NYSE floor trader, October 28, 2022.
Source: NYSE
Here are the most important news investors should start their trading day:
1. Green October
US stock markets are poised to wrap up a stellar month as October comes to a close. The Dow, in fact, could post its best month since 1976, while the Nasdaq and S&P 500 will also end in the green. Investors are preparing to analyze the latest wave of earnings this week, as well as the latest messages from the Federal Reserve. The Fed’s meeting begins on Tuesday, and the central bank is widely expected to raise rates by three-quarters of a point in its latest effort to calm decades-high inflation. Market watchers will be looking for signs from Chairman Jerome Powell that the Fed may begin to ease the pedal a bit in the coming months. Read live market updates here.
Read more from CNBC PRO: How to trade the back half of earnings season
2. Exciting times for technology
It’s Halloween, so it’s a good time to dwell on the scary things in life, like haunted houses, John Carpenter horror movies, and the latest Big Tech stock performance. US stock indexes rose despite a weak performance by technology companies. Amazon, MicrosoftGoogle parent Alphabet and parent Facebook Meta – especially the Meta – all had a tough time last week as their earnings and guidance were generally soft. only with Apple did well – on Friday, the stock had its best day since 2020. Overall, the lackluster performance, a slowing ad market, lower PC demand and declining market relevance are creating some shaky periods of blood in Silicon Valley.
3. Welcome to Elon Musk’s Twitter
In this photo illustration, the image of Elon Musk appears on a computer screen and the Twitter logo on a mobile phone in Ankara, Turkey on October 06, 2022.
Muhammed Selim Korkutata | Anadolu Agency | Getty Images
Within days of closing its $44 billion deal to buy I tweet, Elon Musk posted an unsubstantiated, anti-LGBTQ conspiracy theory from a website known for posting false information about the attack on House Speaker Nancy Pelosi’s husband, Paul. Musk, who has more than 112 million Twitter followers, linked to the site in a response Sunday morning to former Secretary of State Hillary Clinton, who had criticized Republicans for spreading conspiracy theories, such as those that Pelosi’s attacker did online. The billionaire CEO of Tesla and SpaceX eventually removed his tweet on Sunday afternoon, but not before it had more than 24,000 retweets and 86,000 likes, according to NBC News. Musk’s critics, worried that content moderation would suffer on Twitter after he took over, pointed to the incident as an indication that their worst fears were coming true.
Read more: GM halts paid advertising on Twitter after Musk takeover
4. Kiev under attack
Workers walk as they repair equipment near power lines destroyed after a missile attack on a power plant, in an undisclosed location in Ukraine, on October 27, 2022, amid Russia’s invasion of Ukraine.
Sergei Supinsky | AFP | Getty Images
Russian missiles hit Ukraine’s capital, Kiev, on Monday morning as the Kremlin sought to further damage Ukraine’s utility infrastructure. “There is no water supply in some areas,” said Kyiv Mayor Vitali Klitschko. Russian forces also targeted facilities in other areas of Ukraine as they aim to disrupt daily life across the country. “The Russians targeted energy infrastructure facilities in Dnipro and Pavlohrad. Serious damage was recorded. All services are working in place,” said a Ukrainian regional military official. Read live updates of the fight here.
5. There is no deadline in the eurozone
The headquarters of the European Central Bank (ECB) is pictured before the press conference of the bank’s governing council after their meeting in Frankfurt am Main, western Germany, September 8, 2022. The latest rate hike of 75 basis points by the European Central Bank Bank it will not be the only increase in the short term, but later ones will not be as high, said Edward Scicluna, a member of the ECB.
Daniel Roland | Afp | Getty Images
There is no escape from inflation in the euro area. The European Statistics Office released preliminary numbers on Monday that said inflation rose at an annual rate of 10.7% in October, which would have been a record for the 19-member bloc. Russia’s war in Ukraine is the main catalyst for the rapid and aggressive rise in prices: Energy prices rose 41.9% year-over-year, while food, alcohol and tobacco prices were 13.1% higher on an annual basis. Inflation is high everywhere, but it is particularly dire in Estonia, Latvia and Lithuania, all of which saw price increases of more than 20% compared to the same period a year ago. The reading will put even more pressure on the European Central Bank, which raised rates by three-quarters of a point last week – and has promised more hikes.
– CNBC’s Jesse Pound, Jordan Novet, Holly Ellyatt and Silvia Amaro contributed to this report.
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