Former S&P Ratings Executive Shares Concerns Over U.S. Creditworthiness
Moritz Kraemer was an executive in S&P's sovereign-bond unit when it cut the U.S.'s rating in 2011. Now an economist for German bank LBBW, he says the dysfunction in Washington has only worsened. Read more here:
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
38 minutes ago
- Yahoo
Pre-Market Futures Have Fingers Crossed for Trade Deals
Tuesday, June 10, 2025Pre-market futures are climbing back to early-morning highs at this hour, as the most consequential of new economic reports don't hit the tape until tomorrow and Thursday. Talks resume today in London between the U.S. and China, and a breakthrough on that front in the trade war would be a compelling reason to drive markets the other hand, any reported impasses on this front might be seen as a wet blanket for market growth. We can see by the generally positive daily returns this month that market participants are ready to hear some good news: the Dow is up +2.5% off late-May lows, the S&P is +3.4% over that time, the Nasdaq is +4.2% and the small-cap Russell 2000 +5.3%.Earlier this morning, the latest NFIB Small-Business Index came out for the month of May, looking better than it has in the previous couple months. A headline of 98.8 was 3 points higher than anticipated (95.9 was the consensus estimate), just above the index's long-term average, which reaches back 51 years. The 12 month high was back in December, when this index reached those small-business owners surveyed, uncertainty was still high — likely reflecting the still-murky tariff policy looking forward. We're now within the final month of the 90-day tariff pause, with so far very little progress made. That said, a plurality of owners said taxes, not tariffs or inflation, are the biggest problem facing their businesses currently — 18%. The last time the survey named taxes as the top issue was back in morning brings us the all-important Consumer Price Index (CPI) for May, which is expected to rise steadily month over month by +0.2% and +0.3% on core (stripping out volatile food & energy costs), while the year-over-year Inflation Rate is expected to tick up 10 basis points (bps) to +2.4%, core year over year to +2.9%.Thursday's Producer Price Index (PPI) reported those same +2.4% and +2.9% on core year-over-year rates last month for the wholesale side. Expectations are for month-over-month headline PPI to swing back to positive +0.2% from April's -0.5%, with core expected to fetch +0.3% growth last month, from -0.1% of these would be bad numbers — and there is always a possibility they could surprise to the downside, which would be good for disinflationary aspirations. But should these figures come in as expected, at levels still above the Fed's optimal +2% inflation rate and moving the wrong direction, you can write it in ink that the Fed will not cut interest rates at its next FOMC meeting starting a week from fact, despite early-year projections that the economy would be in a good place to start cutting rates this month, currently it's September that's the odds-on favorite for the first 25 bps rate cut this year. Also, more analysts and economists are projecting no new moves from the Fed's current +4.25-4.50%, which has been in place from December, for the entirety of or comments about this article and/or author? Click here>> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Invesco QQQ (QQQ): ETF Research Reports SPDR S&P 500 ETF (SPY): ETF Research Reports SPDR Dow Jones Industrial Average ETF (DIA): ETF Research Reports This article originally published on Zacks Investment Research ( Zacks Investment Research Errore nel recupero dei dati Effettua l'accesso per consultare il tuo portafoglio Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati
Yahoo
39 minutes ago
- Yahoo
Asian shares make modest gains as investors eye US-China talks
Asian shares were marginally higher on Tuesday as investors kept an eye on US-China trade talks that might help stave off a recession. Tokyo's Nikkei 225 gained 0.9% to 38,445.68, while the Kospi in South Korea jumped 0.3% to 2,865.12. Hong Kong's Hang Seng edged 0.3% higher, to 24,261.26 and the Shanghai Composite index was up 0.1% at 3,403.52. In Taiwan, the Taiex surged 2.1% to 22.253,46. Australia's S&P/ASX 200 advanced just less than 0.9% to 8.588,10. On Monday, the S&P 500 edged up just 0.1% and at 6,005.88 is within 2.3% of its record set in February. The Dow Jones Industrial Average slipped by 1 point, which is well below 0.1%, to 42,761.76. The Nasdaq composite added 0.3% to 19,591.24. A second day of talks between the US and China was planned after the two global powers met in London for negotiations. The hope is that they can eventually reach a deal to reduce painfully high tariffs against each other. Most of the tariff hikes imposed since US President Donald Trump escalated his trade war have been paused to allow trade in everything from tiny tech gadgets to enormous machinery. Hopes that President Donald Trump will lower his tariffs after reaching trade deals with countries around the world have helped the S&P 500 win back gains after it dropped roughly 20% from its record two months ago. The index is back above where it was when Trump shocked financial markets in April with his wide-ranging tariff announcement on so-called 'Liberation Day'. Related Chip designer Alphawave sees stock soar on Qualcomm takeover agreement China accuses US of violating trade truce and vows firm retaliation Some of the market's biggest moves came from the announcement of big buyout deals. Qualcomm rallied 4.1% after saying it agreed to buy Alphawave Semi in a deal valued at $2.4bn (€2.1bn). IonQ, meanwhile, rose 2.7% after the quantum computing and networking company said it agreed to purchase Oxford Ionics for nearly $1.08bn (€947.1mn). On the losing side of Wall Street was Warner Bros. Discovery, which flipped from a big early gain to a loss of 3% after saying it would split into two companies. One will get Warner Bros. Television, HBO Max and other studio brands, while the other will hold onto CNN, TNT Sports and other entertainment, sports and news television brands around the world, along with some digital products. Tesla recovered some of its sharp, recent drop. The electric vehicle company tumbled last week as Elon Musk's relationship with Trump broke apart, and it rose 4.6% on Monday after flipping between gains and losses earlier in the day. The frayed relationship could end up damaging Musk's other companies that get contracts from the US government, such as SpaceX. Rocket Lab, a space company that could pick up business at SpaceX's expense, rose 2.5%. In the bond market, the yield on the 10-year Treasury eased to 4.48% from 4.51% late Friday. It fell after a survey by the Federal Reserve Bank of New York found that consumers' expectations for coming inflation eased slightly in May. Economists expect a report due on Wednesday to show that inflation across the country accelerated last month to 2.5% from 2.3%. The Federal Reserve has been keeping its main interest rate steady as it waits to assess the inflationary effects of Trump's tariffs. A persistent increase in inflation expectations among US households could drive behaviour that creates a vicious cycle that only worsens inflation. In other dealings early on Tuesday, US benchmark crude oil picked up 31 cents to $65.45 per barrel. Brent crude, the international standard, also gained 31 cents, to $67.35. The dollar rose to 144.93 Japanese yen from 144.61 yen. The euro slipped to $1.1399 from $1.1421.
Yahoo
an hour ago
- Yahoo
Marriott International (NasdaqGS:MAR) Launches Luxury Dining Series Across Asia Pacific
Marriott International recently announced the return of its Luxury Dining Series across Asia Pacific, a move that aligns with its focus on enhancing customer experiences through its awarded Marriott Bonvoy program. Over the last quarter, Marriott's stock price saw a 8% rise, reflecting broader market trends, as the S&P 500 and Nasdaq Composite reached new highs this year on robust corporate earnings. The company's expansion in the Asia Pacific region and solid Q1 earnings report, featuring increased sales and net income, may have added weight to this positive trend, despite no apparent direct connection to the overall market rise. We've spotted 2 weaknesses for Marriott International you should be aware of, and 1 of them is potentially serious. We've found 17 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. The return of Marriott's Luxury Dining Series across Asia Pacific aligns with their strategy to enhance customer experiences and leverage their well-regarded Marriott Bonvoy program. This initiative could further bolster customer loyalty and market penetration in the region, potentially impacting future revenue forecasts positively. However, recent macroeconomic uncertainties, particularly in the U.S. and China, may overshadow these efforts, posing challenges to Marriott's broader revenue and earnings expectations. Analysts continue to anticipate significant revenue growth, but these external factors could lead to adjustments in future forecasts. Over a five-year period, Marriott International's total shareholder return, encompassing both share price appreciation and dividends, was 202.23%. This is significantly above the 1-year return for the US market, which stood at 12.4%, showcasing the company's long-term performance strength despite recent quarterly changes. However, over the past year, Marriott underperformed the broader US Hospitality industry, which achieved a 17.6% return. This suggests that while Marriott has experienced considerable long-term gains, recent performance has been less robust relative to industry peers. With the company's shares recently priced at US$251.96, they remain slightly below the consensus analyst price target of US$271.87. The present valuation reflects a potential upside of 7.3%, indicating analysts believe the current price may present a reasonable opportunity for appreciation, assuming earnings and revenue growth forecasts align with expectations. However, investors should weigh this price movement in the context of the discussed macroeconomic challenges and consider monitoring any developments that may affect future performance relative to industry trends. Take a closer look at Marriott International's potential here in our financial health report. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NasdaqGS:MAR. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@
