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What you should know this week

Business News / By Ashley Cornell, email: [email protected]

The stock market keeps reaching new record highs.

The S&P 500 (^GSPC) and Nasdaq (^IXIC) both ended last week at their highest levels ever. According to a study by Deutsche Bank, the S&P 500 has now risen in 16 of the last 18 weeks for the first time since 1971.

This week, Federal Reserve Chairman Jerome Powell's testimony on Capitol Hill and February's jobs report will test the stock market's stormy rally. There is also up-to-date information on economic activity in the service sector and job vacancies the schedule.

After most of the S&P 500 reported earnings, Target (TGT), Costco (COST) and Kroger (KR) are three of the biggest consumer-focused brands reporting corporate results next week.

Fed food

Federal Reserve Chairman Jerome Powell will deliver his semi-annual monetary policy testimony to the House of Representatives and Senate starting Wednesday. Investors will be paying close attention to Powell's update on the overall state of the U.S. economy, the fight against inflation and when the central bank may begin cutting interest rates.

Earlier in the week, Bloomberg data showed that markets expect the Fed to cut interest rates three times this year starting in June as the decline in inflation has slowed. This is consistent with recent comments from Chairman Powell and current forecasts from the Fed itself. The Federal Open Market Committee will announce its latest policy decision and a summary of economic forecasts on March 20.

Read more: What the Fed's rate decision means for bank accounts, CDs, loans and credit cards

Federal Reserve Chair Jerome Powell holds a press conference following a meeting of the Federal Open Market Committee on January 31, 2024 in Washington, DC. Powell signaled on Wednesday that a rate cut as early as March was unlikely as the central bank continued to provide data-dependent data as it considers next steps. Powell said the Fed's interest rate setting committee plans to do so Federal Reserve Chair Jerome Powell holds a press conference following a meeting of the Federal Open Market Committee on January 31, 2024 in Washington, DC. Powell signaled on Wednesday that a rate cut as early as March was unlikely as the central bank continued to provide data-dependent data as it considers next steps. Powell said the Fed's interest rate setting committee plans to do so

Federal Reserve Chairman Jerome Powell at a press conference after the January FOMC meeting. (JULIA NIKHINSON/AFP via Getty Images) (JULIA NIKHINSON via Getty Images)

The state of the labor market

After the inflation story stalled recently as the Fed's preferred indicator posted its biggest monthly increase in a year, Wall Street now expects the central bank to be patient in cutting interest rates. Economists say a key to ensuring this policy decision goes smoothly and the economy avoids recession is for the labor market to remain resilient.

The story goes on

New jobs data scheduled for this week includes updates on wages and job vacancies. The headliner will be the February jobs report, which will be released Friday morning at 8:30 a.m. ET.

The report is expected to show that unemployment added 190,000 non-farm jobs to the U.S. economy last month rate According to Bloomberg data, the rate remains unchanged at 3.7%. In January, the US economy shocked Wall Street with 353,000 new jobs, while the unemployment rate remained stable at 3.7% for the third month in a row.

Results update

Earnings season is almost over.

With 97% of the S&P 500 reporting fourth-quarter earnings, the S&P 500 is expected to post 4% earnings growth in the fourth quarter compared to the same period last year, according to new FactSet data. This is the second consecutive quarter of earnings growth for the benchmark index.

And in particular, the prospects for profit growth in the current quarter are not deteriorating at the usual pace.

John Butters, senior earnings analyst at FactSet, noted that analysts typically reduce their earnings estimates in the first two months of a quarter. Over the past 20 years, earnings have typically been revised downwards by an average of 2.9%. For the current quarter, these earnings estimates were revised down by just 2.2%.

History shows that stocks have more room to run

One of the key predictions for Wall Street in 2024 was a choppy first month of trading before a rally late in the year. Many expected uncertainty over the Federal Reserve's rate-cutting path and election fears to hold investors tight.

That didn't happen. Both the S&P 500 and Nasdaq Composite had their best February since 2015, amid several underwhelming earnings reports from Big Tech companies. This improving earnings outlook has led several Wall Street strategists to raise their year-end targets for the S&P 500.

History shows that a further rise in stocks is the most likely outcome. Research from Ryan Detrick of the Carson Group shows that since 1950, the S&P 500 has started the year positive 28 times in January and February. The benchmark average was positive in 26 of these cases over the next 12 months. When the first two months were positive, the S&P 500 returned an average of 19.9% for the year.

While Detrick noted that this is not an accurate forecast for a return of nearly 20% this year, if the S&P 500 actually rose by the average amount, it would end 2024 at 5,719 points.

Weekly calendar

Monday

Business news: No significant economic publications.

Merits: Gitlab (GTLB), Stitch Fix (SFIX), ThredUp (TDUP)

Tuesday:

Economic data: S&P Global US Services PMI, February, final (51.4 expected, 51.3 previous); S&P Global Composite US Composite PMI, February final (51.4 previous); ISM Services Index, February (52.9 expected, 53.4 previous); Durable goods orders, January final (-6.1% previous)

Merits: Box (BOX), ChargePoint Holdings (CHPT), Crowdstrike (CRWD), Nio (NIO), Nordstrom (JWN), Ross Stores (ROST), Target (TGT), Vivid Seats (SEAT)

Wednesday

Economic data: Federal Reserve Chairman Jerome Powell begins his semi-annual testimony on Capital Hill. MBA mortgage applications, week ending March 1 (-5.6%); ADP Personal Payrolls, February (+145,000 Expected, +107,000 Previous); Fed Reserve Beige Book January

Merits: Abercrombie & Fitch (ANF), Campbell's (CPB), Foot Locker (FL), JD.Com (JD), Victoria's Secret (VSCO)

Thursday

Economic data: Challenger job cuts year-over-year, February (-20% prior); Unit labor costs, fourth quarter (+0.7% expected, +0.5% previous); Non-farm productivity, fourth quarter (+3.1% expected, +3.2% previous); Initial jobless claims, week ending March 2 (215,000 previously)

Merits: American Eagle Outfitters (AEO), Big Lots (BIG), BJ's (BJ), Broadcom (AVGO), Burlington Stores (BURL), Costco (COST), DocuSign (DOCU), Gap (GPS), Kroger (KR), Marvell Technology (MRVL), MongoDB (MDB)

Friday

Economic calendar: Non-Farm Employment Numbers, February (+190,000 Expected, +353,000 Previous); Unemployment rate, February (3.7% expected, previously 3.7%); Average hourly earnings, month over month, February (+0.2% expected, +0.6% previous); Average hourly wage year-on-year, February (+4.3% expected, +4.5% previous); Average weekly hours worked, February (34.3 expected, 34.1 previous); Labor force participation rate, February (previously 62.5%)

Merits: No notable earnings releases.

Josh Schafer is a reporter for Yahoo Finance. Follow him on X @_joshschafer.

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This company aims to save 5,000 tons of food from food waste

Business News / By Ashley Cornell, email: [email protected]

When Jonathan Rodrigue was distributing food baskets to poor families in his twenties, his vision for the future was to build a business that would fight food waste.

• Also read: Inflation: Save 60% at the supermarket in three clicks with a free mobile app

“They were surplus [dont] Companies would do away with it, says Still Good's president and CEO. On the one hand, we fed needy families, but on the other hand, I saw immeasurable amounts being wasted. It didn't work in my head.

“My search for what I do today started there.”

While it took time for food waste to become part of the social and political discussion, Rodrigue continued to talk about it with those around him.

“Twenty years ago people didn’t talk about circular economy or waste. They didn't know, but there was no solution.

“I decided to develop a model by creating a word: ecovalorization.”

Turn a loss into a win

In collaboration with a company, Still Good collects all kinds of food in its factory, such as: B. brewing grains or loaves of bread. According to a set plan, the material is transformed into a new form before being returned to the company. The latter can reuse it when preparing their meals or reselling a new product.

“We come with a turnkey concept. It costs companies money to get rid of their food, in addition to the labor required to produce it, explains Jonathan Rodrigue.

“With our research and development team we are finding a solution for this. We bring a product to market that they can bring back to market. We help them convert costs into revenue.”

The entrepreneur's baby grows into a child who is strong on his feet. After saving 1,000 tons of food in 2023, Still Good is targeting a plateau of 5,000 tons in 2024.

“We are a catalyst that helps companies enter the circular economy […] to achieve their goals of sustainability, reducing their carbon footprint and food waste.”

A head full of projects

When we talk to him about the future of his company, we sense a certain excitement from the company boss, which is a well-kept secret at Le Plateau-Mont-Royal.

“We have just expanded our factory to be able to process 5,000 tons, but the next step is to be able to accommodate 50,000 tons if a company asks me,” wishes Rodrigue, who has customers in Quebec, Canada and the United States . -United States .

“I am already thinking about my next factory, where I could process between 100 and 150,000 tons per year. I think about it all the time.”

The other project he has in mind is establishing regional units across North America.

“Almost 58% of everything we produce is wasted. Our model can be implemented anywhere in the world to reduce this volume. It's what keeps me awake in the morning.

“I would like one day to be able to save millions of tonnes and say that a proud Quebec company is behind it.”

Can you share information about this story?

Write to us or call us directly at 1 800-63SCOOP.

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1709547504 In the first of two attacks on the subway on

In the first of two attacks on the subway on Sunday, a 64-year-old man was thrown onto the pavement at Penn Station

Business News / By Ashley Cornell, email: [email protected]

metro

By Larry Celona and David Propper

Published March 4, 2024, 1:08 am ET

A 64-year-old straphanger was kicked onto a roadbed at Penn Station on Sunday in the first of two subway attacks on the Big Apple's beleaguered transit system, police said.

The man was kicked in the back by a male stranger on the northbound 34th Street-Eighth Avenue train platform on the A, C, E lines around 5 p.m., causing him to fall onto the tracks, authorities said.

Other straphangers helped him get back to safety, and he was then taken to Lenox Health Greenwich Village Hospital, where he was treated for knee and back pain, police said.

A 64-year-old man fell onto the subway tracks after being kicked in the back on the 34th Street-Eighth Avenue northbound A,C,E train platform about 5 p.m., authorities said. David McGlynn

The victim was on the phone when the suspect approached him and asked him a question, law enforcement sources said. The victim did not understand the attacker, who then carried out his attack, sources said.

In another attack around 8 p.m. Sunday, a 19-year-old woman was punched in the face by an attacker after the two got into an argument on the mezzanine of the 168th Street subway station in Washington Heights, cops said.

An 18-year-old man who was with the 19-year-old also had his phone stolen after he dropped it while trying to break up the argument, police said.

The young woman was taken to NY Presbyterian-Columbia University Medical Center in stable condition.

While the investigation is ongoing, no arrests have been made in any case.

The two subway incidents are the latest trend in increasing violence that has gripped the city's transportation system in recent weeks, including several shootings and stabbings.

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Bitcoin Surpasses $65,000 Despite GBTC Outflows on ETF-Driven Demand

Business News / By Ashley Cornell, email: [email protected]

(Bloomberg) – There appear to be few obstacles standing in the way of the current Bitcoin rally. The largest cryptocurrency rose for a second straight day and neared its all-time high, driven by expectations of strong demand for exchange-traded funds to start the week.

Shiba Inu (SHIB) sounds greed alarm as Bitcoin (BTC) hits record high

Business News / By Ashley Cornell, email: [email protected]

Speculative excess is increasing in the crypto market, prompting caution among Bitcoin (BTC) bulls as the leading cryptocurrency by market value looks to challenge record highs.

According to CoinGlass, the notional open interest or dollar value locked in the active perpetual futures contracts tied to the meme cryptocurrency Shiba Inu (SHIB) has exceeded $100 million for the first time since August 2023. Mark exceeded. SHIB futures have a size of 1,000 SHIB per contract with up to 25x leverage.

Over the past seven days, SHIB's market cap has increased by over 130% to $13.44 million, outpacing the CoinDesk 20 Index's 22% rise. An increase in open interest coupled with an increase in market value represents an inflow of new money into SHIB.

However, it is a sign of speculative exaggeration and an impending correction in the overall market.

Previous instances of open interest in SHIB futures exceeding $100 million have marked preliminary/local Bitcoin price tops.

SHIB is not the only one signaling a speculative upswing. Data collected by 10X Research shows that volumes in South Korea have averaged at or near $8 billion recently, significantly higher than the $1 billion per day observed before the Bitcoin bull market gained momentum.

“There is a wave of retail activity ranging from altcoins to meme coins,” said Markus Thielen, founder of 10X Research, citing the increase in trading volume on Korean exchanges.

Thielen added that Bitcoin could reach a new all-time high of over $69,000 this week as inflows into US-based spot ETFs continue to be significantly higher than the number of BTC created per day. As a result, the imbalance between supply and demand has increased to 1:10.

“Over-the-counter (OTC) trading venues deal with large institutional clients, and according to their aggregated holdings data, holdings have fallen from nearly 10,000 Bitcoins to less than 2,000 in the second quarter of 2023.” This shows that institutions like the Bitcoin -ETF issuers must purchase Bitcoins directly from exchanges through their market makers. The imbalance between supply and demand is 1:10 (daily mining vs. daily ETF demand),” Thielen noted.

Outflows from Grayscale's spot ETF (GBTC) increased late last week, with the fund losing $600 million on Thursday, the largest one-day withdrawal in over a month. Inflows into BlackRock's IBIT fell to $202 million on Friday after reaching $500 million to $600 million for three straight days, according to 10X Research.

According to Thielen, the slowdown is a temporary month-end phenomenon and strong inflows could return this week.

“We expect BlackRock inflows to resume this week. “If Grayscale outflows fall below $100 million, Bitcoin will make a big move higher,” Thielen noted.

At press time, Bitcoin was changing hands at $63,300, up 2% on a 24-hour basis and up 22% in seven days.

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Lawyers who successfully argued that Musk's pay package was illegal are demanding $5.6 billion in Tesla shares

Business News / By Ashley Cornell, email: [email protected]

DOVER, Del. — The lawyers who successfully argued that a massive pay package for Tesla CEO Elon Musk was illegal and should be voided have asked the presiding judge to award them $5.6 billion in company stock as legal fees to award.

Lawyers representing Tesla shareholders in the case decided in January raised the Delaware judge's request in court papers filed Friday.

If approved, the sum would apparently be by far the largest such award. Lawyers in class action lawsuits related to the Enron collapse were awarded a record $688 million in legal fees in 2008.

“We are 'ready to eat our food,'” the Tesla plaintiff's lawyers wrote in the court filing, arguing that the sum was justified because they had operated solely on a contingency basis for more than five years. If they had lost, they would have gotten nothing. The benefit to Tesla “was enormous,” they said.

The requested grant represents 11% of the Tesla shares – worth about $55 billion – that Musk sought in the compensation package that Judge Kathaleen St. Jude McCormick ruled illegal in January.

The application not only burdens the electric car company's balance sheet, it is also tax deductible, the lawyers argued. They are also seeking $1.1 million in expenses.

In her ruling, Judge McCormick accepted shareholder lawyers' argument that Musk personally dictated the landmark 2018 pay package in sham negotiations with non-independent directors.

It would have almost doubled Musk's stake in Tesla. He currently holds 13%.

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Nissan is accused of dumping its electric car pioneers

Business News / By Ashley Cornell, email: [email protected]

4 hours ago

Image source: Getty Images

image description,

A 2016 Nissan Leaf car

Nissan Leaf electric car owners have accused the company of “abandoning its pioneers” after it announced its app would no longer work for older vehicles.

The company says the app, which allows remote control of features such as heating, is being discontinued because the UK's 2G network is shut down.

But customers reacted angrily and told the BBC they had not expected a withdrawal.

Experts believe the problem will affect more electric vehicles as the market grows.

The withdrawal of the app affects around 3,000 Nissan Leaf and e-NV200 vehicles manufactured before 2016.

These older vehicles are equipped with 2G control units that communicate with the app.

Nissan told the BBC: “The NissanConnect EV app, currently linked to Nissan Leaf and e-NV200 vehicles produced up to 2016, will be available from April 1, 2024 in preparation for the end of 2G technology set.”

It added: “However, owners will still be able to use key features such as the climate control timer and charging timer directly from their car's navigation system.”

Affected drivers have expressed their disappointment to the BBC – among other things because mobile operators will only phase out 2G at the end of the decade.

“I was very surprised,” said Max Siegieda, owner of a 2013 Nissan Leaf in Manchester.

“I would have expected at least six months, 12 months or something like that to arrange alternatives. That’s a key feature of the car that’s going away.”

He said the app's remote access to features such as heating the car or remote charging at cheaper times was “a key selling point” when he bought the car used in 2022.

He had already considered upgrading, but now says he would be “hesitant” to buy another Nissan “because they didn't give enough notice about the app shutdown.”

David Morris, who owns a 2014 Nissan Leaf, received an email Wednesday saying his app will stop working next month.

“When you buy a car you expect to get at least 10 years of support for it,” he told BBC News.

“Would I buy from this manufacturer again if they don't support it in the long term? I’m not sure,” Mr. Morris said.

Although this problem only affects a relatively small number of drivers, experts believe that many more vehicle owners will face similar problems in the future.

Dr. Benjamin Gorman, a lecturer at Bournemouth University, said Nissan “really should have built in some sort of backwards compatibility” so that the car could still connect by plugging in a phone or via Bluetooth, adding that “the design is poor is”.

But he said that in the future, other electric vehicle owners will also have to expect that as the technology evolves, their software will eventually lose functionality and companies will stop releasing updates.

He also pointed to broader trends in the industry, such as some automakers starting to charge a monthly subscription fee for access to additional features such as apps.

“I think it's going to be a much broader issue as manufacturers essentially increasingly move to selling hardware as a service,” said Dr. Gorman.

However, Sam Sheehan, automotive editor at automaker Cinch, said it was important to keep the issue in perspective because this case had a lot to do with the Leaf being a trailblazer.

“It was originally the only mass-market electric vehicle [electric vehicle] is for sale, which means the connected software used is very old,” he told the BBC.

Mr Sheehan predicts that while newer cars will eventually lose functionality as technology advances, they are likely to last “much, much longer than the old technology of the first Leaf”.

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Gen AI is here to stay – here's how to stay relevant in the job market

Business News / By Ashley Cornell, email: [email protected]

“More educated workers are likely to have the biggest impact,” the consultancy said in a recent report.

Generative AI is a type of artificial intelligence that can generate images, text or other content.

The technology is expected to increase productivity, reduce costs and create new growth opportunities across a wide range of industries.

While AI technology has been around for more than 50 years, since the launch of OpenAI's ChatGPT chatbot in November 2022, generative AI has quickly become a topic of conversation for employers and employees.

ChatGPT, an AI chatbot from OpenAI, is based on a large language model that helps users find answers to questions, refine essays or resumes, and even create images and videos. It has sparked a debate about the potential for AI to revolutionize industries and work, potentially even making jobs redundant.

With the rapid adoption of technology, experts generally agree that employees can keep up with the demands of the changing landscape by learning, upskilling or reskilling.

Nearly three in five employees say they use generative AI on a weekly basis. It has led to a level of optimization and automation of tasks that were previously thought to be immune to such disruption.

Oliver Wyman

Oliver Wyman conducts monthly surveys of more than 200,000 people in 20 countries to collect data on attitudes toward generative AI and other trends.

The study found that employers prioritize certain skills when it comes to keeping their workers current.

Here are five skills to help you stay relevant in the changing landscape:

Analytical thinking

Creative thinking

Leadership and social influence

AI and Big Data

Curiosity and lifelong learning

Through its research into generative AI, the consulting firm identified a gap between employee and employer perceptions of which skills will be top priority.

“While employees are most focused on training in AI and big data, employers are placing the most value on analytical thinking,” a spokesperson for Oliver Wyman told CNBC Make It.

In the age of AI, analytical thinking is crucial because although the technology can efficiently process and analyze data, it still requires human oversight to synthesize results and draw informed conclusions.

Creative thinking is another distinctly human skill that people should prioritize. While Gen AI is capable of efficiently generating new ideas, writing articles, or even making music, it is important to note that this capability is built on data that the AI has been trained on.

“Generative AI lacks the contextual nuances and ethical judgment that humans should use in analysis,” a spokesperson for Oliver Wyman told CNBC Make It. It “lacks the human ability to make intuitive leaps, connect disparate ideas, and to generate truly novel solutions.”

Gen AI is expected to automate more “routine-oriented” tasks that used to be a significant part of daily work, freeing up employees to spend more time on tasks that are more people or knowledge focused.

The research found that tasks that require “people skills” – such as leadership or tasks that rely on knowledge or expertise – end up taking up the majority of the working day.

Because AI has transformed work so profoundly over the last year, we're also highlighting the most important skill currently seeing the most significant year-over-year increase in demand: adaptability.

Gen AI is here to stay – here's how to stay relevant in the job market Read More »