Stock Movers: Tesla, Nike, Big Banks
On this episode of Stock Movers: - Tesla (TSLA) shares fell on Friday after starting the week on the upswing. One of Wall Street's most bearish Tesla analysts further reduced estimates for the company's earnings, citing the magnitude of car-buyer backlash against Elon Musk. Tesla's first-quarter vehicle deliveries were far below even JPMorgan Chase & Co. analyst Ryan Brinkman's pessimistic estimate, 'confirming the unprecedented brand damage we had earlier feared,' he said in a report Friday. The EV maker also saw a key executive leave. David Lau, Tesla's vice president of software engineering, has told people at the company that he is stepping down, according to people familiar with the matter. Lau, one of the few executives to promote the automaker's products alongside Elon Musk, has been at Tesla for almost 13 years and has held the vice president title since 2017. His team is responsible for the software in Tesla's vehicles — overseeing infotainment and information security to over-the-air software updates — as well as cloud services and manufacturing systems. - Shares in companies that have large manufacturing operations in Vietnam, including Nike (NKE) and Lululemon Athletica (LULU) soared Friday after President Donald Trump said Vietnam was willing to eliminate tariffs to avoid new US levies. Nike shares erased an earlier loss to gain 3%. Apparel and shoemakers' shares tumbled Thursday after the president unveiled a 46% levy on the Southeast Asian nation, where several had shifted manufacturing in recent years after Trump hit China with tariffs during his first term. - Shares of big US banks plummeted, notching their biggest two-day drop since March 2020, after China escalated its trade war with the US. Some of Wall Street's top lenders, Morgan Stanley (MS), Goldman Sachs (GS) and Citigroup (C) all closed more than 7% lower after China retaliated against President Donald Trump's tariffs with a 34% levy on US goods. The KBW Bank Index tallied a roughly 16% drop over Thursday and Friday, the gauge's worst two-session plunge since the start of the Covid-19 pandemic. Shares of JPMorgan Chase (JPM), which traded ex-dividend on Friday, erased some $51 billion from its market capitalization. Regional lenders also took a hit with the KBW Regional Banking Index slumping 3.7%, to close at the lowest level since July 9.
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Forbes
9 minutes ago
- Forbes
Mortgage Rates Today: June 9, 2025 - 30-Year and 15-Year Rates Stand Still
Currently, the average interest rate on a 30-year fixed mortgage is 6.83%, compared to 6.86% a week ago, according to the Mortgage Research Center. For borrowers who want to pay off their home faster, the average rate on a 15-year fixed mortgage is 5.85%, down 0.10% from the previous week. Homeowners who want to lock in a lower rate by refinancing should compare their existing mortgage rate with current market rates to make sure it's worth the cost to refinance. Borrowers paid an average rate of 6.83% on a 30-year mortgage. This was down from the previous week's rate of 6.86%. Currently, the average APR on a 30-year fixed-rate mortgage is 6.86%. This is lower than last week when the APR was 6.89%. The APR contains both mortgage interest and the lender fees to help give a more complete picture of loan costs. To get an idea of how much you'll pay: a $100,000 mortgage with a 30-year fixed-rate loan at the current average interest rate of 6.83% will cost you about $654 including principal and interest (taxes and fees not included) each month, the Forbes Advisor mortgage calculator shows. That's around $136,086 in total interest over the life of the loan. Today, the 15-year mortgage rate declined to 5.85%, lower than it was yesterday. Last week, it was 5.85%. On a 15-year fixed, the APR is 5.9%. Last week it was 5.9%. At today's interest rate of 5.85%, a 15-year fixed-rate mortgage would cost approximately $836 per month in principal and interest per $100,000. You would pay around $50,885 in total interest over the life of the loan. Today's average interest rate on a 30-year fixed-rate jumbo mortgage (a mortgage above 2025's conforming loan limit of $806,500 in most areas) fell 4.34% from last week to 7.18%. Borrowers with a 30-year, fixed-rate jumbo mortgage with today's interest rate of 7.18% will pay approximately $677 per month in principal and interest per $100,000 borrowed. That would be $144,242. Mortgage rates initially trended downward post-spring 2024. However, they surged again in October 2024—despite cuts by the Federal Reserve to the federal funds rate (its benchmark interest rate) in September, November and December 2024. Rates began to drop again in mid-January 2025, but experts don't forecast them falling by a significant amount in the near future. Mortgage rates are influenced by various economic factors, making it difficult to predict when they will drop. Mortgage rates follow U.S. Treasury bond yields. When bond yields decrease, mortgage rates generally follow suit. The Federal Reserve's decisions and global events also play a key role in shaping mortgage rates. If inflation rises or the economy slows, the Fed may lower its federal funds rate. For example, during the Covid-19 pandemic, the Fed reduced rates, which drove interest rates to record lows. A significant drop in mortgage rates seems unlikely in the near future. However, they may decline if inflation eases or the economy weakens. Mortgages and mortgage lenders are often a necessary part of purchasing a home, but it can be tough to understand what you're paying for—and what you can actually afford. Using a mortgage calculator can help you estimate your monthly mortgage payment based on your interest rate, purchase price, down payment and other expenses. Here's what you'll need in order to calculate your monthly mortgage payment: Mortgage interest rates are determined by several factors, including some that borrowers can't control: While the above factors set the base interest rate for new mortgages, there are several areas that borrowers can focus on to get a lower rate: Many home buyers are eligible for several mortgage loan types. Each program can have its own advantages: A competitive mortgage rate currently ranges from 6% to 8% for a 30-year fixed loan. Several factors impact mortgage rates, including the repayment term, loan type and borrower's credit score. Most rate locks last 30 to 60 days and your lender may not charge a fee for this initial period. However, extending the rate lock period up to 90 or 120 days is possible, depending on your lender, but additional costs may apply. A mortgage interest rate reflects what a lender is charging you on top of your loan amount in return for allowing you to borrow money. Annual percentage rate (APR), on the other hand, is a calculation that includes both a loan's interest rate and finance charges, expressed as an annual cost over the life of the loan. In other words, it's the total cost of credit. APR accounts for interest, fees and time. Since APRs include both the interest rate and certain fees associated with a home loan, the APR can help you understand the total cost of a mortgage if you keep it for the entire term. The APR will usually be higher than the interest rate, but there are exceptions.
Yahoo
11 minutes ago
- Yahoo
Tariffs on canola seen supercharging Canadian farmers' shift to spring wheat
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China's 100% tariffs on Canadian canola meal and oil and its threat to impose duties on canola seed, amid President Donald Trump's broader global trade war, have rattled Canadian farmers, who since 1990 had nearly quadrupled their canola acres before paring back in recent years because of growing problems with drought, high production costs and crop diseases. Now, tariffs are expected to accelerate the likelihood that thousands of farmers could further cut back, adding up to hundreds of thousands or even millions of acres less canola, and more wheat, farmers and analysts estimated. "There is going to be a massive switch," said Jerry Klassen, a Manitoba farmer and market analyst with Resilient Capital. He has switched hundreds of acres on his own farm from canola to spring wheat this year and thinks like-minded farmers will do the same. Reuters' reporting on fallout from tariffs in grain markets illustrates how global trade turmoil is causing the neighboring countries to diverge on spring wheat production. Canada's rebounding supply of wheat has kept prices down for millers who fuel global bread demand as well as consumers. The shift to Canadian fields has also offset some worry about the long-term decline in U.S. production area. Politicians in Canada are funding and supporting the shift toward greater wheat production as a way to shield the thinly-populated agricultural export powerhouse of Western Canada from foreign pressure. And farmers have their own motivation: improved wheat varieties have boosted the grain's profitability. Adam Dyck of U.K. breadmaker Warburtons in Winnipeg said some Canadian farmers had tripled their production to 90 to 100 bushels per acre since the 1990s. The shift toward wheat reflects canola's vulnerability to tariffs. 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'POVERTY GRASS' Scott Huso, a farmer in Aneta, North Dakota, said that across the northern Great Plains, stretching from Minnesota to the Montana Rockies, farmers have been planting less wheat in favor of crops like corn and soybeans, which are generally more profitable. University of Minnesota data found that last year, farmers in central Minnesota earned hundreds of dollars in operating profit per acre with corn and soybeans, but lost money on spring wheat in 2024. "Wheat, you're not making money on it," Huso said. U.S. total hard red spring wheat production hasn't changed much since the mid-1990s because of substantial improvements in the amount grown per acre. However, total acres are in long-term decline, dropping from 15-20 million acres in the mid-1990s to 13-15 million in the mid-2000s to 10-13 million in the mid-2010s. The U.S. Department of Agriculture said on March 31 that it expects hard red spring wheat acreage in 2025 to drop to 9.4 million acres -- the lowest since 1970. Yet spring wheat is in great demand from the world's millers and bakers. Its high protein content allows it to be used as the base for top-quality bread flour, or as something to blend with lower-quality, cheaper wheats. The U.S. and Canadian plains are the most reliable major source of the world's high-quality spring wheat. Yet that doesn't always lead to the kind of premium prices U.S. farmers might need to justify growing the crop, with steady Canadian supplies and those from overseas competitors like Russia keeping millers comfortable enough to avoid bidding wars, a frustration for many U.S. farmers like Huso. "You just can't convince guys to love wheat these days," said Huso, a member of the North Dakota Wheat Commission. Committed wheat growers like him and organizations like the commission and export-focused U.S. Wheat Associates are trying to convince buyers to pay higher prices and breeders to produce better wheat crop varieties to help wheat compete for U.S. farmers' fields. It's been an uphill struggle. In Canada, the mood is different. Rather than getting knocked out of the crop roster, more farmers are warming to wheat. In May, farmer Korey Peters finished seeding 1,700 acres of spring wheat on his farm near Winnipeg. With new varieties providing more crop per acre, and canola costly and hard to grow profitably in his area, he said he's been putting more and more of his land into wheat and corn. "I know some people call it 'poverty grass,' but it works for us," Peters said. ($1 = 1.3691 Canadian dollars) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
15 minutes ago
- Bloomberg
Trump's Tariff Chaos Threatens His Push for Rust Belt Revival
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