Here are five key points for investors to consider as they begin trading today:
1. Chop chop
The S&P 500 experienced a somewhat bumpy trading session, ending with a modest gain of 0.43%. The NASDAQ Composite also inched up, adding 284.97 points (0.70%) to the Dow Jones Industrial Average. Notably, a major entertainment company saw its stock rise after exceeding revenue forecasts and showing an unexpected increase in streaming subscribers. Nevertheless, the market faced pressure from Alphabet and Apple, which declined by approximately 7% and 1%, respectively. Stock futures climbed on Thursday following President Donald Trump’s announcement of a forthcoming trade agreement between the US and the UK. Stay tuned for live market updates.
2
Federal Reserve Chair Jerome Powell will hold a press conference after the Federal Open Market Committee convenes on May 7, 2025, in Washington, D.C.
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The Federal Reserve has maintained key interest rates in the 4.25%-4.5% range, a status quo since December. While uncertainties around President Trump’s tariff policies grow, Powell has dismissed the notion of cutting interest rates preemptively, emphasizing that inflation remains above target. “The economy shows resilience. Things are generally looking good. Our position is solid. The risk of waiting for further signs is relatively low,” Powell stated. He added, “I’m not certain how long this will take, but for now, it seems wise to adopt a wait-and-see approach.”
3. AI Strike
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Cybersecurity firm Cloud Strike plans to lay off about 500 employees, representing roughly 5% of its workforce, citing advancements in artificial intelligence as the driving factor behind this decision. CEO George Kurtz mentioned in a note that “AI is central to our operations,” explaining how it accelerates innovation and boosts efficiency across various areas. In a related note, Alphabet’s stock took a hit on Wednesday, while Eddy Que, Apple’s Service Chief, suggested that AI-driven search engines might eventually overtake traditional search engines like Google.
4. Switch
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Nintendo aims to sell 15 million Switch 2 consoles by the end of the fiscal year in March 2026, marking the first sales forecast since announcing new hardware arriving in June. The upgraded Switch 2, starting at $449.99 in the US, boasts enhanced functionality. However, investors will be keen to observe how tariffs could impact the company, with Nintendo’s projections based on US tariff levels as of April 10, following Trump’s suspension of mutual taxation plans.
5. I’ve used up
A Chevrolet sitting in a dealership lot in Chicago on June 20, 2024. Cyberattacks on CDK Global, a software provider for dealers, have severely disrupted operations for around 15,000 dealerships in the US and Canada.
Scott Olson | Getty Images News | Getty Images
The index tracking used vehicle prices has hit its highest point since October 2023, as many consumers feel pressured to purchase as quickly as possible. Cox Automotive reports a 4.9% year-over-year increase in its vehicle value index, with a 2.7% rise since March. Typically, this index fluctuates only about 0.2% monthly. Since tariffs impact new imported vehicles and various auto parts, price changes in new cars also affect the used car market, which is particularly significant as many Americans prefer used vehicles.
– CNBC’s Pia Singh, Jeff Cox, Darla Mercado, Sean Conlon, Jordan Novet, Kif Leswing, Arjun Kharpal contributed to this report.
