Contraband Whiskey and a Secret Royal Dinner: Wall Street Goes to Riyadh

THE NEW YORK TIMES: Are you an international business titan on the hunt for billions of dollars of Saudi oil cash? Prepare for “a mind game.”

At exactly 6:19 p.m. last Tuesday, in a gold-trimmed hallway snaking off the lobby of the Ritz-Carlton, Riyadh, a lesson emerged in money, power and what Arabs call wasta, or influence.

The scene was opened by Marc Rowan, the private equity billionaire, pacing the carpet leading up the unremarkably named Meeting Room B — where a few minutes earlier chairs had been arranged in a semicircle.

Mr. Rowan, clad in a neat suit rather than his usual sweaters, was 11 minutes early — he actually doubled back a few times, apparently unwilling to arrive first — but was soon followed by a dozen or so titans of technology and finance, including top executives of the Carlyle Group, BlackRock, Citi and Standard Chartered, and founders of the giant hedge funds Bridgewater Associates and Third Point. » | Rob Copeland | Tuesday, November 5, 2024

Wall Street Sees Best Day of Trading in Nearly Two Years amid Recovery Rally

THE GUARDIAN: Indices rise days after S&P endured worst day in almost two years amid global stock market sell-off

Wall Street enjoyed its best day of trading in nearly two years, recovering most of the losses it suffered during a sell-off sparked by US economic fears earlier this week.

The S&P 500 rose 2.3% to 5,319.32, its biggest single-day jump since November 2022. The Dow Jones industrial average rose 1.8% to 39,446.49. The technology-focused Nasdaq Composite rose 2.9% to 16,660.02. » | Callum Jones in New York | Thursday, August 8, 2024

JP Morgan Boss Receives Record Payout

THE TELEGRAPH: Jamie Dimon earns $36m as bank announces best profits of Wall Street’s Big Four

Jamie Dimon is the longest serving chief executive among the major investment banks CREDIT: CHRIS RATCLIFFE/POOL/EPA-EFE/Shutterstock
Wall Street giant JP Morgan paid its long-standing chief executive Jamie Dimon a record $36m (£28.4m) last year. The payout was a 4.3pc increase for Mr Dimon and comes after the bank reported $49.6bn (£39.1bn) of profits last Friday, well ahead of its peers. He was paid $34.5m in 2022.

Mr Dimon, 67, who is the longest serving chief executive among Wall Street’s Big Four banks, hailed the results – which come after JP Morgan shares rose 27pc during the year.

The bank’s board said: “The firm is in a fortunate position to be led by such a highly talented and experienced executive who continues to grow the company, maintain market leadership positions, strengthen the firm’s reputation, invest in opportunities for the future, promote diversity and best practices, manage risk and develop great leaders, while also maintaining his focus on the firm’s clients.”

Mr Dimon’s payout will be made up of a $1.5m base salary and a $34.5m bonus, most of which is paid in stock. » | Chris Price | Friday, January 19, 2024

SOME BOSSES AREN'T QUITE SO SHAMELESS:

British Gas boss Chris O'Shea: 'I can't justify my pay of £4.5m': The boss of British Gas owner Centrica has told the BBC his pay last year of £4.5m is "impossible to justify". »

Stocks Slide at the End of a Rough Week for Investors.

THE NEW YORK TIMES: Pessimism is deepening as bellwether companies like FedEx and General Electric warn of worsening economic and business conditions.

After one of the worst weeks for the stock market this year, investors are losing their nerve as the burst of optimism that accompanied a summer rally fades away.

The S&P 500 index was set to close out the week around 5 percent lower than where it started, down 1 percent in early trading on Friday as corporate executives from bellwethers like FedEx and General Electric warned of crimped supply chains and declining economic activity that would hurt corporate profits.

The stock market’s move on Friday added to sharp losses earlier in the week, after a widely watched gauge of inflation showed that consumer prices rose more than expected in August. The fresh data undermined the popular thesis that inflation had peaked, ushering in expectations that the Federal Reserve would have to do more to restrain the economy that previously expected, raising the risk of the United States slipping into a severe downturn.

The stock slide marked the latest bout of whiplash for investors after a string of surprises this summer that have consistently undermined a more optimistic consensus in financial markets. Now, some of the most powerful trading houses in the world, responsible for investing trillions of dollars on behalf of pension funds, governments and other investors, are warning that there is more pain to come. » | Joe Rennison | Friday, September 16, 2022

Stocks Plunge after Fed Chair Warns of ‘Pain’ from Inflation Fight

THE NEW YORK TIMES: The S&P 500 fell 3.4 percent, its worst daily showing since mid-June, after the Federal Reserve chair spoke about the path ahead for monetary policy.

Wall Street recoiled on Friday, after the head of the Federal Reserve delivered a stern warning that the central bank’s campaign to lower inflation by raising interest rates is “unconditional” even if it leads to pain for households, businesses and in turn stock prices.

The S&P 500 fell 3.4 percent, its worst daily showing since mid-June, taking its losses for the week to 4 percent. The slump was broad, with every sector of the index lower.

Bond investors also quickly adjusted for more rate increases from the Fed, with the two-year Treasury yield, which is sensitive to rising interest rates, moving close to its highest level of the year at 3.44 percent, before easing back to 3.38 percent.

“While higher interest rates, slower growth and softer labor market conditions will bring down inflation, they will also bring some pain to households and businesses,” Jerome Powell, the Fed chair, said during a speech at the Kansas City Fed’s annual conference in Wyoming. “These are the unfortunate costs of reducing inflation. But a failure to restore price stability would mean far greater pain.” » | Joe Rennison | Friday, August 26, 2022

Daily Business Briefing.

After Worst Start in 50 Years, Some See More Pain Ahead for Stock Market

THE NEW YORK TIMES: At the halfway point of the year, it’s been a historically horrible time for stocks. Bonds are in bad shape, too.

The stock market is on track for its worst first half of the year since at least 1970. | Julia Nikhinson/Associated Press
Wall Street set records in the first half of the year, none of them good.

The economy is on the cusp of a recession, battered by high inflation and rising interest rates, which eats into paychecks, dents consumer confidence and leads to corporate cutbacks. As it has teetered, markets have tanked.

The stock market is on track for its worst first six months of the year since at least 1970. The S&P 500 index, the cornerstone of many stock portfolios and retirement accounts, peaked in early January and has fallen 19.9 percent over the past six months.

The sell-off has been remarkably broad, with every sector except energy down this year. Bellwethers including Apple, Disney, JPMorgan Chase and Target have all fallen more than the overall market.

And that’s only part of the horror story for investors and companies this year. » | Isabella Simonetti | Thursday, June 30, 2022

Wall St. Tumbles as Global Sell-off Accelerates.

Screenshot: The New York Times
THE NEW YORK TIMES: U.S. stocks opened in bear market territory on Monday, a 20 percent decline from their peak in January, a sign of growing pessimism about the outlook for the economy.

Markets around the world tumbled, as higher-than-expected inflation and lower-than-expected economic growth upend the outlook for interest rates and corporate profits. Stocks in Asia and Europe fell, investors dumped government bonds, oil prices slipped and cryptocurrencies crashed.

The S&P 500 fell 2.5 percent at the open of trading, as a wave of selling continued. The S&P 500 briefly dipped into bear market territory last month, before recovering to close just above it. The markets have been jittery since, with the S&P 500 last week recording its worst weekly loss since January.

The benchmark U.S. stock index is now “within one bad day’s move of a bear market, and equity futures suggest that we haven’t seen all the negative sentiment expressed yet,” analysts at ING wrote in a note to investors on Monday morning. The S&P 500 has fallen in nine of the past 10 weeks.

A report on Friday showed a surge in inflation in the United States, which rattled markets, as investors worried that the Federal Reserve may have to raise interest rates higher and faster than expected to rein in rising prices, a move that could hit the U.S. economy.

Global investors sold stocks, bonds and other assets, as inflation is running high in many countries, supply chains remain snarled and forecasts for economic growth are being downgraded. » | Alexandra Stevenson and Jason Karaian | Monday, June 13, 2022

What you should know about bear markets: There have been several instances of near-bear markets in recent decades, but it’s rare for them to hit the threshold »

Wall Street chute, inquiète de l’inflation et de la perspective d’une hausse des taux : La Bourse de New York est entrée dans un marché baissier, avec un recul supérieur à 20 % pour le S&P 500 et de 30 % pour le Nasdaq depuis le début de l’année. Lundi, en début de matinée, les deux indices perdaient respectivement 4,15 % et 3,6 %. »

Angst vor schneller steigenden Leitzinsen – Dax fällt auf weniger als 13.500 Punkte: Nachdem die Inflation in Amerika sogar noch einmal gestiegen ist auf deutlich mehr als 8 Prozent, rückt die mächtigste Notenbank der Welt wieder ins Visier der Börse: Straffen die Währungshüter mehr als gedacht? Die Anleger reagieren schon. »

S&P 500 Falls into Bear Market Territory, Down 20% from January High: Live Updates

THE NEW YORK TIMES: Stocks have slipped for seven consecutive weeks, their worst stretch since 2001. The Federal Reserve’s attempts to bring inflation under control are a big reason stock prices are falling.

Stocks dropped on Friday, pushing the S&P 500 into a bear market for the first time since early in the pandemic, as investors feared the effects of higher inflation, rising interest rates and the risk of a recession.

The S&P 500 was down about 1.6 percent in intraday trading, pushing the benchmark index into bear market territory, a Wall Street term for a 20 percent decline from a recent peak — in this case, since Jan. 3. It is a symbolically important marker of investor pessimism, and the index would have to close the day at this level to officially enter a bear market.

The S&P 500 is also on track for its seventh consecutive weekly decline, an unusually long losing streak.

The pessimism in Wall Street has been prompted by fears about stubbornly high inflation and the Federal Reserve’s plans to increase interest rates in response, which could tip the economy into recession. The pandemic, Russia’s invasion of Ukraine and lockdowns in China have added to these concerns. Stocks cross grim threshold after a long slide. » | Jason Karaian and Coral Murphy Marcos | Friday, May 20, 2022

Big Tech Is Getting Clobbered on Wall Street. It’s a Good Time for Them.:Flush with cash, Facebook, Apple, Amazon, Microsoft and Google are positioned to emerge from a downturn stronger and more powerful. As usual. »

A Weak Euro Heads to an Uncomfortable Milestone: Parity With the Dollar: The euro hasn’t fallen below the one-to-one exchange rate with the U.S. dollar for two decades. But as economic risks grow, more analysts predict deeper lows for the shared currency. »

US Stock Markets Fall Sharply as Investors Worry about Recession

THE GUARDIAN: Dow Jones sinks more than 1,100 points as S&P closes down 4%, its largest fall since June 2020, and Nasdaq loses 4.7%

The wild ride on the US stock markets continued on Wednesday with the Dow Jones Industrial Average sinking more than 1,100 points as investors worried about a looming recession.

All of the major US markets fell sharply, with the S&P closing down 4%, its largest fall since June 2020, and the tech-heavy Nasdaq losing 4.7%. » | Dominic Rushe in New York | Thursday, May 19, 2022

US Stocks Worst Day since 2020 amid Recession Worries

THE GUARDIAN: Recession fears are swirling through the markets again, as rising inflation and snarled supply chains hit economies, driving up the cost of living and hitting some company profits.

Last night, US stocks posted the biggest daily drop in almost two years, on concerns that economic growth will falter as central bankers look to raise interest rates to stem the surge in inflation.

Fed chair Jerome Powell’s determination to keep lifting borrowing costs until inflation falls meaningfully has rattled Wall Street, and is likely to push European markets lower today too.

The S&P500 fell more than 4% lower yesterday, Nasdaq slumped more than 5% and the Dow slid more than 3.5%. » | Graeme Wearden | Thursday, May 19, 2022

A Wall Street, une sévère correction qui rappelle l’éclatement de la bulle Internet

LE MONDE : Du fait de la guerre en Ukraine, de l’inflation et de la hausse des taux, les indices plongent depuis janvier aux Etats-Unis. Les sociétés qui avaient profité des confinements s’effondrent.

Il est possible qu’un chiffre de l’inflation meilleur que prévu en avril donne un peu de répit aux marchés, mais la tendance demeure : Wall Street connaît une sévère correction, qui n’est pas sans rappeler l’éclatement de la bulle Internet, en l’an 2000. Le Nasdaq, l’indice riche en sociétés technologiques, a perdu 25 % depuis le début de 2022, tandis que le S&P 500 a reculé de 16 %. Cet indice a enregistré son plus mauvais départ annuel depuis… 1932. Les tradeurs tentent de se rassurer, notant que, dans de tels cas, la Bourse rebondit. Le pari n’est pas certain, Wall Street ayant, par exemple, poursuivi sa dégringolade en 1974 (– 30 % sur l’année), après le premier choc pétrolier, quand la planète découvrait la stagflation. » | Par Arnaud Leparmentier (New York, correspondant) | mercredi 11 mai 2022

Article réservé aux abonnés

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Blast from the past as currency speculators circle weakened pound: Analysis: Experts warn that sharp losses for sterling could drive up cost of imports and invite attacks on the currency »

Stocks Tumble as Tech Shares Slide and Bond Yields Climb

THE NEW YORK TIMES: U.S. stocks fell on Tuesday, with the S&P 500 falling 2 percent by midday, putting the index on track for its worst day since May.

The trigger for Tuesday’s sell-off was a rise in the yield on the benchmark 10-year Treasury note. Investors, weighing the prospect of the Federal Reserve preparing to reduce its purchases of government debt, sold off bonds, pushing the 10-year’s yield up to 1.53 percent, its highest level since June.

Government bond yields are the basis for borrowing costs across the economy, and a rise can hinder the stock market’s performance because it makes owning bonds more attractive and can discourage riskier investments.

Tech stocks are particularly sensitive to the prospect of higher interest rates, and those companies’ shares were hard-hit on Tuesday. The tech-heavy Nasdaq composite was down 2.7 percent at midday. » | Coral Murphy Marcos (Jeanna Smialek contributed reporting.) | Tuesday, September 28, 2021

Global Markets Swoon as Worries Mount over Superpowers’ Plans

THE NEW YORK TIMES: The S&P 500 closed down 1.7 percent over a number of jitters, like China’s sputtering real estate market and the phasing out of stimulus measures in the United States.

Investors on three continents dumped stocks on Monday, fretting that the governments of the world’s two largest economies — China and the United States — would act in ways that could undercut the nascent global economic recovery.

The Chinese government’s reluctance to step in and save a highly indebted property developer just days before a big interest payment is due signaled to investors that Beijing might break with its longstanding policy of bailing out its homegrown stars.

And in the United States, the globe’s No. 1 economy, investors worried that the Federal Reserve would soon begin cutting back its huge purchases of government bonds, which had helped drive stocks to a series of record highs since the coronavirus pandemic hit.

The sell-off started in Asia and spread to Europe — where exporters to China were slammed — before landing in the United States, where stocks appeared to be heading for their worst performance of the year before a rally at the end of the trading day. The S&P 500 closed down 1.7 percent, its worst daily performance since mid-May, after being down as much as 2.9 percent in the afternoon.

The catalyst for the swoon was the continued turmoil at China Evergrande Group, one of that country’s top three developers of residential properties. The company has an estimated $300 billion in debt, and an interest payment of more than $80 million is due this week. » | Matt Phillips, Eshe Nelson and Coral Murphy Marcos | Monday, September 20, 2021

Virus Headwinds Hit Wall St. after Months of Smooth Sailing

THE NEW YORK TIMES: Fear jolted the financial markets on Monday as investors realized that the path to global economic recovery after the pandemic would be anything but straightforward. For months, investors had been behaving as if they expected a full, smooth rebound from the Covid crisis. From January through June, stocks rose 14 percent, one of the best first-half performances since the late 1990s.

But the virus’s potential to upend life all over again caught up with investors, as a spate of worrying news — in particular, new outbreaks involving the highly contagious Delta variant among unvaccinated people — led to a big sell-off on Monday. The S&P 500 stock-market index had its worst decline since May, sliding more than 2 percent during the day before closing down 1.6 percent. The Dow fell 2.1 percent, its biggest one-day loss this year. Europe’s Stoxx 600 fell 2.3 percent.

“The impact of Covid on the stock market isn’t over yet,” said Lori Calvasina, head of U.S. equity strategy with RBC Capital Markets in New York. “We’re not saying it’s going to derail the recovery. We don’t think that, but we do think it could cause some additional bumps.” » | Matt Phillips | Monday, July 19, 2021

Why Did Trump Warn Wall Street About Covid?

Trump keeps telling the American people that COVID-19 is not going to be a big deal, that it will go away when the weather heats up, that a vaccine was coming. Now we have proof that the Trump administration warned Wall Street about COVID-19, telling them something very different.

Wall Street 1929: The Great Crash

Markets Stage One of Worst Christmas Eves Ever, Closing Down More Than 600 Points as Trump Blames Fed for Stock Losses in a Tweet

THE WASHINGTON POST: The Dow Jones industrial average followed its worst week in a decade with a 653-point drop Monday, and President Trump once again took to Twitter to interject himself into financial markets.

As blue chips sank even deeper into the red after weeks of chaos, Trump tried to assign sole blame for the sell-off to the Federal Reserve, likening the central bank to a golfer who “can’t putt.”

“The only problem our economy has is the Fed,” the president said in a tweet. “They don’t have a feel for the Market, they don’t understand necessary Trade Wars or Strong Dollars or even Democrat Shutdowns over Borders. The Fed is like a powerful golfer who can’t score because he has no touch — he can’t putt! » | Thomas Heath & Philip Rucker | Monday, December 24, 2018

Obama’s $400,000 Cantor Speech Makes Him Wall Street's Newest Fat Cat

FOX BUSINESS: When he was president he called them “fat cats,” but now he’s likely thanking them for a huge payday.

Former President Barack Obama, less than 100 days out of office, has agreed to speak at a Wall Street conference run by Cantor Fitzgerald LP, senior people at the firm confirm to FOX Business. His speaking fee will be $400,000, which is nearly twice as much as Hillary Clinton, his secretary of state, and the 2016 Democratic Party candidate, charged private businesses for such events.

Obama has agreed to speak at Cantor’s health care conference in September and will be the keynote luncheon speaker for one day during the event, people at the firm tell FOX Business. These people say Obama has signed the contract, but the company, a mid-sized New York-based investment bank, is waiting to coordinate with the former president before making a formal announcement. » | Charlie Gasparinon, Brian Schwarz | Wall Street | Fox Business | Monday, April 24, 2017

Hillary Clinton May Have to Ditch Her Megarich Wall Street Friends If She Is to Make Another Run at the Presidency

THE INDEPENDENT: The former Secretary of State's ties to the banks that almost brought down the US economy may leave her vulnerable to challenges from the liberal left of the Democratic Party

Hillary Clinton might want to take the back door into Goldman Sachs, the investment house, in lower Manhattan on Friday. As she girds for the launch of her vaunted new book next week and thereafter – maybe, probably – a run at the presidency, fresh pictures of her on Wall Street will be unwanted.

Concern is growing among Hillary backers that her closeness to the banks that almost brought down the economy in 2008 could open her to potentially perilous challenges from the liberal left of the Democratic Party. Not helping has been a series by the leftist Mother Jones magazine highlighting those ties. » | David Usborne | New York | Thursday, June 05, 2014

Bond-Buying Spree: Wall Street 'Feasts' While Americans Lose

The holiday shopping season has kicked off in the U.S. and many retailers have even broken tradition by pushing their opening hours into Thanksgiving night, instead of waiting for the official start of Black Friday. Exactly five years ago the Federal reserve announced its own unprecedented shopping spree, but it's hardly been helping America's economy. RT's Marina Portnaya met one of those behind the experiment, who thinks it was a big mistake.