Latest news with #JayPowell
Yahoo
3 days ago
- Business
- Yahoo
Costco's $1.50 hot dog is still a winner
The $1.50 Costco hot dog — a still point in a turning world, immune to tariffs, inflation, or even Jay Powell — remains the most reliable deal in America. In a time of relentless volatility, the Costco hot dog stands firm. That's the lesson of Costco earnings, released after Thursday's bell, which show that the company's value-first model — source of cult-like customer loyalty — is still delivering, even 'in this economy.' The bargain-retail giant posted an 8% year-over-year jump in net sales, reaching $62 billion for the quarter, while net income rose 13% to $1.9 billion, or $4.28 per diluted share. Revenue from membership fees — almost every dollar of which falls right to the bottom line — grew 10% to $1.24 billion, as customer loyalty stayed rock solid. Costco now counts almost 80 million paid members and 143 million total cardholders, both up more than 6% from last year. Eye-watering renewal rates continue to dazzle: 90.2% globally and a stunning 92.7% in the US and Canada. Executive memberships — which give members 2% cash back on purchases — now make up 47% of all paid memberships and drive over 73% of total sales. That level of loyalty is virtually unheard of in retail, providing Costco with a pricing edge and recurring revenue stream most retailers can only dream of. Same-store sales showed the same trends. Adjusted for fuel and currency, comparable sales rose 8% company-wide, with U.S. stores up nearly 8% and e-commerce climbing an impressive 15.7%. The company credited standout categories like gold and jewelry, small electronics, and home furnishings, along with a 20% spike in site traffic and a 31% increase in Costco Logistics deliveries. Operating income climbed to $2.5 billion, and the company's cash hoard rose to nearly $14 billion. Clearly, Costco's model — combining bulk bargains, paid memberships, and a diehard loyal customer base — is shielding it from broader retail volatility. Still, investors are cautious. On Friday, Costco shares edged down premarket alongside the S&P 500 (which includes Costco) and Dow futures. Wall Street is waiting for April's core PCE index (the Fed's inflation gauge of choice) to arrive later in the day, bringing clues on pricing trends. In the meantime, one number remains comfortingly static: $1.50 for a hot dog and soda. For the latest news, Facebook, Twitter and Instagram. 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
3 days ago
- Business
- Bloomberg
Bloomberg Daybreak: President Trump's Tariff Agenda
On today's podcast: 1) A federal appeals court temporarily blocks a ruling that threatens to throw out the bulk of President Trump's tariff agenda. Traders are reassessing their appetite for riskier assets amid concerns over weaker growth and fiscal strain, with the setup being "quite pessimistic" according to an investment officer. 2) President Trump pushes Fed Chair Jay Powell to lower rates at a meeting at the White House. The president told Powell that not lowering rates is putting the US at an economic disadvantage to China and other countries, and Powell stressed that the path of policy will depend on incoming economic information. 3) Treasury Secretary Scott Bessent says trade talks with China have stalled. Bessent believes more talks will happen with Chinese officials "in the next few weeks" and sees the personal involvement of both country leaders as essential.
Yahoo
25-05-2025
- Politics
- Yahoo
Federal Reserve's Jay Powell urges US university students to protect democracy
Federal Reserve chair Jay Powell called on students to protect democracy while praising American universities as 'a crucial national
Yahoo
25-05-2025
- Politics
- Yahoo
Federal Reserve's Jay Powell urges US university students to protect democracy
Federal Reserve chair Jay Powell called on students to protect democracy while praising American universities as 'a crucial national Sign in to access your portfolio
Bloomberg
22-05-2025
- Business
- Bloomberg
Supreme Court Says Agency Ruling Does Not Apply to Fed
00:00 What does this decision mean for Powell, as we hear from the court about the uniquely structured entity that is the Federal Reserve? Yes. So, I mean, I'm sure that it's a sigh of relief for the Fed, although if we heard you're listening to Jay Powell last month, he was speaking in Chicago and he actually said he sort of predicted this and said that he was confident or had a feeling that the Supreme Court would kind of create some sort of exemption or at least make clear, rather, that the law treated treat the Fed differently. And that's exactly what they did today. They said that the Fed, you know, they just did not apply to the Fed because of their unique structure. And there are referred to them as a quasi private entity, which is true. I mean, the Fed was established by Congress, but there are 12 regional reserve banks that are run by private boards of directors, the Fed board, that is the officials that presumably this ruling would apply to. They are nominated by the president and confirmed by the Senate. But they the law says they can't be removed. They can only be removed for cause. So there was some some question about whether right there that the president had the power to remove them. The Fed has previously said and presumably have had their lawyers look very closely at this, that they can't be fired. So the Supreme Court seems to have agreed with that position today. So even if the Fed is insulated, knowing that this legal fight still has to play out in full, the justices aren't necessarily saying that the president definitively has this power. They're just allowing him to exercise it for now. As these other court challenges play out, are there implications for other agencies beyond the Fed or other regulators? It certainly seems that way. I mean, as you said, it's a it's a stay it's a temporary decision. We'll have to see what the what the final outcome is. We saw that there were a few liberal justices that dissented from this. But clearly, the the direction that the court is headed seems seems to be that they're you know, that they're somewhat sympathetic to this argument that the president has this power. But that's that's the worry, right. That this could have much farther reaching implications than just for these two agencies.
