After turning in a strong performance to kick off the first full trading week of the new year, stocks saw further upside during trading on Tuesday. With the continued upward move, the Dow and the S&P 500 reached new record closing highs.The major averages ended the day just off their highs of the session. The Dow jumped 484.90 points or 1.0 percent to 49,462.08, the Nasdaq climbed 151.35 points or 0.7 percent to 23,547.17 and the S&P 500 rose 42.77 points or 0.6 percent to 6,944.82.The Dow benefitted from ...

According to recent calculations from CBS News, the rate cuts from the Fed brought the interest rate for a $40,000 10-year HELOC down from 8.12% in March to 7.82% in November. This means that payments dropped from $487.85 per month to $481.51, which isn’t a significant reduction, but it’s clear that there’s a trend in response to rate cuts. As the Fed continues with rate cuts, it’s evident that lower borrowing costs can tempt both businesses and individuals into overleveraging and endangering their finan ...

Philadelphia Fed President Anna Paulson said on Saturday that the central bank could be in a position to cut interest rates further if inflation eases, but indicated that any additional reductions may not come immediately. “I see inflation moderating, the labor market stabilizing, and growth coming in around 2% this year,” Paulson said. “If all of that happens, then some modest further adjustments to the funds rate would likely be appropriate later in the year.”Economic data released on Friday showed that t ...

Core Viewpoint - The Federal Reserve may consider further interest rate cuts if inflation decreases, but such reductions are not expected to happen immediately [1] Group 1 - Philadelphia Fed President Anna Paulson indicated the possibility of additional interest rate cuts contingent on inflation trends [1]

European stocks are seen opening mixed on the first trading day of 2026 on Friday, following the New Year's Day holiday.U.S. equity futures ticked higher after the major indexes fell for a fourth straight session on Wednesday to wrap up 2025. But full-year performance was robust, with the tech-heavy Nasdaq Composite rallying by 20.4 percent for the year, the S&P 500 surging by 16.4 percent and the Dow adding 13.0 percent amid the euphoria around AI-linked stocks.Closer home, the Stoxx 600 index soared 17 p ...

The On the 30-stock Sensex, shares of Auto stocks outperformed, with the sector index rising 0.8%, buoyed by gains of about 2% in slid 5%, extending a steep selloff after a 10% drop in the previous session, as a string of brokerage downgrades flagged pressure on earnings from the government’s cigarette tax increase. The decline in ITC weighed on the fast-moving consumer goods index, which fell 1.4%.Live EventsBroader market sentiment was mildly positive, with small-cap stocks up 0.2% and mid-cap shares ad ...

Core Viewpoint - The Federal Reserve is expected to lower interest rates aggressively in early 2026 due to labor market weakness, inflation uncertainty, and political pressure, according to Moody's Analytics chief economist Mark Zandi [1][2]. Group 1: Labor Market and Economic Conditions - The job market is still flagging, particularly in early 2026, which will lead to insufficient job growth and rising unemployment, prompting the Fed to cut rates [2]. - Zandi anticipates three cuts of a quarter percentage point each before mid-year 2026, contrasting with market expectations of only two cuts later in the year [1][3]. Group 2: Federal Reserve's Outlook - Current market pricing indicates a first cut not until at least April 2026, with a second cut likely around September, while Fed officials are even more cautious, expecting only one cut throughout the year [3][4]. - The Fed's individual officials' expectations suggest a tepid pace for any potential reductions, with recent minutes indicating that the decision for a cut was a close call [4]. Group 3: Political Influence - The potential for President Trump to reshape the Fed's hierarchy adds uncertainty, as he currently has three appointees on the board and is likely to appoint another loyalist soon [5][6]. - Trump's advocacy for lower interest rates may lead to increased political pressure on the Fed, especially with midterm congressional elections approaching [7].

Economic data released on Tuesday showed that the U.S. Chicago PMI rose to 43.5 in December, stronger than expectations of 39.8. Separately, the U.S. October S&P/CS HPI Composite - 20 n.s.a. eased to +1.3% y/y from +1.4% y/y in September, stronger than expectations of +1.1% y/y.“Wall Street is rounding out the year in a subdued fashion, capping a good year for stocks, albeit one that included a nervous moment or two,” according to Kyle Rodda, senior analyst at Capital.com. “The markets are pricing in a pret ...

Core Insights - The article discusses the current state of money market account (MMA) rates, highlighting the importance of finding competitive rates as interest rates decline following recent Federal Reserve cuts [1][5]. Group 1: Current MMA Rates - The national average interest rate for money market accounts is 0.58%, while top rates can exceed 4% APY, comparable to high-yield savings accounts [2]. - Quontic Bank and HUSTL currently offer the highest MMA rates at 4.1%, which is over seven times the national average [8]. Group 2: Impact of Federal Reserve Actions - Deposit account rates, including money market rates, are influenced by the federal funds rate set by the Federal Reserve, which affects how banks charge each other for overnight loans [3]. - Between July 2023 and September 2024, the Fed maintained a target range of 5.25%–5.50%, but subsequently cut the federal funds rate by a total of 100 basis points, leading to a decline in money market rates [4]. Group 3: Considerations for Savers - With interest rates still elevated, money market accounts are seen as an attractive option for savers seeking safety, liquidity, and better returns than traditional savings accounts [6]. - Factors to consider when deciding on a money market account include liquidity needs, savings goals, and risk tolerance, as these accounts provide easy access to funds and are FDIC insured [7].

Core Insights - The Federal Reserve has reduced interest rates by 25 basis points, bringing the federal funds rate to a target range of 3.5% to 3.75% [1] - The transition in leadership at the Federal Reserve in 2026 introduces uncertainty regarding future interest rate policies [4][5][8] Consumer Staples and Utilities Sector - Stocks in the Zacks Consumer Staples and Utilities sectors are recommended due to their lower volatility amid current market uncertainty [2][9] - Notable consumer staples stocks include Monster Beverage (MNST) and Mama's Creations, Inc. (MAMA), both rated Zacks Rank 1 (Strong Buy) [2][11] - Utilities stocks such as Dominion Energy (D), Ameren Corporation (AEE), and Sempra Energy (SRE) hold Zacks Rank 2 (Buy) and are expected to perform well [2][11] Low-Beta Stocks - The highlighted stocks are categorized as low-beta stocks, indicating they are less volatile compared to the broader market [3][12] - These stocks are projected to show earnings growth in 2026, supported by favorable Zacks Ranks [3] Individual Stock Performance - **Monster Beverage**: - Beta of 0.48, long-term earnings growth of 16.81%, and 2026 sales estimate of $9 billion reflecting a growth of 9.48% [16][17] - **Mama's Creations**: - Beta of 0.79, long-term earnings growth of 4.35%, and 2026 sales estimate of $218.2 million reflecting a growth of 26.49% [18][19] - **Dominion Energy**: - Beta of 0.70, long-term earnings growth of 10.26%, and 2026 sales estimate of $16.48 billion reflecting a growth of 5.14% [20][21] - **Ameren Corporation**: - Beta of 0.57, long-term earnings growth of 8.52%, and 2026 sales estimate of $9.71 billion reflecting a growth of 6.33% [22][23] - **Sempra Energy**: - Beta of 0.73, long-term earnings growth of 7.33%, and 2026 sales estimate of $14.74 billion suggesting growth of 8.5% [24][25]