US ECONOMY

On Wednesday afternoon, the nation's central bank announced another rise in the Federal Funds Rate by 25 basis points and pledged more hikes if needed to achieve price stability, meaning bringing inflation to the official target of 2%.

The Fed's decision Wednesday is the 10th rate hike in a span of 14 months.

Compounding the Fed's dilemma is a wave of regional bank failures, which raises the prospect of a credit crunch that could further limit liquidity and push a weakening economy into a recession.

"The implications for earnings are not great news: the Financials sector is still expected to drive earnings growth in 2023," Amanda Agati, chief investment officer at PNC Asset Management Group, said.

Barry Sternlicht has thrown jabs at the Fed over the past months, calling out the government's methods in reporting rental data.

Home prices reportedly lagged inflation by 2.5% between July 2022 and January 2023.

The easing of inflation comes at a time when higher interest rates have begun to take their toll on the nation's regional banks.

Fighting the Fed is a bad idea on Wall Street. It can be harmful to traders and investors who do just that.

The Federal Reserve once again raised interest rates by 25 bps during its meeting on Wednesday with FOMC chair Jerome Powell noting that "we no longer expect that ongoing rate increases will be appropriate."

Traders and investors were encouraged by comments made by U.S. Treasury Secretary Janet Yellen, reassuring bankers that regulators are prepared to protect depositors of smaller U.S. banks.

FedEx, Rivian and REI saced hundreds of employees, citing profitability and consumer demands.

The easing of supply chain constraints has begun to put downward pressure on prices on the economy's supply side.

On Wednesday, the Open Market Operations Committee (FOMC) will hold its regular meeting, which will set the pace of interest rate hikes for another five weeks to bring inflation under control.

All major U.S. equity indexes finished higher in November, with the tech-heavy Nasdaq leading the gains as market volatility ebbed.

Wednesday's ADP report shows private hiring down in the U.S., a sign the tight labor market may be loosening.

The improvement in the U.S. trade balance that followed the surge of energy exports is a mixed blessing for the U.S. economy.

While the full results of the midterm elections may not be known for days or even weeks, traders and investors raised their bets on stocks on the prospect of a divided legislature.

Equity valuations are heading higher when the Fed is in an interest rate easing cycle. Thus, it's an ideal time to be on the long side of the equity market.

All major equity indexes ended Monday's trade lower, with the S&P 500 dropping 0.75%, the Dow Jones Industrials losing 0.32% and the tech-heavy Nasdaq falling the most by 1.04%.

Despite the high job opening levels, the U.S. economy has not gained any new jobs since the pandemic, and many jobs are either part-time or temporary.

According to a recent LendingClub report, as of August, 45% of Americans who make six figures are living paycheck to paycheck, up from 38% a year ago.

The bullish S&P 500 forecasts of industry analysts should offer some relief to investors who have been seeing red on the screen in recently.

Although inflation has disrupted the economy and caused prices to rise, there are several ways to save money.

Former Federal Reserve economist Stephen Roach said the "impacts" of monetary tightening "haven't kicked in at all right now," and a "miracle" may be the only way to avoid a recession.

The Bill Back Better bill will finally go through the Senate as the Inflation Reduction Act.