Latest News

5 things to know before the stock market opens Friday

0
James Bullard at Jackson Hole, Wyoming.
David A. Grogan | CNBC

Here are the most important news items that investors need to start their trading day:

1. Bullard and the bears

While the Federal Reserve has indicated it would raise interest rates by smaller increments, officials at the central bank have been firm in their insistence that there’s still a long way to go to put inflation in check. That’s been a wet blanket for stocks this week. The latest comments to weigh on the market came from St. Louis Fed President James Bullard. “Thus far, the change in the monetary policy stance appears to have had only limited effects on observed inflation, but market pricing suggests disinflation is expected in 2023,” Bullard, a voting member of the Fed’s rate-setting committee, said Thursday. Stocks, in turn, slumped. Boston Fed President Susan Collins is slated to speak Friday. Read live market updates here.

2. FTX lowlights

Sam Bankman-Fried, founder and chief executive officer of FTX Cryptocurrency Derivatives Exchange, speaks during the Institute of International Finance (IIF) annual membership meeting in Washington, DC, on Thursday, Oct. 13, 2022.
Ting Shen | Bloomberg | Getty Images

“Never in my career have I seen such a complete failure of corporate controls and such a complete absence of trustworthy financial information as occurred here.” That’s what John Ray III, the new CEO of FTX, said about the fallen crypto exchange company in a bankruptcy filing Thursday. And he’s the guy who oversaw the Enron bankruptcy, so that quote alone should tell you a lot. But wait, there’s more. The Thursday filing also detailed some staggering issues, including sloppy and unreliable accounting that requires deeper, investigative analysis; examples of company funds being used to buy homes for employees; the use of emoji to approve expenses; and a much more intimate relationship between FTX founder Sam Bankman-Fried’s Alameda Research and the crypto company than initially thought.

3. Flying the coop

An image of new Twitter owner Elon Musk is seen surrounded by Twitter logos in this photo illustration in Warsaw, Poland on 08 November, 2022.
STR | Nurphoto | Getty Images

Elon Musk wanted his Twitter employees to be more “hardcore.” And many responded in kind – by resigning and defying his commands. The flailing social media company was hit by a new wave of resignations Thursday after Musk, who had already slashed about half of the company’s workforce after taking it over weeks ago, told employees they had until 5 p.m. ET to decide whether they wanted to stay with the company and work “long hours at high intensity.” His ultimatum was met with hundreds of salute, or “thank you for your service,” emoji and dozens of goodbye messages in a company Slack channel. It’s not clear how many people resigned. “Entire teams representing critical infrastructure are voluntarily departing the company, leaving the company at serious risk of being able to recover,” an engineer who resigned Thursday told CNBC.

4. Bad blood

Taylor Swift performs on the stage in concert at Mercedes-Benz Arena on May 30, 2014 in Shanghai, China.
VCG | Getty Images

Taylor Swift fans aren’t shaking this off. The general public won’t be able to buy tickets to the superstar’s upcoming stadium tour Friday. Ticketmaster, which is part of Live Nation, said Thursday that the sale was canceled following a botched presale process that resulted in glitches, site failures and not enough tickets to meet demand. The company’s explanation? Essentially, “Look what you made me do.” Ticketmaster blamed record demand for all the problems. Greg Maffei, CEO of Liberty Media, the top Live Nation

5. Millions without power in Ukraine

Firefighters work to put out a fire at energy infrastructure facilities, damaged by Russian missile strike, as Russia’s attack on Ukraine continues, in Kyiv region, Ukraine November 15, 2022.
State Emergency Service Of Ukraine | via Reuters

An onslaught of Russian missiles has left 10 million people in Ukraine without power, according to Ukrainian President Volodomyr Zelenskyy. While Ukraine has made significant advances against Russia’s forces on the battlefield in the southern and eastern parts of the country, its cities are struggling after air attacks on critical infrastructure and civilian areas. The situation has prompted the United Nations to warn of an even greater humanitarian crisis in Ukraine, as winter approaches. Read live war updates here.

– CNBC’s Alex Harring, Rohan Goswami, Lora Kolodny, Sarah Whitten and Natasha Turak contributed to this report.

Sign up now for the CNBC Investing Club to follow Jim Cramer’s every stock move. Follow the broader market action like a pro on CNBC Pro.

Bank of America downgrades Coinbase, says FTX collapse raises ‘contagion risk’ for crypto platform

Previous article

Marvel didn’t recast Chadwick Boseman in ‘Wakanda Forever,’ and it turned out to be the right move

Next article

You may also like

Comments

Leave a reply

Your email address will not be published. Required fields are marked *

More in Latest News