10 May 2019

1) Uber raised $8.1 billion in it’s IPO (Initial Public Offering), which was priced near the bottom of the range. Uber sold 180 million shares at $45 each, making its listing among the 10 largest U.S. IPOs. This gives Uber a market value of $75.5 billion dollars, however Uber is deeply unprofitable with $3.04 billion dollars in losses last year.

2) Traders wait to see if President Trump hikes tariffs today. U.S. equity futures were little changed this Thursday while traders wait for the midnight deadline when tariffs are scheduled to take effect. These tariffs will be imposed on $200 billion dollars worth of Chinese goods. Fears are that market reaction will be severe, which either way the tariffs goes.

3) The U.S. trade deficient has widened to $50 billion dollars in March, up 1.5% from February. Economists had anticipated the U.S. trade deficit to fall, but much of the increase came from higher crude imports.

4) 9 MAY 19 Stock market closings:

Dow              25,828.36    down    138.97
Nasdaq           7,910.59    down      32.73
S&P 500          2,870.72    down        8.70

10 Year Yield:    down   at    2.46%

Oil:    down   at    $61.68

US FEDERAL RESERVE INCREASES INTEREST RATE !!!!!!!!!!!!

federal-reserve pic

By: Economic & Finance Report

The Federal Reserve has raised important interest rates because the US economy has increased drastically. This is the second time the FED has raised interest rate benchmarks since 2008.  The Fed indicated that next year in 2017, the interest rate will raise again also.

The benchmark had been 0.50%, now with the recent increase the benchmark will be 0.75%. When it comes to low rates, it helps the economy because it provides an environment for growth economically . This in turns allows businesses to borrow to finance deals, products, services, expansion, and leads toward enabling their businesses to take risk in growing their enterprises.

The interest rate being raised was on par to what many analysts and economists predicted, the economy improving as it is these days made sense for the interest rate to increase according to many experts. -SB