Panoramic view from the Mesas in Alaska, USA, on September 27, 2024.
Hassan Akbas | Anadolu | Getty Images
This report comes from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open keeps investors updated on everything they need to know, no matter where they are. Like what you see? You can subscribe here.
What you need to know today
Most markets fell except Nasdaq
The US market is tuesday mix. this S&P 500 Index and Dow Jones Industrial Average Down slightly, but close to flatline. However, Nasdaq Index Add 0.18%. Pan-European Stoxx 600 fell 0.21%. German software company SAP rose 2.1% after the news Strong profit in third quarterwhile Maersk fell 3.1% despite raising its full-year forecast.
Inflation is slowing, but so is growth
Most countries in the world have try to reduce inflationAccording to the International Monetary Fund. The agency said on Tuesday that overall global inflation will fall to 3.5% by the end of 2025 from an average of 5.8% in 2024. The International Monetary Fund forecasts global economic growth of 3.2% in 2024 and 2025, calling this a “stable but flat” figure.
drive forward
shares General Motors The stock price soared nearly 10% after the financial report was released. american automaker Easily beat Wall Street expectations its third-quarter earnings and revenue. With such positive results, General Motors raised its profit guidance for 2024 – third time That’s what it’s doing this year.
Norwegian fund profits $76 billion
According to reports, the world’s largest sovereign wealth fund, the Norwegian Government Pension Fund Global Profit of NOK 835 billion in the third quarter ($76.3 billion). The fund attributed the numbers to lower interest rates driving the stock market’s gains. Still, the fund’s third-quarter return was 4.4%, 0.1 percentage point below the benchmark set by Norway’s finance ministry.
(PRO) Politics is as important as profits
The United States will vote to elect its next president in about two weeks. The environment for businesses and markets will be very different depending on who becomes the nation’s 47th president and which party gains control of Congress. As a result, Bank of America believes investors should take an active role in picking stocks election trading.
bottom line
this Standard & Poor’s The company’s shares are up more than 22% so far this year and have broken multiple closing records on the way to their peak.
Still, the composite index’s gains have slowed in recent days. On Tuesday, the S&P fell 0.05%, its first consecutive decline since early September.
When the meeting is suspended, barclays bank “We recommend staying on the sidelines for now. We think investors are likely to do the same; the risk rally should stall in the coming weeks,” they wrote.
However, it can still come back to life when a fast-moving vehicle stalls. Notably, all major U.S. stock indexes are trading above their 50- and 200-day moving averages, indicating they have forward momentum.
indeed, UBS Wealth Management this month upgraded U.S. stocks to attractive from neutral. “We believe a ‘no landing’ scenario would be positive for U.S. and global equities,” said Mark Haefele, chief investment officer at UBS Great Wall.
“There are signs that the long-term trend growth rate may be higher than previously estimated,” Heifler added.
The International Monetary Fund also believes that U.S. economic growth will remain strong. in its latest world economic outlookThe IMF raised its 2024 GDP forecast for the United States to 2.8% from 2.6% in July, and also raised its growth forecast for the country in 2025. It is the only developed economy to have its economic trajectory upgraded by the International Monetary Fund for two consecutive years.
We have American consumers to thank for that. “The elasticity of consumption is largely the result of strong real wage growth,” the IMF wrote in its report.
With the presidential election approaching and stock valuations elevated, the outlook for the market could be tough right now. But S&P may stick to climbing the rocky ridges of the rising mountains.
—CNBC’s Brian Evans, Hakyung Kim, Pia Singh and Samantha Subin contributed to this report.
