MACRO & FED
Ibtimes.com.au
15 Oct 2026 · 21:46
Dow Edges Up as S&P 500 and Nasdaq Slip on Hotter-Than-Expected Inflation, Bank of America Shares Tumble
NEW YORK — The Dow Jones Industrial Average edged higher in early trading Wednesday, while the S&P 500 and Nasdaq fell after a report showed inflation running hotter than expected in September and Bank …
NEW YORK — The Dow Jones Industrial Average edged higher in early trading Wednesday, while the S&P 500 and Nasdaq fell after a report showed inflation running hotter than expected in September and Bank of America shares tumbled following a $1.2 billion regulatory penalty.
The Dow was up 59.82 points, or 0.12%, at 51,729.92 as of 9:56 a.m. Eastern time. The S&P 500 fell about 0.4%, and the Nasdaq composite dropped about 0.7%, extending recent losses in technology stocks.
The market had closed slightly lower Tuesday. The Dow fell 179.56 points, or 0.35%, to 51,670.99, the S&P 500 slipped 0.02% to 7,805.65, and the Nasdaq lost 0.15% to 27,204.38.
Inflation tops forecasts
The consumer price index rose 3.7% in September from a year earlier, above the 3.6% economists had expected, according to the Labor Department report released before the opening bell.
Core inflation, which excludes volatile food and energy prices, rose 0.3% for the month and 2.6% from a year earlier. Both figures exceeded economists' expectations of 0.2% and 2.5%, respectively.
The hotter-than-expected figures add pressure on the Federal Reserve, which has been weighing whether further interest rate increases are needed to bring inflation under control. Before the report, traders priced in about a 22% chance of a quarter-point rate hike at the Fed's meeting next week, according to the CME FedWatch Tool.
Treasury yields rose after the inflation data, reflecting concerns that the Fed may keep rates higher for longer or raise them further. Higher yields tend to weigh on stock valuations, particularly for technology and other growth companies.
Energy costs have been a key driver of inflation, with oil prices remaining above $100 a barrel amid tensions in the Middle East.
Bank of America slides
Bank of America shares fell sharply after the bank reported that its third-quarter profit dropped 17% from a year earlier. The results were weighed down by a $1.2 billion penalty from federal regulators and a slowdown in trading and investment banking revenue, which offset higher lending income.
The penalty, announced Tuesday evening by the Treasury Department, stemmed from failures in the bank's safeguards against money laundering and other illicit financial activity. Regulators said the bank failed to report more than $5 billion in suspicious transactions.
Excluding the penalty, Bank of America said it earned $8.1 billion, or $1.08 per share, with adjusted earnings per share rising 4% from a year earlier. The stock fell as much as 7% in early trading.
Mixed results from other financial firms
Morgan Stanley reported third-quarter results that beat Wall Street's expectations, with revenue of $20.34 billion. Its shares were slightly lower in early trading despite the stronger-than-expected results.
BlackRock, the world's largest asset manager, also beat expectations, sending its shares up nearly 5% in premarket trading.
The results continue a busy stretch of financial earnings. On Tuesday, JPMorgan Chase reported its first quarterly earnings miss in nearly three years, while results from Goldman Sachs, Citigroup and Wells Fargo were mixed.
Technology stocks under pressure
Technology shares extended their recent slide, weighing on the Nasdaq. Memory chip stocks continued to fall amid concerns about rising competition from China.
Chip equipment maker ASML reported record third-quarter sales and raised its full-year outlook on strong demand tied to artificial intelligence, but its shares fell in early trading.
Investors are awaiting results from Taiwan Semiconductor Manufacturing on Thursday for further signals on the strength of AI-related demand. The chipmaker is a key supplier to many of the world's largest technology companies.
Why the Dow outperformed
The Dow's modest gain contrasted with losses in the broader market, in part because the index is weighted by share price and includes fewer of the technology companies that have led recent declines. Gains in several of its components helped offset Bank of America's slide.
The divergence reflects a market caught between solid corporate earnings in some sectors and growing concern about inflation and interest rates.
Fed in focus
Investors will also watch for the Federal Reserve's Beige Book, a summary of economic conditions across the country, scheduled for release Wednesday afternoon. The report could offer further insight into how businesses are coping with higher energy costs and interest rates.
The Fed's next policy decision is scheduled for next week. Wednesday's inflation data is likely to factor heavily into that decision.
What's ahead
The producer price index, which measures inflation at the wholesale level, is scheduled for release Thursday. Earnings season will also continue, with Taiwan Semiconductor among the major companies reporting results.
Stocks remain near record levels despite recent volatility. The S&P 500 reached an all-time high earlier this month, and the Dow is up more than 12% over the past year.
MACRO & FED
Yahoo Entertainment
15 Oct 2026 · 21:46
Car payments just hit a record $787 a month—and 1 in 4 new-car buyers is now signing a 7-year loan
American drivers face a daunting market. The average monthly payment on a financed new car hit a record $787 in the third quarter, according to Edmunds, up from $777 in the second quarter and …
American drivers face a daunting market. The average monthly payment on a financed new car hit a record $787 in the third quarter, according to Edmunds, up from $777 in the second quarter and $756 a year earlier.
Buyers are also borrowing more than ever. The average amount financed climbed to a record $44,664, while the average new vehicle sold for $50,562 in September, per Kelley Blue Book, just $52 shy of the all-time high. Nationwide, auto loan balances reached $1.71 trillion in the second quarter, according to the New York Fed, roughly 56% more than a decade earlier.
For Joseph Yoon, consumer insights analyst at Edmunds, the math is brutally simple: Vehicle prices sit near record highs, and interest rates remain stubbornly elevated, with the average new-car APR holding at 7%.
"Mix those things together and then you get record-high monthly payments," Yoon told Fortune. "Just how the math works out."
The road that led to record car payments
So how exactly did we arrive here? Yoon points to the pandemic as a significant precursor to the state of car sales. When factories shut down and parts ran short, manufacturers faced a choice: build fewer cars, or build the ones with higher margins. They chose the latter.
"Automakers realize, 'Hey, even if we lose a couple million units across the board, if we have high margins, our profits look great,'" Yoon said. "And that's perfectly fine. But as consumers, we drew the short straw, and have to pay for elevated prices."
The result: New vehicles now cost about 30% more than they did six years ago, as Fortune has reported.
For buyers struggling to afford today's prices, the dealership finance office offers a tempting solution: stretch the loan.
Indeed, a record share of new-car buyers decided that a seven-year loan sounded less scary than the alternative. In the third quarter, 25.5% of financed new-car purchases carried terms of 84 months or more, according to Edmunds, up from 23.9% the prior quarter and 21.8% a year earlier. Even so, a record 21.2% of buyers committed to monthly payments of $1,000 or more.
But longer terms carry consequences, some of which aren't immediately obvious.
"The longer you have a loan term, technically the longer you're paying just toward interest, not toward the principal of the loan, especially when the interest rates are so high," Yoon said.
The average amount of interest paid over the life of a new-car loan reached a record $9,938 in the third quarter, up from $9,442 a year earlier, Edmunds found. That increase came even though rates didn't budge; Edmunds attributed it to buyers financing larger amounts over longer periods.
MACRO & FED
Biztoc.com
15 Oct 2026 · 21:46
Surging Inflation Complicates Trump’s Final Push to Sell Voters on Strong Economy
The final inflation report before the 2026 election — showing price increases and stagnant wages — spelled bad political news for the White House. The final inflation report before the 2026 election showing price …
The final inflation report before the 2026 election — showing price increases and stagnant wages — spelled bad political news for the White House. The final inflation report before the 2026 election showing price increases and stagnant wages spelled bad political news for the White House.
This story appeared on nytimes.com, 2026-10-14 14:01:19.
MACRO & FED
Project Syndicate
15 Oct 2026 · 21:46
How Worried Should We Be About the Global Economy?
The risks to the global economy—including high inflation, soaring public debt, market concentration, and geopolitical volatility—are well known. But it is worth underscoring just how rare and dangerous it is for all of them …
The risks to the global economy—including high inflation, soaring public debt, market concentration, and geopolitical volatility—are well known. But it is worth underscoring just how rare and dangerous it is for all of them to be salient at the same time. Oct 14, 2026Dambisa Moyo
The risks to the global economyincluding high inflation, soaring public debt, market concentration, and geopolitical volatilityare well known. But it is worth underscoring j…
MACRO & FED
Slashdot.org
15 Oct 2026 · 21:46
CPI Report Today: Investors Await Latest Inflation Report; Bank Earnings Roll In — Live Updates - WSJ
CPI Report Today: Investors Await Latest Inflation Report; Bank Earnings Roll In — Live UpdatesWSJ CPI Report Live Updates: High Energy Prices Pushed Inflation to 3.7% in September Ahead of MidtermsThe New York Times …
CPI Report Today: Investors Await Latest Inflation Report; Bank Earnings Roll In — Live UpdatesWSJ CPI Report Live Updates: High Energy Prices Pushed Inflation to 3.7% in September Ahead of MidtermsThe New York Times Inflation got worse in September as consum… The Fine Print: The following comments are owned by whoever posted them. We are not responsible for them in any way.
MACRO & FED
Biztoc.com
15 Oct 2026 · 21:46
US inflation rose to 3.7% in September in blow to Republicans before midterms
Final inflation report before voters go to polls comes amid widespread anger over cost of living under Trump Send us your questions on how the US economy is shaping the midterm elections Republicans are …
Final inflation report before voters go to polls comes amid widespread anger over cost of living under Trump
Send us your questions on how the US economy is shaping the midterm elections
Republicans are entering the midterm elections with the highest rate of … Final inflation report before voters go to polls comes amid widespread anger over cost of living under TrumpSend us your questions on how the US economy is shaping the midterm electionsRepublicans ar…
MACRO & FED
The Times of India
15 Oct 2026 · 21:46
India's WPI inflation surges to record high of 11.39% in September on higher food, fuel prices
India's wholesale price index-based inflation surged to 11.39% in September due to higher food, manufactured items, and energy prices. Wholesale inflation has risen significantly amidst global commodity inflation linked to the ongoing West Asia …
India's wholesale price index-based inflation surged to 11.39% in September due to higher food, manufactured items, and energy prices. Wholesale inflation has risen significantly amidst global commodity inflation linked to the ongoing West Asia conflict. The … EMI CalculatorDetermine the monthly installment amount for a loan
MACRO & FED
Slashdot.org
15 Oct 2026 · 21:46
Stock market today: Hot inflation report drops tech, drives S&P 500, Nasdaq down - Yahoo Finance
Stock market today: Hot inflation report drops tech, drives S&P 500, Nasdaq downYahoo Finance Here's the inflation breakdown for September 2026 — in one chartCNBC CPI Report Live Updates: New Insights on Inflation, U.S. …
Stock market today: Hot inflation report drops tech, drives S&P 500, Nasdaq downYahoo Finance Here's the inflation breakdown for September 2026 — in one chartCNBC CPI Report Live Updates: New Insights on Inflation, U.S. Economy and the FedThe New York Times I… The Fine Print: The following comments are owned by whoever posted them. We are not responsible for them in any way.
MACRO & FED
Biztoc.com
15 Oct 2026 · 21:46
What to make of September CPI and the latest wave of bank earnings
Yahoo Finance Executive Editor Brian Sozzi takes a look at the biggest stories as the trading day kicks off, weighing in on the latest inflation reading, earnings results from Morgan Stanley (MS) and Bank …
Yahoo Finance Executive Editor Brian Sozzi takes a look at the biggest stories as the trading day kicks off, weighing in on the latest inflation reading, earnings results from Morgan Stanley (MS) and Bank of America (BAC), and more.
Sozzi also sits down with … Yahoo Finance Executive Editor Brian Sozzi takes a look at the biggest stories as the trading day kicks off, weighing in on the latest inflation reading, earnings results from Morgan Stanley (MS) and…
MACRO & FED
Crooksandliars.com
15 Oct 2026 · 21:46
Fox Business Panics Over Inflation Report
On the Fox Business Network's Big Money in the Morning program, the panel were aghast at the latest inflation data, admitting inflation is outpacing workers' wages and worrying about an interest rate hike right …
On the Fox Business Network's Big Money in the Morning program, the panel were aghast at the latest inflation data, admitting inflation is outpacing workers' wages and worrying about an interest rate hike right before the midterms.
Normally, they try to put lipstick on the pig when covering the horrible Trump economy, but they decided to inject some honesty into their report after consumer prices rose 3.7% for the year.
So 45% odds of an October rate hike now that obviously is a number that changes all the time. 45% in October? Up from a 21% chance. They're going to hike in the month before the midterms? I said it was 22%. 22%. I do not, I do not see that. I know you don't like headline, but if this is now the biggest jump since May, it is outpacing workers' wages. We've talked about how real wages for now, average hourly earnings for September are down 7 tenths of 1% year over year.
Ouch!
Fox News and the rest of the right-wing establishment are deathly afraid that the Fed will raise rates before the midterms.
And they should be.