leadership transformed Berkshire from a struggling textile company into a significant investment powerhouse, achieving a compounded annual gain of 19.9% from 1964 to 2024, compared to the S&P 500's 10.4% [4] Group 1 - Berkshire Hathaway shares fell as much as 1.4% on Abel's first day as CEO, with a last trade at 0.5% lower [1] - The company achieved a 10.9% gain in 2025, trailing the S&P 500's 16.4% advance [2] - Buffett reassured shareholders about Berkshire's long-term future beyond his tenure [2] Group 2 - Berkshire Hathaway has a record cash reserve of $381.6 billion as of September, with Abel in charge of capital allocation [3] - Buffett expressed confidence in Abel's capabilities, stating he would prefer Abel managing investments over top advisors [3] - The company has lagged the broader market since Buffett announced his retirement, raising concerns about Abel's ability to manage its vast operations [3] Group 3 - Buffett's leadership resulted in a compounded annual gain of 19.9% for Berkshire from 1964 to 2024, significantly outperforming the S&P 500 [4] - The overall return for Berkshire during Buffett's tenure exceeded 5.5 million percent [4]