The number of jobless claims increased last week; ongoing claims hit their highest level since February
The number of recent jobless claims surged last week as the Federal Reserve tries to chill down the economy and the labor market in particular.
The number of first-time jobless claims totaled 225,000 in the week ending December 24, the Labor Department said on Thursday. This is a rise of 9,000 from the previous week and barely above the Dow Jones estimate of 223,000.
Long-term ongoing claims, every week below the headline, rose to 1.71 million, up 41,000 to its highest level since early February.
Numbers right now of yr are at all times noisy as a result of the holidays. The number of unseasonally adjusted claims increased by 23,146, a rise of 9.3%.
—Jeff Cox
Stocks making the biggest pre-market moves
Here are the stocks that make the biggest moves before the bell:
- Tesla – Tesla reaped 4.4% in the premarket after posting its first gain in eight sessions on Wednesday, softening the blow to its stock in what’s going to proceed to be the worst yr for Tesla stock.
- Cal-Maine Foods – Cal-Maine fell 4.9% in premarket trading after its quarterly earnings fell below Wall Street forecasts. Cal-Maine posted record sales this quarter.
- Apple – Apple posts 1% gain in pre-market trading after closing Wednesday at a 1.5-year low. Apple is down 29% in 2022
Take a look at the full list for more Thursday morning moves.
— Peter Schacknow, Tanaya Maceel
The brand new energetic ETF targets the booming battery market
Electric vehicle shares could have fallen in 2022, but with the arrival of Element EV, Solar & Battery Materials (lithium, nickel, copper, cobalt) Futures Strategy ETF for investors, it continues to grow.
The fund, scheduled to start out trading on Thursday, charges a management fee of 0.95% and shall be listed on the NYSE Arca under the ticker “CHRG”. The fund will buy and sell futures and related products on minerals and metals that are essential for electric vehicles.
Element Funds was co-founded by Will McDonough, a Goldman Sachs veteran, and the portfolio management team will include co-founders John Raymond and John Calvert of Energy & Minerals Group, a Houston-based private equity firm with $13 billion in assets.
The fund’s energetic strategy differentiates it from the KraneShares Electrification Metals Strategy ETF, which was launched in October and tracks the Bloomberg Electrification Metals Index. To date, the fund has performed well, but its turnover has been small and its assets under management amounted to lower than USD 30 million.
“It is not something you’ll be able to play passively. Battery technology matures day by day,” McDonough said, adding that the portfolio shall be adjusted monthly.
Along with lithium futures, the fund can even trade other metals, with a deal with copper, said McDonough, who can also be the CEO of Element Funds.
“The copper requirement of any electric vehicle is greater than double that of a conventional automotive. People wish to discuss the history of lithium – it’s each copper and lithium history,” McDonough said.
Outside of Goldman Sachs, McDonough’s profession includes periods at Marc Lasry’s Avenue Capital as a wealth manager for skilled athletes including Tom Brady, and as a blockchain entrepreneur.
— Jesse Pound
European markets slide as caution abounds at the end of the yr
European markets pulled back on Thursday as caution returned to global equities, with investors assessing a variety of likely headwinds in 2023.
Pan-European Stoxx 600 the index fell 0.5% early in trading and food and beverage stocks lost 1%, resulting in losses as nearly all sectors and major exchanges fell into the red.
The European blue chip index began Thursday’s session down greater than 12% yoy.
– Elliot Smith
CNBC Pro: Tesla or Rivian? Professionals predict what 2023 will seem like for each stocks
It has been a tumultuous yr for electric vehicle stocks and two investor favourites, Tesla and Rivianwere no exception.
What’s going to the coming yr seem like for each stocks? CNBC Pro spoke to analysts and checked out Wall Street research to seek out out.
CNBC Pro subscribers can read more here.
— Weizhen Tan
CNBC Pro: Tech is ‘down, but in no way’ – watch these stocks in 2023, says fund manager
It has been a foul yr for tech corporations, and lots of investors have been wondering when tech stocks will bounce back.
Tech fund manager Jeremy Gleeson of AXA Investment Managers told CNBC Pro Talks last week that he still believes in the sector.
It explains why and lists the stocks to purchase.
CNBC Pro subscribers can read more here.
— Weizhen Tan
All 11 sectors in the S&P 500 fell in the week and month
11 sectors of the S&P 500 suffered in regular trading on Wednesday, pulled by energy corporations.
Significant declines in the energy sector include EQT, which is down 7.8%, and APA, which is down around 5.2%. The losses were accompanied by falling prices of West Texas Intermediate and Brent oil, in addition to natural gas.
Eleven sectors get stuck as the week involves an end. They are all down for every week, pulled by communications services which are down by almost 2.7%. All sectors are also negative in December, with discretionary consumption leading the categories up and down by around 13.3%.
Nonetheless, the energy shines for the fourth quarter and yr. This is a rise of 19.6% in the last three months of the yr and a rise of roughly 56.4% in 2022.
–Darla Mercado, Chris Hayes
Cal-Maine’s latest results show that buyers are paying nearly twice as much for a dozen eggs
How is inflation today?
Consumers are paying roughly twice as much for a dozen eggs as they did a yr ago, driven in part by greater demand for specialty eggs. latest results from Cal Maine foodthe country’s largest egg producer.
The typical sale price of each dozen eggs reached $2.71 in the quarter ended November 2022, up from $1.37 in the same quarter last yr. This increase outpaced the increase in feed costs, which has been increasing rapidly in recent years.
Supply and demand drive prices up.
While avian flu has hurt industry supplies, Cal-Maine continues to see huge demand – especially for premium specialty eggs. Conventional egg volumes were actually down 2% this quarter, while special eggs saw a 24% increase.
There are several reasons for this. Conventional egg prices are rising a lot that they exceed the prices of special eggs. The typical price for conventional eggs in Cal-Maine last quarter was $2.88 – greater than 21% higher than the current price of $2.37 for specialty eggs.
So why pay for a standard egg when you’ll be able to get a less expensive specialty egg? Cal-Maine identified that the phenomenon has been a surprising trend recently: “Conventional egg prices exceeding specialty egg prices have occurred in the last three quarters, but are unusual in history.”
Also increased demand for specialty eggs – cage-free egg orders in California and Massachusetts in January, in addition to the trend of “more retailers shifting to selling more cage-free products.”
Cal-Maine shares are up 68% in 2022. Still, shares are down about 5% in Wednesday’s prolonged trading.
—Robert Hum, Sarah Min
Stock futures open higher
US stock futures opened Wednesday evening as traders approach the final trading days of 2022.
The Dow Jones Industrial Average futures gained 38 points, or 0.09%. S&P 500 and Nasdaq 100 futures rose 0.12% and 0.15%, respectively.
— Sarah Min