Despite opening in the green on Thursday, US markets fell back once again yesterday as concern surrounding inflation and monetary policy continued to spook investors.
US Treasury Secretary Janet Yellen hinted at upcoming changes in fiscal policy on Thursday, telling CNBC:
"Inflation rose by more than most economists, including me, expected and of course it's our responsibility with the Fed to address that. And we will".
Meanwhile, disappointing earnings from Netflix (NASDAQ: NFLX) have only added to the morose mood after the bell.
Data on initial jobless claims was also cause for caution, with the numbers showing a three month high in newly unemployed American workers. While this could simply be the quick impact of the Omicron variant, it may hint at longer term trends.
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Here are some of today’s top stories:
Netflix (NASDAQ: NFLX) shares have tumbled after the streaming service warned of drastically slowing subscriber growth in its first quarter earnings.
Shares in Peloton (NASDAQ: PTON) have also taken a dive after CNBC reported that the company will temporarily halt production of new units. However, Peloton has since branded the information in the report “incomplete, out of context, and not reflective of Peloton's strategy”.
Luminar Technologies (NASDAQ: LAZR) has signed a deal with Mercedes Benz to develop automated driving technology for the luxury carmaker’s vehicles.
Intel (NASDAQ: INTC) has announced plans to invest $20bn in two new advanced chip manufacturing sites in Ohio as part of its response to global chip shortages.
Bitcoin (BTC) has seen its value fall below the $40,000 mark and to the lowest level since August 2021, with most other digital currencies in the red as well.
Russia is the latest nation to move towards a clampdown on cryptocurrencies. The country’s central bank announced its intention to pursue a ban on crypto mining, warning that the volatility of the currencies threatened its citizens’ financial stability.
Twitter (NYSE: TWTR) has added unique profile picture features for verified NFT owners, as well as launching an authentication service.
Asian market news:
In Japan, shares in Toyota (TKY: 7203) fell after the carmaker confirmed that it could slow production at as many as 11 of its factories in the country. Toyota said it had been affected by COVID infections among its own workforce and that of suppliers.
Chinese tech stocks, like Alibaba (HK: 9988) and NetEase (HK: 9999) fell in Hong Kong overnight, following their US peers downwards. On the other hand, Macau-based casino operators such as Las Vegas Sands (HK: 1928) have surged this week.