Key Points Almost 40,000 WARN notices were reported in October. These notifications are required in the event of mass layoffs or plant closures. The unusually high number could mean the Federal Reserve opts for additional interest rate cutting. 10 stocks we like better than Ethereum › Ethereum (CRYPTO: ETH) is rising, up 3.4% in the last 24 hours as of 6:10 p.m. on Tuesday. The move comes as the S&P 500 and the Nasdaq Composite gained 0.9% and 1.3%, respectively. Crypto traders got some relief to ...

Market Overview - US stock futures showed a slight increase after a tech-led selloff, with S&P 500 and Nasdaq 100 futures both up by 0.2% [1] - The Dow Jones Industrial Average futures remained relatively unchanged [1] - The previous trading day saw the Dow and S&P 500 experience their fourth consecutive decline, while the Nasdaq Composite fell for the fifth time in six sessions [2] Earnings Expectations - Investors are anticipating Nvidia's third-quarter earnings report, which is expected to influence the AI trade significantly [3] - Options trading suggests Nvidia's stock could fluctuate by up to 7%, potentially impacting its market value by over $300 billion [3] - Quarterly results from major retailers like Target, Lowe's, and TJX Companies are also expected, which may provide insights into US consumer spending ahead of the holiday season [4] Economic Indicators - The first major economic data release post-government shutdown is the delayed September jobs report, which is anticipated to influence Federal Reserve policy expectations [5] - Traders are divided on whether the Federal Reserve will cut interest rates in December based on the upcoming labor figures [5] Company-Specific News - Constellation Energy's stock rose by 3% after the US Department of Energy announced a $1 billion loan to restart a nuclear reactor project in Pennsylvania, which is contracted to supply power to Microsoft’s data centers [5]

The dollar index (DXY00) on Tuesday fell by -0.05%.  The dollar was under pressure on Tuesday as signs of weakness in the US labor market have bolstered the outlook for the Fed to keep cutting interest rates after ADP reported employers cut jobs this month. Losses in the dollar were limited by Tuesday's news that the Nov NAHB housing market index unexpectedly rose to a 7-month high.  Also, Tuesday's slide in stocks boosted some liquidity demand for the dollar. US weekly initial unemployment claims were 23 ...

Market Overview - All three major stock indexes experienced declines, with the Dow Jones Industrial Average dropping approximately 450 points (0.9%), the S&P 500 decreasing by 0.5%, and the Nasdaq falling by 0.8% [1] Tech Stock Performance - Major tech stocks such as Amazon and Microsoft each fell by 3.5%, while Nvidia declined by 2.8%. Other notable declines included Meta (2.5%), Palantir (2.5%), Tesla (2.4%), Alphabet (1.8%), Broadcom (1%), and AMD (5.5%) [2] - Home Depot led losses in the Dow with a 4.3% drop following an earnings miss, alongside declines in several bank stocks including Visa (1.8%), American Express (1.6%), JPMorgan Chase (0.7%), and Goldman Sachs (0.3%) [2] Investor Sentiment on AI Stocks - A Bank of America survey indicated that 45% of global fund managers perceive AI stocks as being in a bubble, with concerns that some companies are over-hyped and disconnected from their actual value [3] - Approximately 53% of investors believe AI stocks are already in a bubble, a slight decrease from 54% in October [3] - The survey highlighted that concerns over the magnitude and financing of the AI boom are driving investor sentiment, marking the first time since 2005 that a majority expressed worries about overinvestment in the sector [3]

Economic Indicators - The dollar index (DXY00) is down by -0.13% due to signs of weakness in the US labor market, which have increased expectations for the Fed to continue cutting interest rates after ADP reported job cuts this month [1] - US weekly initial unemployment claims were reported at 232,000 for the week ending October 18, with continuing claims rising by +10,000 to a two-month high of 1.957 million [2] - ADP reported that US employers shed an average of 2,500 jobs per week in the four weeks ending November 1 [3] Housing Market - The November NAHB housing market index unexpectedly rose by +1 to a seven-month high of 38, surpassing expectations of no change at 37 [3] Currency Movements - EUR/USD recovered from overnight losses, up by +0.09%, as weakness in the US labor market benefits the euro, with the ECB seen as largely finished with its rate-cut cycle [4] - USD/JPY is down by -0.10%, with the yen recovering from a 9.5-month low against the dollar, supported by falling T-note yields and safe-haven demand due to a -3% slump in the Nikkei Stock index [6] - The yen initially moved lower due to dovish comments from BOJ Governor Ueda regarding gradual adjustments to monetary easing [7] Market Expectations - Markets are pricing in a 49% chance that the FOMC will cut the fed funds target range by 25 basis points at the next meeting on December 9-10 [3] - Swaps are pricing in a 4% chance of a -25 basis point rate cut by the ECB at the December 18 policy meeting [5]

Core Viewpoint - Federal Reserve Governor Christopher Waller advocates for continued rate cuts, emphasizing the need to address risks from a weakening labor market, with a proposed cut at the next meeting in December [1][7]. Labor Market Analysis - Waller identifies the "weak labor market" as a primary concern, prioritizing it over inflation worries, stating he is not significantly concerned about inflation accelerating [2][5]. - He describes the labor market as "still weak and near stall speed," attributing the slowdown to falling demand rather than supply issues, supported by private-sector data [4][5]. Economic Data and Insights - Despite a government shutdown delaying key economic reports, Waller asserts that there is sufficient private and public data to inform economic conditions, indicating that policymakers are not "flying blind" [3]. - He highlights strains on U.S. consumers, particularly middle- and lower-income groups facing challenges like low housing affordability and high auto purchasing costs [6]. Rate Cut Justification - Waller concludes that a 25-basis-point cut in December is essential for "risk management," aiming to provide insurance against further deterioration in the labor market and to move policy towards a neutral stance [7]. Market Reactions - The CME Group's FedWatch tool indicates a 46.6% probability of a rate cut during the December meeting, reflecting market sentiment [8]. - Following Waller's remarks, major ETFs tracking the S&P 500 and Nasdaq 100 experienced declines, with SPY down 0.93% and QQQ down 0.85% [8].

Gold steadied, after three days of losses underpinned by fading expectations of a US interest rate cut next month https://t.co/4takJluhtz ...

Market Overview - Bitcoin and major cryptocurrencies are experiencing losses amid a broader downturn in risk-on assets, driven by macroeconomic uncertainties, including concerns about U.S. interest rates and tech firms' spending on AI initiatives [1][3] - Bitcoin is trading at approximately $92,200, down 2.3% in the last 24 hours, marking its lowest level since late April [1] - Over the past two weeks, Bitcoin has dropped more than 14%, erasing all gains made in 2025 [2] Market Sentiment - The current drawdown in digital assets reflects a risk-off rotation influenced by macro headwinds, including a recalibration of liquidity expectations and reduced probability of a December interest rate cut [3] - Concerns about U.S. trade wars, missing figures from jobs and inflation reports, and a slumping economy have negatively impacted market sentiment [3] Company Impact - Major companies like Google and Microsoft are committing to AI projects, which may affect their balance sheets in the near term [4] - The technology-focused Nasdaq and S&P 500 indices closed down by about 1%, continuing their recent declines [5] - Crypto-focused stocks, such as Coinbase, saw significant declines, with Coinbase tumbling over 7% [5] Market Activity - Investors liquidated over $900 million in positions in the past 24 hours, including more than $550 million in long positions [5] - Selling pressure from whales and miners has contributed to the price drop, particularly after key price levels were breached, leading to liquidations in derivative markets [6]

Core Viewpoint - The U.S. job market is showing signs of stagnation, prompting discussions for a potential interest rate cut by the Federal Reserve [1] Employment Data - State unemployment claims have risen slightly, indicating a potential weakening in the job market [1] - Layoff numbers are increasing, further suggesting a slowdown in employment growth [1] Wage Pressures - There is no evidence of building wage pressures, which typically influence inflation and monetary policy decisions [1] Federal Reserve Actions - Federal Reserve Governor Christopher Waller advocates for a quarter-percentage-point interest rate cut in response to the current economic indicators [1]

Market Performance - Major U.S. indexes showed mixed performance last week, with the Nasdaq Composite, S&P 500, and Dow Jones Industrial Average declining by 2.7%, 1.4%, and 0.5% respectively [1] - Investors are shifting focus from high-valuation technology and AI stocks to more defensive sectors due to market volatility [1] Federal Reserve and Economic Data - The end of a 43-day government standoff has reduced political risks, but delays in key economic data releases have created uncertainty for the Federal Reserve and investors [2] - The Fed is balancing economic growth and inflation, with inflation remaining above the 2% target and a resilient labor market casting doubt on December rate cut expectations [2] Zacks Research Performance - Zacks Research has provided guidance that led to significant stock performance, with Macy's shares increasing by 14.9% since its upgrade to Zacks Rank 1 on September 18, outperforming the S&P 500's 2.2% increase [3][4] - Fresnillo plc also saw a 7.2% return since its upgrade to Zacks Rank 1 on September 19, compared to the S&P 500's 1.8% increase [4] Zacks Model Portfolio Returns - A hypothetical portfolio of Zacks Rank 1 stocks returned +8.64% in 2025 through September 1, outperforming the S&P 500's +7.60% [4] - The Zacks Model Portfolio has outperformed the S&P 500 index by over 12 percentage points since 1988, with an annualized average return of +23.8% compared to +11.3% for the S&P 500 [5] Specific Stock Performances - United Natural Foods, Inc. (UNFI) shares increased by 32.4% after its Zacks Recommendation was upgraded to Outperform [7] - Caterpillar Inc. (CAT) gained 35.9% over the past 12 weeks, while CACI International Inc. (CACI) returned 20.1% during the same period [10] Earnings Certain Admiral Portfolio (ECAP) - The ECAP returned -1.30% in Q3 2025, underperforming the S&P 500's +8.1% gain, and +2.72% year-to-date compared to the S&P 500's +14.84% [15] - The portfolio aims to minimize capital loss by holding shares of companies with a proven track record of earnings stability [16] Earnings Certain Dividend Portfolio (ECDP) - Johnson & Johnson (JNJ) returned 10.9% over the past 12 weeks, while UnitedHealth Group (UNH) increased by 5.9% [18] - The ECDP returned -0.01% in Q3 2025, underperforming the S&P 500's +8.1% gain [20] Top 10 Stock Portfolio - MasTec, Inc. (MTZ) has jumped 41.2% year-to-date, outperforming the S&P 500's 14.7% increase [22] - The Top 10 portfolio has produced a cumulative return of +2,553.1% since 2012, significantly outperforming the S&P 500's +545.2% [24]