Blue subscribers now get priority rankings in conversations
Premarket Stocks Trading: J.P. Powell lays low-lying hopes on an interest rate pivot or fails to cut back in the coming months
A version of this story first appeared in CNN Business’ The Bell newsletter was published before. Not a subscriber? You can sign up right here. You can listen to the audio version of the newsletter by clicking the link.
What will the Federal Reserve do at its meeting in December? Analysts can speculate all they want, but Fed officials say they will be using hard economic data to make their next decision.
That means key housing, labor, and inflation reports will likely have outsized effects on the market as investors speculate about what they might mean for the future of interest rates.
What’s happening: No one can move markets like Federal Reserve Chair Jerome Powell — with just a few words on Wednesday he crushed investors’ hopes of an interest rate pivot and sent stocks plunging. “We have a ways to go,” said Powell of the Fed’s current hiking regime meant to fight persistent inflation. “It’s very premature, in my view, to think about or be talking about pausing.”
The central bank does not believe that inflation will fall back until next year. It will need more hikes in the interest rate in the coming months.
Source: https://www.cnn.com/2022/11/04/investing/premarket-stocks-trading/index.html
Premarket Stocks: How Wages, Oil, and Food will be Looked by the Fed and the Pew Proportional Recession
The government report is expected to show the economy added another 200,000 positions in October — down from last month, but still a very solid number as demand for employment continues to outpace the supply of labor.
That means more inflation. Businesses have to pay higher wages to attract employees and are able to charge more for their goods and services. hourly wage growth will be looked at closely by the Fed. Wages went up in September from a year ago.
There is a possible upside: Another jobs report in December is expected ahead of the Fed meeting. If the employment report shows a downward trajectory, it will make the Fed more comfortable with the unemployment rate remaining low.
Core CPI prices, which exclude oil and food, rose 0.6% in September month-over-month, matching August’s pace and coming in well above expectations of a 0.4% increase, not a great sign for the Fed. And analysts expect to see another large 0.5% increase in October.
Changes in the prices of goods and services can be tracked by PCE. The Fed thinks that the measure is more accurate than the consumer price index due to a broader range of purchases.
Source: https://www.cnn.com/2022/11/04/investing/premarket-stocks-trading/index.html
Jeremy Powell’s Twitter dealings with the Bank of England: a class action lawsuit alleging violations of the Worker Adjustment Notification Act
The housing market has been badly impacted by inflation, and is one of the first areas of the economy to show signs of cooling.
The 30-year fixed-rate mortgage averaged 6.95% last week, up from 3.09% just a year ago, and elevated borrowing costs are leading to a decline in demand.
Powell claimed that the housing market was very overheated after the outbreak of the Pandemic. We understand that it is where a big effect of our policies is.
The Bank of England raised interest rates by three-quarters of a percentage point on Thursday, the biggest hike in 33 years, as it attempts to fight soaring inflation.
A two-year recession would be longer than the one that followed the 2008 global financial crisis, though the Bank of England said that any declines in GDP heading into 2024 would likely be relatively small.
He has been at the headquarters of the company. Aside from tweeting and deleting a conspiracy theory, he’s talked about implementing some big changes at his $44 billion acquisition. Here’s what’s happened so far:
Several Twitter employees have already filed a class action lawsuit claiming that the layoffs violate the federal Worker Adjustment and Retraining Notification Act.
All badges will be suspended and the offices will be temporarily closed to make sure the safety of employees and the systems is assured.
Source: https://www.cnn.com/2022/11/04/investing/premarket-stocks-trading/index.html
The Current Status of Twitter, as Tweeted by the World’s Richest Man Describes Its Importance to Creativity and the WARN Act
The WARN Act requires any company with over 100 employees to give 60 days’ written notice if it intends to cut 50 jobs or more at a “single site of employment.”
Consolidating strength. In less than a week since Musk acquired the company, however, the C-suite seems to have cleared out through a mix of firings and resignations.
According to the company filing, previous members of the board, including the ousted CEO and chairman, are no longer directors due to the merger agreement. It’s now Musk who is the sole director ofTwitter, according to the filing.
Cashing blue checks’ checks: Musk on Tuesday said he planned to charge $8 a month for Twitter’s subscription service, called “Twitter Blue,” with the promise to let anyone pay to receive a coveted blue check mark to verify their account. That’s a steep haircut from his original plan to charge users $19.99 a month to get or keep a verified account.
In a succinct statement on his opinion of the current system of Twitter, the world’s richest man used an expletive. He said it was power to the people. Blue for $8/month.”
There is currently no evidence that the ad revenue sharing launched, but it is unknown how much of a difference it will make to creators. While companies like YouTube have built thriving ecosystems based on sharing ad revenue, one of the key parts of that formula is actually having ad revenue to share. However, in January, Platformer’s Zoë Schiffer reported that Twitter’s overall revenue was down by 40 percent year over year as hundreds of companies stopped buying ads on the platform.
CNBC reported Sunday that Musk had ordered one of the larger advertising packages available from Twitter for his company, and that unnamed people had seen internal documents related to the matter. SpaceX did not respond to CNN Business request for comment.
This isn’t to say that Blue subscribers haven’t gotten any new features since Musk’s takeover. They can now upload 60-minute videos instead of being limited to 10 minutes, and they can write 4,000-character tweets.
Videos can now be uploaded to the micro network with up to 60 minutes long, 2GB in size and a high-definition resolution. This feature is only available via the web, and Twitter warns in a support page that it may have to modify “the resolution and bitrate of the original video while streaming based on the speed and stability of the viewer’s internet connection.” Other existing features for Blue subscribers include bookmark folders, a reader interface for long threads, and the ability to briefly “undo” tweets.
If you are just looking attweets, he has made an announcement with little to no follow-up before. Remember when he lied about having a content moderation council that would vet any major policy changes at the company, and then tried to sell that same idea again but with voting instead of a council? He also said that you’d have to be a Twitter Blue subscriber to vote in policy polls, but we can’t tell if the feature exists due to a lack of follow-up policy polls.
