By Michael S. Derby NEW YORK, Feb 25 (Reuters) - Federal Reserve Bank of Kansas City President Jeffrey Schmid said on ‌Wednesday that overly high inflation remains a key problem ‌the central bank needs to address, but he stopped short of saying how ​monetary policy should respond. “I think we have work to do on the inflation side of things,” while “I think we're in a pretty good place for employment,” Schmid said in an appearance before the ‌Economic Club of Colorado. The ⁠bank president did not, howe ...

Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Certificates of deposit do not trend on social media because they do not come with a trading thesis and they do not offer upside surprises. You hand over cash, you wait, and you get paid. In early 2026, that boring trade-off is exactly the point. CDs are one of the cleanest ways to lock in a known return at a moment when interest rates are still relatively high but no longer guaranteed to stay there. Th ...

Key TakeawaysFederal Reserve officials signaled a "wait and see" approach, maintaining interest rates in the 3.5% to 3.75% range as they evaluate the impact of AI-driven productivity and persistent inflation.Nvidia (NVDA) has yet to ship any H200 AI chips to China, according to U.S. Commerce Department officials, despite a policy shift in December allowing for case-by-case export reviews.HP Inc (HPQ) warned of prolonged memory chip volatility, with rising DRAM and NAND prices expected to impact margins thro ...

Key TakeawaysSpot silver prices skyrocketed nearly 8% to hit $84.57 per ounce, marking a massive rally in the precious metals sector.St. Louis Fed President Alberto Musalem suggested the economic outlook may remain unchanged if incoming Trump administration tariffs are implemented on a "one-for-one" basis.Spot palladium surged over 4%, climbing to $1,760.35 per ounce amid broader strength in industrial and precious metals.Musalem signaled support for Kevin Warsh as the next Federal Reserve Chair, describing ...

I would consider Bitcoin more as a commodity or a proxy to M7 US stocks. It's probably the best like pure capture of liquidity. If you are a long-term holder right now, it's a good price to buy or to do dollar cost averaging at least.>> You know, the market is down. Bitcoin tapped $60,000 recently. We're back up a little bit.in your eyes, what caused this downfall that just happened. >> Yeah. Okay.So, I would say three main things. The first two are very macroeconomic uh related or it just applies to all th ...

Market Performance - US equities closed higher, with the Dow Jones Industrial Average increasing by 0.26%, or 129 points, to 49,662 [1] - The S&P 500 rose by 0.56%, or 38 points, to 6,881, while the Nasdaq Composite advanced by 0.78%, or 175 points, to 22,753 [2] Technology Sector - The technology sector experienced a boost, primarily driven by a 1.63% increase in Nvidia shares, which reached $187.98 after the company expanded its partnership with Meta to supply millions of AI chips [3] European Market - In Europe, the Stoxx Europe 600 index surged by 1.20% to a record close of 628.69, with financial stocks rising by 0.86% [4] - France's CAC 40 increased by 0.80% to 8,429, Germany's DAX gained 1.12% to 25,278, and the UK's FTSE 100 climbed by 1.23% to a record 10,686 [5] Japanese Market - In Japan, the Nikkei 225 rose by 1% to 57,143 points, while the broader Topix advanced by 1.20% to 3,807 points [6]

Divided Federal Reserve officials at their January meeting indicated that further interest rate cuts should be paused for now but could resume later in the year only if inflation cooperates.While the decision to hold the central bank's benchmark rate steady mostly was met with approval, the path ahead appeared less certain, with members conflicted between fighting inflation and supporting the labor market, according to minutes released Wednesday from the Jan. 27-28 meeting."In considering the outlook for mo ...

Economic Overview - Inflation pressures are easing, with the consumer price index (CPI) rising 2.4% year-over-year in January, down 0.3% from the previous month, marking the lowest level since May 2025 [4][11] - Core CPI, excluding food and energy, rose 2.5% year-over-year, matching expectations and the lowest since April 2021 [5] - The U.S. economy added 130,000 jobs in January, with the unemployment rate decreasing to 4.3% from 4.4% in December [6] Federal Reserve Insights - The Federal Reserve is optimistic about inflation slowing to 2.4% by the end of 2026 and economic growth accelerating to 2.3% [7] - The recent CPI data aligns with the Fed's forecast, providing reassurance amid concerns over a cooling labor market [2][7] Investment Recommendations - Four consumer discretionary stocks are recommended for purchase: Carnival Corporation & plc (CCL), Callaway Golf Company (CALY), Dolby Laboratories, Inc. (DLB), and Marriott International, Inc. (MAR) [2] - These stocks have experienced positive earnings estimate revisions in the past 60 days and carry Zacks Ranks of 1 (Strong Buy) or 2 (Buy) [3] Company-Specific Insights Carnival Corporation & plc (CCL) - CCL is the largest cruise operator globally, with an expected earnings growth rate of 12.9% for the current year and a 6.3% improvement in earnings estimates over the last 60 days [8][9] Callaway Golf Company (CALY) - CALY specializes in premium golf equipment and apparel, with an expected earnings growth rate of 28.6% and earnings estimates improving over 100% in the last 60 days [12][11] Dolby Laboratories, Inc. (DLB) - DLB focuses on audio and imaging technologies, with an expected earnings growth rate of 0.9% and a 1.9% improvement in earnings estimates over the past 60 days [13][14] Marriott International, Inc. (MAR) - MAR is a leading hospitality company with a development pipeline of 4,056 hotels and approximately 610,000 rooms, expecting earnings growth of 16.5% for the current year [15][16]

Core Viewpoint - Kevin Warsh, nominated to lead the Federal Reserve, may advocate for a smaller central bank balance sheet, but achieving this will require significant changes to the financial system, which may not be feasible [1][4]. Group 1: Federal Reserve's Balance Sheet - The current monetary policy framework relies on the banking system maintaining large amounts of liquidity, which constrains the Federal Reserve's ability to reduce its balance sheet without impacting money markets [2][3]. - Analysts from BMO Capital Markets indicate that a smaller Federal Reserve presence in financial markets is not straightforward and would necessitate regulatory reforms to decrease banks' demand for reserves, a process that could take several quarters [4]. - Economists Cecchetti and Schoenholtz highlight that a large central bank balance sheet facilitates undesirable government financing and can disrupt financial markets, suggesting that significant balance sheet reduction could lead to increased volatility in short-term markets [4]. Group 2: Kevin Warsh's Background and Views - Kevin Warsh, appointed by the Trump administration to succeed Jerome Powell, has been a long-time critic of the Federal Reserve's balance sheet policies, particularly regarding its use of bond and cash holdings as policy tools [5]. - The Federal Reserve's balance sheet has expanded dramatically due to aggressive bond purchases during the financial crisis and the COVID-19 pandemic, peaking at $9 trillion in spring 2022, with previous contractions failing to return to pre-crisis levels [6].

Group 1 - The January inflation report showed a Consumer Price Index (CPI) increase of 0.2% month-over-month, which was below the expected 0.3% rise, and an annual inflation rate of 2.4%, also under forecasts, leading to a market rebound and optimism regarding Federal Reserve interest rate flexibility [2][8] - Energy prices, particularly a decline in gasoline prices, contributed significantly to the lower-than-expected inflation figures, offsetting increases in shelter and food costs, which is crucial for preventing a re-acceleration of overall inflation [5][8] - The combination of moderating inflation and strong employment figures may allow the Federal Reserve to consider cutting interest rates sooner than previously anticipated, as indicated by market reactions to the inflation data [6][8] Group 2 - The market's swift reaction to the inflation data reversed earlier losses, suggesting that investors view the report as a sign that inflation is approaching the Federal Reserve's target without harming economic growth [8] - Upcoming inflation indicators, including producer prices, will be closely monitored to confirm that the disinflation trend remains intact, following the January CPI release [8]