April 19, 2024

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5 things to know before the stock market opens Thursday, April 7

5 things to know before the stock market opens Thursday, April 7

Here are the top news, trends and analysis that investors need to start their trading day:

1. Wall Street looks flat after two days of Fed-led selling

Traders work on the floor of the New York Stock Exchange (NYSE) in New York, March 29, 2022.

Brendan McDermid | Reuters

US stock futures It was relatively stable on Thursday, as Wall Street tried to avoid a three-session losing streak. The Nasdaq Leading the sell-off over the past two days as Federal Reserve He began to cast a tighter tone – It fell 2.2 percent on Wednesday, a day after a decline of about 2.3 percent.

  • After a number of Federal Reserve officials called for more aggressive tightening to fight inflation, the central bank called Minutes from the March meeting She noted a general agreement to cut its massive budget by $95 billion a month.
  • The minutes also showed that Fed officials were considering raising interest rates by 50 basis points more than usual after increasing last month’s 25 basis points, the first increase in more than three years.

2. Treasury yield spread remains inverted after jobless claims data

Historically, these reversals occurred before economic recessions. With the job market strong, the Fed may have room to slow the economy to fight inflation — slowing down its dual mission of boosting maximum employment and controlling prices. The central bank is expected to raise interest rates at all of its remaining six meetings this year. The size of those increases is the real question.

3. Warren Buffett’s Berkshire Hathaway Unveils Significant Stake in HP

Warren Buffett at Berkshire Hathaway’s annual meeting in Los Angeles, California. May 1, 2021.

Gerard Miller | CNBC

Warren BuffettBerkshire Hathaway’s subsidiary Berkshire Hathaway launched a major stake in technical hardware inventory HP Inc.to become the largest shareholder in the maker of computers and printers. Berkshire Purchase of approximately 121 million shares of HP, or approximately 11%, According to stock deposits, a share worth approximately $4.2 billion based on HP’s closing share price on Wednesday. That’s before a 15% jump in HP shares in the premier market Thursday after news broke hours after the closing bell. Berkshire has become more active in recent months, as it announced a deal to buy an insurance company the rich In exchange for $11.6 billion, the acquisition of shares in an energy company Occidental Petroleum.

4. Shell announces write-down of up to $5 billion in assets after its exit from Russia

Royal Dutch Shell Products in Torzhok, Russia.

Andrei Rudakov | Bloomberg | Getty Images

seashells On Thursday, it said it would cancel between $4 and $5 billion after its withdrawal from Russia. The announcement offers a first glimpse into the potential financial impact of the Western oil giants who have exited Russia after provoking Moscow. Invasion of Ukraine. More details about the impact of ongoing developments in Ukraine will appear in Shell’s first-quarter earnings report on May 5, The company said. Shell previously estimated that cuts in Russia would amount to $3.4 billion. Last month, Shell was forced to apologize for its purchase of heavily discounted Russian oil, and later announced its withdrawal from Russia.

5. Ukraine asks NATO for more weapons while Russia regroups for eastern offensive

A funeral service employee looks at the bodies of civilians, collected from the streets into the local cemetery, as Russia’s offensive on Ukraine continues, in the town of Bucha, outside Kyiv, Ukraine, April 6, 2022.

stringer | Reuters

Ukraine on Thursday Appealed to NATO for more weapons in its war against Russia to help prevent further atrocities such as those reported in Bucha, outside Kyiv. Western countries provided Ukraine with portable anti-tank and anti-aircraft weapons, but were reluctant to supply planes, tanks, or any other equipment that required training in their use.

  • Russian forces, failing to quickly capture the Ukrainian capital, regrouped to launch an offensive in eastern Ukraine, as early in their incursion Moscow recognized the Luhansk and Donetsk regions as independent states.

CNBC correspondents Yun LeeAnd the Jeff CoxAnd the Samantha SobinAnd the Hana MiuAnd the Jesse PoundAnd the Elliot Smith And the Silvia Amaro The Associated Press also contributed to this report.

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