Dow Set to Stabilize After Dropping Over 500 Points
Your Cheddar hosts Kristen Scholer and Tim Stenovec bring you today's top financial news headlines. From a market sell-off to consumer spending, we have you covered!
Global stocks mostly steadied on Wednesday in pre-market trading, keeping major equity benchmarks on pace for monthly gains. Futures point to a higher open for the Dow after rising bond yields and pressure on the healthcare sector sent it to its biggest daily drop since May on Tuesday.
Plus, strong job prospects and a general upswing in the market in recent months have triggered a decrease in saving for many Americans. According to the Commerce Department, an increase in consumer spending in December led to a 12 year low in the U.S. household saving rate. This was the lowest saving rate since the height of the housing boom in the early 2000s.
The Federal Reserve kept its key interest rate unchanged Wednesday for a third straight time, and its officials signaled that they expect to make three quarter-point cuts to their benchmark rate next year.
Eliott Wellenbach, vice president and institutional ETF strategist with Direxion, joined Cheddar News to discuss what traders are expecting from consumer spending ahead of the holidays and how they're positioning themselves following the latest inflation data and mortgage rates.
