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Stock Market Today: Rate-Hike Rumblings Rattle the Stock Market – Yahoo Finance

Stocks flipped sharply from green to red Thursday as interest-rate fears swelled again across Wall Street.
Federal Reserve Chair Jerome Powell sent the latest signal that the central bank's next rate hike might be soon, and bigger than usual. Powell told an International Monetary Fund panel that it's "appropriate in my view to be moving a little more quickly" to raise interest rates, adding, "I would say 50 basis points will be on the table for the May meeting."
SEE MORE The 22 Best Stocks to Buy for 2022
The yield on the 10-year Treasury popped in response, from 2.836% to as high as 2.954%.
Initial jobless claims for the week ended April 16 came in at 184,000 – a bit higher for estimates for 182,000, but still historically low and under the previous week's revised 186,000.
"That said, employment metrics have taken a back seat to inflation and interest rate hikes, so the read today is unlikely to move the needle for the market," says Mike Loewengart, managing director of investment strategy for E*Trade.
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Corporate earnings didn't do much to turn the tide. Tesla (TSLA, +3.2%) popped after it reported a record $3.3 billion overall profit and easily beat analysts' consensus earnings estimates. So too did AT&T (T, +4.0%) despite missing on overall revenues; that said, core revenues related to its wireless business improved 2.5% in Q1.
But the major indexes didn't follow suit. Dips in communication services (-2.8%) and technology (-1.8%) weighed most on the Nasdaq Composite (-2.1% to 13,174), though the S&P 500 (-1.5% to 4,393) and Dow Jones Industrial Average (-1.1% to 34,792) sustained sizable declines, too.
YCharts
Other news in the stock market today:
The small-cap Russell 2000 slumped 2.3% to 1,991.
U.S. crude oil futures finished off their highs but still improved by 1.6% to $103.79 per barrel.
Gold futures slipped by 0.4%, settling at $1,948.20 per ounce.
Bitcoin also shed more than all of its morning gains, declining marginally to $41,207.81. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m.
Carvana (CVNA) plummeted 10.1% after the online used car dealer reported a loss of $2.89 per share in its first quarter, wider than the $1.58 per-share loss analysts were expecting. The company beat on the top line, however, bringing in $3.5 billion versus a $3.4 billion consensus estimate. "Carvana is facing several industry-wide and company-specific headwinds that are impacting unit volumes and margins," says Stifel analyst Scott Devitt, who reiterated a Buy rating on CVNA stock. "While near-term trends are challenged, we believe the long-term thesis remains intact as the company continues to capture market share and develop the assets needed to realize significant leverage at scale."
Airline stocks got a lift after positive earnings from United Airlines Holdings (UAL, +9.3%) and American Airlines Group (AAL, +3.8%). While United missed on both the top and bottom lines in its first quarter, the company said it expects to report its highest quarterly revenue and return to a profit in the second quarter. American also reported a wider per-share loss than analysts were expecting in its first quarter, but it beat on revenue and said it expects to post a pre-tax profit in the second quarter. CFRA Research analyst Colin Scarola maintained a Strong Buy rating on UAL, saying its shares are "materially undervalued." The analyst also kept a Hold rating on AAL. "Low efficiency, much higher debt, and a history of negative free cash flow in 2017-2019 leave us preferring AAL's peers to invest in the post-pandemic travel recovery," Scarola writes in a note.
Ever find yourself in an investment rut? Well, if you're looking for fresh investment strategies to tickle your brain cells, turn your eyes toward the exchange-traded fund (ETF) industry, where there's always something new.
SEE MORE 5 Best Bond ETFs for 2022
Indeed, more than 100 ETFs have launched so far in 2022 as the industry sucks up an ever-growing gob of cash – globally, ETFs drew in $305.6 billion in net inflows during the first quarter, marking the second-highest total behind only Q1 2021's record $361.1 billion. That tally also follows 2021's record-breaking annual intake.
"Given back-to-back record-breaking calendar years of net inflows, it is less of a surprise that the supply of ETFs has expanded," says Todd Rosenbluth, head of research at ETF Trends.
Our core ETF recommendations, such as the Kip ETF 20 and the Best ETFs for 2022, are primarily built around established funds and seasoned with the occasional newcomer. But spanking-new ETFs, while unproven, are also worth keeping an eye on given that many of them tend to feature novel investment strategies, emerging industries or cheaper ways to accomplish traditional portfolio goals.
Read on as we highlight nine noteworthy new ETFs that have hit the market in 2022.
SEE MORE The 10 Best Closed-End Funds (CEFs) for 2022
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Tesla may have just confirmed that the biggest impediment to Rivian's growth isn't going away anytime soon.
(Bloomberg) — Global bonds added to this year’s epic rout as traders brace for the most aggressive Federal Reserve interest-rate hikes in 40 years and the likelihood most global central banks will also tighten. Most Read from BloombergKremlin Insiders Alarmed Over Growing Toll of Putin’s War in UkraineThe Second Wave of the Russian Oil Shock Is StartingUkraine Latest: U.S. Says It Has Slowed Tech Goods to RussiaPutin Calls Off Storm of Mariupol With Ukraine Troops SurroundedObamas to Leave Spot
Supply chain issues are hurting the performance of all the major automakers. If you want to look past those headwinds and bet on the long-term potential of the EV market, which is a better stock to buy to do so — Tesla (NASDAQ: TSLA) or Ford (NYSE: F)? Compared to the prior-year quarter, Tesla's deliveries grew 68%.
Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see Ford Motor…
Frax is working on supporting Fantom projects interested in joining the yield pool, its founder confirmed.
Companies that upset employees tend not to get total effort from their staff. On the flip side, businesses that are fantastic to work for receive more effort from employees because workers believe in a mutual benefit. Investors can capitalize on this insight when researching and purchasing stocks: companies that treat their employees well are likely to be solid investments.
Wall Street's ended lower on Thursday, with the Nasdaq dropping more than 2%, as investors reacted to Federal Reserve officials including Chair Jerome Powell offering further signposting of aggressive interest rate hikes this year. A half-point interest rate increase will be "on the table" when the U.S. central bank meets on May 3-4 to approve the next in what is expected to be a series of rate increases this year, Powell said. With inflation running roughly three times the Fed's 2% target, "it is appropriate to be moving a little more quickly," Powell added in a discussion of the global economy at the meetings of the International Monetary Fund.
Baker Mayfield was the No. 1 quarterback on the depth chart when wide receiver Amari Cooper was traded to the Browns last month, but the picture shifted dramatically a short time later. The Browns traded for Deshaun Watson about a week after the Cooper deal and Cooper told reporters on Wednesday that he was happy [more]
Yahoo Finance’s Jared Blikre breaks down how markets opened on Thursday.
Displaying death toll counts alongside highways — like “1669 deaths this year on Texas roads” — may cause a significant uptick in traffic fatalities, a new study in Science has found. The study, which focused on Texas, determined that such signs result in the deaths of an additional 16 drivers and cause about 2,600 added crashes in…
The social-media company’s first-quarter performance was dented by changes in Apple’s privacy policy, the war in Ukraine and inflation pressures.
Evacuation of civilians from Ukraine's Mariupol
(Bloomberg) — China prodded some of the country’s banks, insurers to buy more stocks, stepping up efforts to stem the market’s slide toward a two-year low. Most Read from BloombergKremlin Insiders Alarmed Over Growing Toll of Putin’s War in UkraineThe Second Wave of the Russian Oil Shock Is StartingUkraine Latest: U.S. Says It Has Slowed Tech Goods to RussiaPutin Calls Off Storm of Mariupol With Ukraine Troops SurroundedObamas to Leave Spotify, Seek Podcast Deal ElsewhereThe nation’s securities
Hydrogen fuel cell pioneer Plug Power (NASDAQ: PLUG) is taking investors on a wild ride this week. On Tuesday, the maker of fuel cells for forklifts announced a deal to supply its marquee customer, Walmart (NYSE: WMT), with up to 20 tons of green hydrogen per day. On Wednesday, however, Plug Power quickly began giving back those gains, ending the session down 5%.
The red-hot maker of graphics chips is facing headwinds that range from the aftereffects of pandemic-era spending to waning demand from gamers.
Jessica Reif Ehrlich, a senior media and entertainment analyst at Bank of America, weighs in on CNN+ shutting down and why it never made sense to her to begin with.
The Federal Reserve changed course last month, implementing its first interest rate hike in 3 years, and announcing the end of its long-standing policy of bond purchases – quantitative easing – going forward. The moves are a direct response to high inflation, a necessary shift when the inflation is running at 8.5% annualized. In the meantime, markets are volatile. Stock and bond markets are fluctuating, and we’re starting to see short-term bond yields exceed the long-term. It’s definitely intere
After rising on Tuesday, shares of Nio (NYSE: NIO) shifted into reverse yesterday, and investors currently don't seem interested in changing direction. Officials in Shanghai remain unchanged in their dedication to severe lockdown measures, attempting to stem the spread of COVID-19. Investors, consequently, are concerned that this could affect the company's ability to sustain operations at a nearby factory.
A possible big-ticket acquisition and an analyst's steep price-target cut worried many investors.
When it comes to building wealth, Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) CEO Warren Buffett deserves to be in a class of his own. Although the Oracle of Omaha, as he's come to be known, isn't the wealthiest individual on the planet, he's delivered some of the most eye-popping investment returns over the past six decades. Since becoming CEO of Berkshire Hathaway in 1965, Buffett has overseen the creation of more than $760 billion in value for shareholders (himself included) and generated an average annual return of better than 20% on his company's stock.

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