Business News

AMD EPYC 9654 Genoa CPU 1

The AMD EPYC 9004 series, codenamed Genoa, is nothing short of a game changer. We use that a lot in the industry, but that’s not a 15-25% improvement over the generations. The new AMD EPYC Genoa is changing the fundamentals of what it means to be a server. This is an improvement of 50-60% (or more) per socket, meaning we’re getting a 3:2 or 2:1 consolidation from a generation ago. If you move from 3-5 year old Xeon Scalable Servers (1st and 2nd generation) to EPYC, the consolidation potential is still immense, more like 4:1. There’s a lot more to this new series than just extra cores or a few new features. AMD EPYC Genoa is a game changer and we will detail why in this article.

This might be the longest piece about STH this year. We’re going to have a ton in here, and as I’m writing this a week before launch, we’ve had to trim the scope of this piece just to save time. That brings us to the point.

AMD EPYC 9004 Genoa: the video

This is a (very) long article. We also have a video, and this is perhaps one of the few pieces we do where it’s quicker to get a synopsis while looking at it than reading it. Here’s the video:

We’ve got a lot more detail in this article, but if you decide to podcast this later (you can even speed it up), feel free to check out a simple overview. As always, we recommend opening this video in its own window, tab, or app for a better viewing experience.

AMD EPYC Genoa Market Context: Today’s Market

AMD is launching the genoa part at a slightly strange timing. Intel still has its Ice Lake and Cooper Lake generation Xeon parts as part of its 3rd Gen Intel Xeon Scalable family. That means Intel has chips with up to 28 cores and 6 DDR4 channels that can be scaled to 4-8 sockets (and up to one) and 40 cores and 8 DDR4 channels for 2 socket applications. The full instruction set is mostly common, but some examples, like bfloat16 support, are not identical between the two.

AMD EPYC 9004 Genoa with Milan Rome Intel Xeon Ice Lake Sapphire Rapids Core Ampere Altra Max 2 13th Gen

If you take a top-end dual-socket Ice Lake server with 2x 40-core Ice Lake Xeon CPUs and a top-end 4-socket server with 4x 28-core CPUs, you get They have a total of 192 cores or the same as a top-end dual-socket Genoa server. Aggregated storage bandwidth would also be in a similar range. In this review, Genoa might feel like an asymmetric advancement, and that’s because it is. Intel will have its answer in two months, but it won’t compete directly with the 84- and 96-core Genoa on a core-by-core basis. Intel will instead focus on the 16-64 core mainstream market when Sapphire Rapids comes out in 2023.

AMD EPYC 9554 EPYC 9654 and EPYC 7374F Genoa 2

The chips themselves are absolutely gargantuan, as are the resources they offer. Here is the lscpu output of a dual AMD EPYC 9654 96-core processor system with 192 cores, 384 threads and 768MB combined L3 cache.

AMD EPYC 9654 2P Lscpu output

Our technical readers in the screenshot above will also note that there are a large number of new instructions including AVX-512 and AI-focused instructions including VNNI from Ice Lake Xeons through to Cooper Lake Xeons’ bfloat16 support.

AMD EPYC 9654 Genoa in SP5 Socket 1

AMD’s approach is simple. It uses the same basic Zen4 CCD chip that it uses in its Ryzen 7000 series desktop products and combines more of it in one package along with a much larger and more powerful I/O chip. What is new for this generation is that AMD uses up to 12 instead of up to 8 of these CCDs as in the EPYC 7002 (Rome) and EPYC 7003 Milan generations.

2p AMD EPYC 9654 QCT development system topology

Knowing that AMD will have a roughly 50% core count advantage at the top end, Intel is focused on fighting at the heart of the market buying lower core count SKUs and using accelerators to deliver performance gains that can offer far beyond the pure cores.

Intel Sapphire Rapids Intel Innovation 2022 Acceleration Unboxing 21

AMD EPYC 9004 CPUs are the beginning of a very different environment in the server world. While relatively large, they won’t be AMD’s most powerful on a per-core basis this cycle, nor even AMD’s highest core count. Genoa is simply AMD’s mainstream part.

AMD EPYC Genoa Market Context: There’s More!

Perhaps the biggest difference between this launch and some of the previous launches is positioning. AMD now has enough scale to go beyond a single design for the entire market and scale cores, frequency and TDP. Instead, AMD will now have segment-specific solutions for some of its larger segments.

AMD EPYC 9554 EPYC 9654 and EPYC 7374F Genoa 1

The first of these solutions is the new AMD EPYC Bergamo. It uses the same AMD Socket SP5 as Genoa, but with an emphasis on maximizing core count for cloud workloads. AMD will reduce cache sizes to accommodate more cores, but otherwise this will be AMD’s high core count solution with up to 128 cores per socket. The Genoa headline reads only 96 cores. We’ll be happy about a generational 50% increase in core count throughout this article, but Bergamo is another 33% increase from the 96-core mark and is slated for H1 2023. This is AMD’s answer to the threat of arm server CPUs.

AMD FAD 2022 EPYC Roadmap Bergamo

Genoa-X will break the 1GB/socket L3 cache limit. With standard genoa we get up to 384MB L3 cache per socket or 768MB L3 cache per 2P server. With Milan-X we had 64 cores and up to 768 MB of L3 cache per socket. We expect AMD to offer over 2GB of L3 cache in a dual-socket server in 2023. Genoa-X will target applications such as B. in the HPC area, where the addition of 3D V-Cache increases the data locality to the point that less energy is wasted when moving data. Genoa-X is for HPC and we hope other industries will be served with parts like frequency-optimized high-cache parts for databases, but AMD hasn’t talked about it yet.

AMD FAD 2022 EPYC Roadmap Genoa X and Siena

The new SP5 socket servers are so large that they are simply too big for many applications.

AMD EPYC 9654 Genoa in SP5 Socket 3

The new AMD EPYC Siena platform will be designed to power more edge devices. It’s a hot field, and we’ve already seen companies like Ampere, with its ARM-based processors, begin to show proof-of-concept for the intelligent edge.

AMD FAD 2022 AMD Instinct MI300 DC APU

AMD Instinct MI300 is maybe the other HPC part. This combines x86 and GPU IP into packages that also have high-speed memory onboard. NVIDIA will have Grace Arm CPU and NVIDIA GPU modules and Intel with Falcon Shores XPUs. This is an industry trend that we expect to see in supercomputers and HPC.

The bottom line is that today’s AMD EPYC Genoa launch differs from previous launches in Naples, Rome and Milan. Genoa is not expected to serve the entire market with HPC, cloud and edge markets with various AMD chips later in 2023.

So let’s move on to making Genoa.

Initiating a recovery plan is never a bad idea for an organization that is going nowhere. But to do this properly, you must have the right tools.

• Also read: The CH strikes early and wins

• Also read: Private Gallagher

That seems to be the case with Kent Hughes. Since the beginning of the campaign, we have had great praise for the work of Kaiden Guhle, Jordan Harris and Arber Xhekaj on the Canadian’s blue line.

In the absence of Joel Edmundson, who has recently returned, and Mike Matheson, they have behaved like true veterans most nights, providing a solid and inspired game close to their keeper.

But it is not only on this level that the Canadian’s youth has made itself felt since the beginning of the campaign. It is she who draws the team offensively.

Photo Martin Chevalier

Thanks in large part to Nick Suzuki and Kirby Dach, the Canadiens’ youngsters have been producing at a rate unprecedented in the NHL since the 2016-17 season with the Winnipeg Jets.

26 goals in 15 games

NHL stats say Kirby Dachs’ brace, Nick Suzuki’s goal and Xhekaj’s goal Wednesday night made the Habs the first team since the 2016-17 Winnipeg Jets to have their 23-and-under skaters score at least 26 goals before their 15th game of the season.

Led by Patrik Laine’s 11 goals and Mark Scheifele’s nine, the young Jets had scored 31 goals.

During the first 14 encounters, Habs players moved the strings 41 times. 27 of those goals were scored by people under the age of 23. We are talking about 66% of the production.

For comparison, the Carolina Hurricanes follow with 51% (19 of 37 goals).

The Canadian’s Young Wolves also dominate the Pointer Column (60) in Category 23 and below.

Dach took the opportunity

In that regard, we can congratulate Martin St-Louis for giving Dach the opportunity to seize the rights from Caufield and Suzuki.

The tall winger, who was drafted from the Blackhawks last draft, has nine points (three goals, six assists) in six games since the association began.

Together, Caufield, Suzuki and Dach scored 12 of the Canadians’ 21 goals during that period and amassed 27 points overall.

As the others would say, it’s not ugly.

Regulators are looking to expand trading in the massive $24 trillion Treasury market, a potential power shift away from the small club of big banks that have dominated the market for decades, according to a federal report released Thursday.

Regulators have been on heightened alert about the stability of the market since March 2020, when Covid-19 disrupted the economy and markets and froze trading in government bonds. Recent volatility in the Treasury market has added to concerns.

US Treasuries are the bedrock of the global financial system. In addition to the sheer size of the market and its role in funding US budget deficits, many financial institutions use government bonds as collateral for other types of loans. Unpredictable market movements can therefore spread widely to other markets and affect the interest rates consumers pay on mortgages or auto loans.

Thursday’s report from top regulators — including the US Treasury Department, the Federal Reserve, the Securities and Exchange Commission and the Commodity Futures Trading Commission — shows regulators are keen to track the growth of the “all-to-all” – to support trade.

It’s a concept where buyers and sellers trade Treasuries directly with each other, rather than relying on big banks. For example, large mutual funds or insurance companies could exchange securities directly instead of using banks as intermediaries. Some other markets use similar trading practices; For example, it exists to a small extent in the corporate bond markets and in many derivatives markets.

US officials stressed that they are still in the early stages of studying the benefits and costs of a push toward all-to-all trade. A conference hosted by the New York Fed next week will focus in part on the idea. Such trading requires infrastructure in the markets to make this possible, such as For example, common legal arrangements or a central clearing house through which buyers and sellers transact trades, which can take years for any change to develop.

share your thoughts

What steps should regulators take to strengthen the $24 trillion Treasury market? Join the conversation below.

“In theory, all-to-all trading can improve market liquidity by increasing the number and variety of potential counterparties to a trade, or by transforming the competition between them,” the regulatory report states. “All-to-all trading can also offer more transparency.”

A separate report released last month by the Federal Reserve Bank of New York further underscored the interest of regulators. All-to-all trading, it said, “could be particularly helpful in times of stress when the capacity of traditional intermediaries could be tested.”

Neither Thursday’s report nor the New York Fed’s report suggests the government will establish an all-to-all platform or mandate the use of one. Instead, officials have signaled that some moves they are already considering — like more transparent pricing and centralizing more transactions — could lead to more all-to-all trading over time. The SEC proposed more centralized clearing of Treasury trades in September.

This month, portfolio managers at bond giant Pacific Investment Management Co. argued that the role of dealer intermediaries made the treasury market more vulnerable and less liquid. In a report, they said policymakers should use their leverage to push for an all-to-all system “in which all market participants are able to trade with one another, in some cases bypassing traders.” “.

Primary dealers, a group of about two dozen major global institutions, now play a central role in the US government’s efforts to sell its securities. The traders – including the trades of Barclays BCS 6.08% PLC, Citigroup Inc., C 6.75% Credit Suisse Group AG CS 7.23%, Goldman Sachs Group Inc., GS 4.51% JPMorgan Chase JPM 4, 12% & Co. and other major global banks – are required to bid at government bond auctions and distribute the securities they buy.

“It’s unfair to expect that the same liquidity providers can provide the same levels of liquidity when the treasury market has more than doubled but hasn’t seen any real innovation over the past twenty years,” said Chris Concannon, President and Chief Operating Officer by MarketAxess Holdings Inc., which operates an all-to-all trading platform in the secondary government bond market, which it launched earlier this year.

The national debt held by the public has grown from less than $4 trillion in 2002 to $24.4 trillion this week, according to the Treasury Department. According to data collected by the Securities Industry and Financial Markets Association, an industry group, Treasuries trade more than $600 billion on average every day. Primary dealers are involved in the vast majority of these transactions, New York Fed research has found.

“I’m sure traders will fight back,” said Thanos Bardas, global co-head of investment-grade fixed income at Neuberger Berman, an asset management firm. “You can’t expect them to show up at the auctions and bid and then reduce their impact on secondary trading.”

Mr. Bardas added that he would be surprised if the all-to-all trade performed better than the current setup during times of market stress. Among other things, he would favor rule changes that would make it easier for banks to hold more government bonds on their balance sheets.

Regulators set up an interagency group to monitor the treasury market in 1992 when investment bank Salomon Brothers was found to be violating auction rules. In recent years, regulators have become increasingly concerned that trading in Treasury markets has become less seamless and more prone to disruption.

Treasury Secretary Janet Yellen heads a group of regulators tasked with overseeing financial stability in the US

Photo: Al Drago/Bloomberg News

One case was a “flash crash” in October 2014 when government bond yields plummeted and then rallied within a few minutes of trading with no apparent trigger. In mid-September 2019, the repo markets, which rely on government bonds as collateral, experienced unusual volatility in a short trading period. Then Treasury markets froze in March 2020 as Covid-19 hit the economy and financial system.

One concern is that the big banks’ capacity to hold securities themselves has not grown as much as the Treasury market. Since the 2007-2009 financial crisis, new federal capital and liquidity regulations have stunted bank balance sheet growth.

In recent months, officials have noted that Treasury markets have become less liquid and more volatile. A consequence of these developments is that relatively small trades cause larger changes in bond prices and yields than was previously the case.

US securities regulators don’t think they can cushion catastrophic events like a pandemic, but say they are trying to strengthen the underlying market by making it more transparent and taking other measures to ensure broader access to the market .

Big banks have argued that regulators should relax capital requirements related to their treasury holdings. That would allow them to play a bigger role in the market, the banks argue.

“If you’re looking to increase market-wide capacity, regulatory recalibration gets you the best bang for your buck, especially during times of stress,” said Rob Toomey, managing director and associate general counsel of Sifma, the industry group.

The Fed last year phased out a temporary, pandemic-related stay on the capital requirements in question and vowed to propose a broader overhaul. This has not happened yet. Thursday’s report makes no mention of the problem.

Another challenge for regulators is that the Fed’s own campaign to raise short-term interest rates to combat inflation is a factor causing volatility in Treasury markets. If market volatility becomes extreme, Fed officials could find themselves in the difficult position of deciding which issue to prioritize: fighting inflation through rate hikes or curbing the volatility caused by rate hikes.

Such was the case in Britain in September, when the Bank of England intervened to stem the fallout from a furious bond market sell-off that threatened Britain’s financial stability.

write to Andrew Ackerman at [email protected] and Jon Hilsenrath at [email protected]

Copyright ©2022 Dow Jones & Company, Inc. All rights reserved. 87990cbe856818d5eddac44c7b1cdeb8

Following a record pre-sale of winter subscriptions, Resorts of the Canadian Rockies (RCR) management is ensuring their Mont-Sainte-Anne and Stoneham facilities are not for sale.

• Also read: Hospitality: Millions more in loans and grants for someone close to the CAQ

• Also read: Mont-Sainte-Anne purchase offer: “Good news” for the Capitale-Nationale region

• Also read: After Club Med, Groupe Le Massif is attempting to acquire Mont-Sainte-Anne

“Despite the various information that is circulating about our two mountains and the Mont-Sainte-Anne cross-country ski center, we would also like to reiterate that none of our assets are for sale,” said Maxime Cretin, Vice President and General Manager of Eastern Region for RCR.

This sentence was subtly inserted at the end of a press release on Wednesday.

“Every effort will be made to deliver a winter season that meets all expectations. Our teams have been at work for several weeks to complete the final preparations for the opening dates targeted at the end of the month,” he added.

bid

Recently, Groupe Le Massif made an offer to the owner of MSA to increase its activities and offer an improved Quebec four-season product for the North American market.

“In the turmoil of the MSA, we started analyzing it and we decided to make an offer,” Groupe Le Massif President Claude Choquette told our Parliament office.

For several months, the tourist resort MSA has been criticized for not using the infrastructure.

This jewel of the Capitale-Nationale region suffers from a lack of investment from the RCR Group.

Cracks and breakdowns have tarnished the mountain’s reputation.

Without answer

The offer to buy went unanswered, but Groupe Le Massif was undeterred and claimed to have opened a channel of communication.

Investissement Québec and the office of Minister for Economic Affairs Pierre Fitzgibbon have also been informed of the massif’s interest.

The group will seek financial support from Quebec if they manage to get their hands on the MSA, confirmed Claude Choquette, to revitalize the mountain and its facilities.

With this press release, however, RCR seems to want to close the lid on the pot.

The Le Massif Group did not want to react to this statement from RCR today.

Elon Musk has banned remote work at Twitter in his first email to employees since buying the company, warning that the social media platform will need “intense work” in the office to turn its fortunes.

“The road ahead is arduous and requires intense work to succeed,” he wrote in a company-wide email sent to employees Thursday morning and shared with the Financial Times.

“We are . . . changing the Twitter policy so remote work is no longer allowed unless you have a specific exception.”

Employees must be in the office at least 40 hours a week, according to the email, except for those who are “physically unable to travel” or have “a critical personal obligation”.

Musk added that he will review and approve any exceptions to the policy himself, and instructed managers to make lists of all employees who wish to continue working remotely.

The new policy at Twitter echoes Musk’s demands at another company he runs, Tesla, where he insisted in June that employees should show up at the office for at least 40 hours a week for work or find new employment.

It comes a week after Musk laid off about half of the company’s 7,500 employees. Several senior executives have since also left, raising concerns about data security and privacy compliance, especially given the speed at which the platform has rolled out some new features since Musk acquired it.

The U.S. Federal Trade Commission, a leading consumer protection agency, said Thursday it was “following with great concern recent developments on Twitter.” Twitter signed a strong compliance statement in 2011, pledging to better protect user data, which the regulator continues to monitor.

“No CEO or company is above the law, and companies must follow our consent regulations,” the FTC added. “Our revised Consent Order gives us new tools to ensure compliance and we stand ready to use them.”

On Thursday morning, Lea Kissner, Twitter’s chief information security officer, announced her departure. Separately, a company attorney warned on the company’s Slack channel that Musk is taking a cavalier stance on privacy regulations and that the company could potentially risk significant fines from the FTC, according to a report by The Verge, which is corroborated by a person familiar with the matter became . Twitter’s chief compliance officer and chief privacy officer also left the company, according to the Verge report, which was confirmed by the person close to them.

Since Musk took the reins a few weeks ago, he seems to have doubled down on his “move fast, fail fast, move on” approach to running the company, rolling out new features and dropping them in hours, and noting Twitter’s work practices to turn your head.

The email to Twitter employees, originally reported by Bloomberg, was the first they have received directly from Musk since his $44 billion acquisition of the social media platform. Musk has instead used his personal Twitter account to publicly reflect on new initiatives and products for the company.

The decision to work remotely has been met with frustration from some employees who have moved further from the office during the coronavirus pandemic and now face long commutes, two former Twitter employees said.

Former chief executive Parag Agrawal had said in March, before Musk offered to buy the company, that employees could work full-time from home “forever.”

3) You will work where you feel most productive and creative, and that includes WFH full-time forever. 4) Distributed working will be a challenge. We must be proactive and intentional, learn and adapt. 5) Thanks to the team that supported us every day.

— Parag Agrawal (@paraga) March 3, 2022

A Twitter worker said: “It’s not much of a surprise considering how [Musk] does things at other companies. [The] The manner of communication and lack of notification didn’t help bring people with him.

Bruce Daisley, Twitter’s former European VP, said: “It’s a simple managerial error to conclude that employees working from home are less productive or collaborative than those in the office. . .[but]Teleworkers work more, not less. When we feel we can maintain a better work-life balance, we generally feel happier at work. Musk may find that with that extra smack on them, his team ends up being more frustrated.”

Last week, Musk warned that the platform has seen a “massive drop in revenue” since its acquisition was completed.

Recommended

Musk has also asked employees to work 24/7 on new products, including a subscription fee for users to get access to a blue tick on their profile, as well as features like the edit button.

Twitter’s new office rules put it at odds with its social media competitors, all of which have flexible working hours. At TikTok, employees have been asked to return to the office for at least two days a week starting in September this year, while Facebook and Instagram owner Meta has encouraged remote work with several top executives away from the company’s headquarters.

Getty Images | OnlyPhoto

Some of Twitter’s top privacy and security leaders resigned this week amid concerns that Elon Musk’s rapid changes could result in violations of the company’s recent settlement with the Federal Trade Commission.

“Privacy officials said they were most concerned about the rapid rollout of new features without the full security reviews required by the FTC consent decree,” the Washington Post reported today in an article about the departures.

Chief Information Security Officer Lea Kissner confirmed to leave the company in a tweet. Chief Privacy Officer Damien Kieran and Chief Compliance Officer Marianne Fogarty also resigned, according to news reports.

The FTC said it follows what’s happening on Twitter. “We are following recent developments on Twitter with great concern,” an FTC spokesman said in a statement to The Hill and other news outlets. “No CEO or company is above the law, and companies must follow our consent regulations. Our revised Consent Regulation gives us new tools to ensure compliance and we stand ready to use them.”

The FTC’s recent order puts Twitter at risk for compliance

Twitter reached a new settlement with the FTC in May 2022, agreeing to pay a $150 million penalty for targeting ads to users with phone numbers and email addresses collected from those users , when they enabled two-factor authentication. The FTC said the ad targeting violated the terms of Twitter’s 2011 settlement with the FTC, which “specifically forbade the company from misrepresenting its privacy and security practices.”

The FTC also said it is requiring “significant new compliance measures” to “prevent further deceptive tactics that threaten user privacy.” The comparison requires assessments of privacy, security, and confidentiality risks before Twitter releases new or modified products and services.

Another requirement is that Twitter must issue a compliance notice within 14 days of a merger. That means the company must file a Musk purchase-triggered compliance notice with the FTC today if it hasn’t already done so.

advertisement

Musk’s rapid changes risk violating Twitter’s deal with the FTC, a company lawyer reportedly warned in an internal Slack message visible to all Twitter employees. The Verge released the Slack message and said it was posted by an attorney for the company’s privacy team.

Musk’s new legal team is now asking engineers to ‘self-certify’ compliance with FTC rules and other data protection laws, according to the note from the attorney and another employee familiar with the matter, who asked not to be identified, without the company’s permission to speak,” The Verge wrote.

Musk laid off about 3,700 employees last week, about half of Twitter’s workforce.

Lawyer warns Twitter engineers of legal risks

Filings with the FTC required by the May 2022 Consent Order are made under penalty of perjury. As Mike Masnick pointed out on TechDirt, “Anyone who works at Twitter needs to know that ‘self-certifying’ anything that violates the FTC’s Consent Decree can carry a jail sentence and hefty fines. It’s not supposed to work that way.”

The internal message from the Twitter lawyer reads in part:

This will place enormous personal, professional and legal risk on the engineers: I expect you will all do this [b]We are under pressure from management to make changes that are likely to lead to serious incidents.

All of this is extremely dangerous for our users. Given that the FTC can (and will!) fine Twitter BILLIONS of dollars under the FTC Consent Order, this is extremely detrimental to Twitter’s longevity as a platform. Our users deserve so much more than that.

The Verge also paraphrased another anonymous employee by saying that this week’s launch of the revamped Twitter Blue subscription “disregarded the company’s normal privacy and security review,” where a “red team” reviews potential risks before launch . “None of the red team’s recommendations were implemented prior to Twitter Blue’s relaunch, the staffer said,” according to The Verge’s report.

The Twitter Blue changes allow paying $8 per month for the blue ticks, which were previously reserved for accounts that Twitter has verified are genuine and notable.

The Washington Post quoted former FTC official David Vladeck as saying executive departures and the general chaos on Twitter raise questions as to whether “compliance requirements will fall through the cracks.” Vladeck, who was director of the FTC’s Office of Consumer Protection when the settlement was reached in 2011, said another breach would result in much larger fines than the $150 million earlier this year.

“There would be a very significant multiple of the last fine,” the Post quoted Vladeck as saying.

Go to discussion…

Inflation and rising interest rates claim their first victims. The number of bankrupt consumers in Quebec rose 16% year over year in the third quarter.

• Also read: How do you prevent your apartment from putting you on the street?

• Also read: Debt: Private lenders make gold deals…by “helping” broken Quebecers.

“Since this summer, the curve has been going up. We are beginning to feel the effects of inflation and rising interest rates,” explains Pierre Fortin, President of the bankruptcy trustee Jean Fortin et Associés.

The Office of the Superintendent of Bankruptcy lists 6,589 bankruptcy filings filed by Quebec consumers in the third quarter of 2022. This is 16% more than in the same period last year. Despite this increase, however, the number of bankruptcies is still 40% below where it was in 2019, the last full year before the pandemic.

After a decline due to restrictions

In the first two years of the pandemic, many Quebecers received a six-month deferral on their mortgage payments and car loans. They had to economize on health measures, including confinement. Without the opportunity to go out and engage in regular activities, “30% of usual personal expenses would not have taken place,” says Mr Fortin. Less spending, more savings: Insolvency had fallen sharply in the past two years.

With the return to normal, the trend should be upwards. But inflation dramatically increases the financial hardship for less affluent families and individuals.

The average monthly income of a Canadian household that declares bankruptcy is $2,566 after taxes. That’s twice less than the average monthly income for all Canadian households. With incompressible expenses in excess of $2,000, an unforeseen event or accident will accelerate debt quickly. Almost half of the insolvent people become insolvent because they are struggling with a loss of income. The disease is involved in one in five people. And for one in 10, it’s a breakup.

Increase in the disputed minimum payment

“The increase in the minimum payment by credit card on August 1 is also making itself felt,” says Mr. Fortin. However, people with lower incomes often have the highest credit card balances because they have less or no access to other forms of borrowing. According to the Office of the Superintendent of Bankruptcy, those who file for bankruptcy have accumulated an average of $12,000 in credit card debt, the most expensive loan.

Rising interest rates can also lead to financial difficulties for owner-occupied households.

“During the pandemic, the number of buyers who have opted for a variable rate has doubled,” says Mr. Fortin. There was a big difference between the fixed rate and the floating rate because the banks had anticipated future increases. »

While it’s too early to measure the full effect of the rate hike, he believes new buyers who bought at high prices and opted for a variable rate are among the vulnerable demographics.

Dow Jones futures edged higher overnight, along with S&P 500 futures and Nasdaq futures.

X

The stock market rally accelerated Thursday after a cooler-than-expected CPI inflation report, with the Dow Jones up 1,198 points. Headline and core gains were weaker than expected, bolstering the case for slower Fed rate hikes. Treasury yields and the dollar plummeted.

If inflation continues to ease, the Fed could end rate hikes earlier than Fed Chair Jerome Powell suggested last week.

Many of the big moves took place in depressed stocks. Apple (AAPL), Microsoft (MSFT), parent company of Google alphabet (GOOGL), Facebook parent meta platforms (META), Amazon.com (AMZN) and Tesla (TSLA) were all big gainers on Thursday, but MSFT stock was the only one to move above the 50-day moving average. NVIDIA (NVDA), which now has a higher market cap than META stock, rose sharply after retaking the 50-day moving average, but still needs a lot of work.

Many plummeting cloud software stocks posted double-digit gains on Thursday. digital turbine (APPS) broke out after gains up 61%, but that’s not even a two-month high.

Still, investors should definitely consider adding more exposure and keep an eye out for the establishment of stocks.

However, there weren’t many actionable stocks on Thursday. but GlobalFoundries (GFS), Enphase Energy (ENPH), griffon (GFF), Builders FirstSource (BLDR) and General Motors (GM) all flashed various buy signals.

GM shares were added to SwingTrader and were Thursday’s IBD stock of the day. ENPH stocks are on the IBD Leaderboard watch list and IBD 50 list.

Dow Jones futures today

Dow Jones futures rose 0.2% versus fair value. S&P 500 futures were up 0.15% and Nasdaq 100 futures were up 0.3%.

The 10-year government bond yield fell 2 basis points to 3.81%.

Beijing reported the most Covid cases in over a year as rising infections across the country prompted new lockdowns. China’s new leaders have been pushing for more targeted, “firm” restrictions to stem the spread.

Keep in mind that overnight action in Dow futures and elsewhere doesn’t necessarily translate to actual trading in the next regular trading session.

Join IBD experts as they analyze actionable stocks in the stock market rally on IBD Live

stock market rally

The stock market rally started strong and stayed that way throughout Thursday before closing on session highs.

Dow futures rose ahead of the open on the surprisingly tame CPI inflation report. In October consumer prices increased by 0.4% or 0.3% excluding food and energy. CPI inflation fell to 7.7%, the lowest since January. Core inflation eased to 6.3% against prospects to remain at a 40-year high of 6.6%.

The bulls cheered and sighed after finally getting a positive inflation reading.

The Dow Jones Industrial Average rose 3.7% in trading on Thursday. The S&P 500 Index 5.5%. The Nasdaq Composite rose 7.35%. Small-cap Russell 2000 is up 6.1%.

The 10-year government bond yield fell 32 basis points to 3.83%, its lowest level in a month. The dollar suffered its biggest drop in several years and continued its sharp decline over the past week.

Markets now see an 81% chance of a 50 basis point Fed rate hike in December. Ahead of the CPI inflation report, there was still a solid chance of a fifth consecutive 75 basis point rise. Remarkably, there is now a 50:50 chance of a Fed rate hike of just a quarter point in February.

Bitcoin rallied to around $17,500 Thursday night after plunging to a two-year low below $16,000 on Wednesday afternoon.

US crude prices rose 0.6% to $86.47 a barrel. Natural gas collapsed 6.4%.

megacap stocks

Apple stock rose 8.9%, recovering from its worst close in nearly four months. META shares surged 10.25%, continuing their mini-run from bearish lows amid big orders and other cost cuts. Amazon shares rose 12.2% from Wednesday’s 30-month low as the e-commerce giant announced a cost-cutting review.

Microsoft stock rose 8.2%, surpassing its 50-day mark. Google stock is up 7.6% but remains well below its 50-day moving average.

Tesla stock rallied 7.4%, but it was still an insider’s day after falling to a two-year low on Wednesday.

Nvidia stock is up 14.3%, continuing a recovery that began Oct. 13. Nvidia earnings are due November 16th.

ETFs

Among the best ETFs, the Innovator IBD 50 ETF (FFTY) was up 3.1%. The iShares Expanded Tech-Software Sector ETF (IGV) was up 9.1% with MSFT shares a key component. The VanEck Vectors Semiconductor ETF (SMH) is up 10.2%. NVDA stocks are a big holding.

The SPDR S&P Metals & Mining ETF (XME) is up 5.5% and the Global X US Infrastructure Development ETF (PAVE) is up 5.65%. The US Global Jets ETF (JETS) is up 4.9%. SPDR S&P Homebuilders ETF (XHB) topped the day with a 10.3% gain. The Energy Select SPDR ETF (XLE) is up 2.2% and the Financial Select SPDR ETF (XLF) is up just over 5%. The Health Care Select Sector SPDR Fund (XLV) rose 2.5%.

Reflecting more speculative story stocks, ARK Innovation ETF (ARKK) returned 14.5% and ARK Genomics ETF (ARKG) returned 11.1%. Tesla stock is a key position in Ark Invest’s ETFs.

The five best Chinese stocks to watch right now

Analysis of the market rally

The stock market rally had a massive win for the CPI inflation report. The S&P 500 and Russell 2000 jumped above their 50-day moving averages, with the former surpassing recent highs and the latter just below its 200-day moving average. The Dow Jones, which has been leading this uptrend, jumped off its 200-day moving average to its best level since the August highs.

The Nasdaq, the clear laggard in the market’s rally so far, jumped above its 50-day moving average. Amazon and many run-down megacaps and cloud stocks led the way, while Nvidia and other chips continued their recent rise, but mostly below buy areas.

Thursday’s action was a subsequent follow-through day for all major indices with large volume gains on the NYSE and Nasdaq. This provides more confidence in the stock market rally.

The CPI inflation report was just one data point, but it was what the Fed wanted and needed to see. Notably, it will be a few weeks before the next wave of reports critical of the Fed comes out. This suggests a favorable background for the market rally, at least during this period.

A positive outcome would be for the Nasdaq to move decisively above the 50-day moving average and clear its October highs just above 11,200. The S&P 500 moving above the 200-day mark would be a very strong signal.

Why this IBD tool makes finding top stocks easy

Leading Stocks

Not many leading stocks were in position on Thursday. Some strong names are looking prolonged, while Thursday’s big winners were mainly battered techs like Google in need of a lot of repair work.

It is not clear which groups will lead the market rally. But there are many interesting groups and branches.

Medical devices like biotechs and health insurers, which led the market’s rally, sat out Thursday’s big gains or fell back with riskier growth stocks. Is that just a slip?

Defensive names have had a tough showing, such as Hershey (HSY) and other food stocks.

A wide range of housing-related stocks, including home builders, suppliers and retailers, are clearing bases or moving above long-term moving averages or trendlines. This includes DR Horton (DHI), Tempur Sealy (TPX) and BLDR bearings.

A few other retailers, along with several restaurants and some consumer games, are showing strength Crocs (CROX) to wing stop (WING) on GM shares. Some financials, lithium, solar, agriculture and steel stocks are also looking good, including steel dynamics (STLD), Albemarle (ALB), CF industries (CF), Karl Schwab (SCHW) and ENPH bearings.

Some infrastructure companies are located in or near buy zones, including Quanta Services (PWR).

Energy stocks, which weren’t doing much on Thursday, could continue to take the lead.

Networking stocks look resilient, including DigiInternational (DGII). Some chip names are looking interesting as the sector recovers after a long slide. That includes GFS stock, which is slightly above early entries.

But it could take some time for megacaps like Apple stock, Microsoft, and Tesla to take the lead. The same goes for cloud software, with the risk that some may not recover for years, if ever.

Time the market with IBD’s ETF market strategy

What now

The stock market rally showed strength on Thursday and there is a plausible story that the uptrend has legs after the October inflation report. But for now it’s just a story.

Ultimately, investors should focus on what the market is doing now by following the performance of the major indices and leading stocks.

This signals that it’s time to increase engagement, but don’t rush. If this market uptrend has legs, there is plenty of time to invest heavily.

The limited number of realizable shares on Thursday was a reason not to buy heavily. Investors can choose to buy a broad market or sector ETF such as SPY or SMH.

But there are plenty of stocks and sectors that look interesting. Investors should keep their watch lists up to date.

Read The Big Picture every day to keep up to date with market direction and leading stocks and sectors.

Please follow Ed Carson on Twitter at @IBD_ECarson for stock market updates and more.

YOU MAY ALSO LIKE:

Catch the next big winner stock with MarketSmith

The best growth stocks to buy and watch

IBD Digital: Unlock IBD’s premium stock lists, tools and analysis today

Tesla vs BYD: Which EV Giant is the Better Buy?