Federal Reserve System

Younger generations grew their wealth much faster than older Americans after the pandemic began, thanks largely to stocks, according to a new study.The total wealth of Americans under 40 surged by 80%, to $9.5 trillion, between the first quarter of 2019 and the third quarter of 2023, according to a study by the New York Federal Reserve. The wealth increase far outpaced that of older generations. Americans between the ages of 40 and 54 saw their wealth increase just 10% over the same period, and those over 55 had wealth…

Federal Reserve Board Chairman Jerome Powell departs after speaking during a news conference following the Federal Open Market Committee meeting, at the Federal Reserve in Washington, DC, on June 14, 2023. Mandel Ngan | AFP | Getty ImagesThe Federal Reserve plans to keep hiking interest rates to stem inflation, which means an increase in corporate default rates is likely in coming months.The corporate default rate rose in May, a sign that U.S. companies are grappling with higher interest rates that make it more expensive…

Bob Michele, Managing Director, is the Chief Investment Officer and Head of the Global Fixed Income, Currency & Commodities (GFICC) group at JPMorgan.CNBCTo at least one market veteran, the stock market's resurgence after a string of bank failures and rapid interest rate hikes means only one thing: Watch out.The current period reminds Bob Michele, chief investment officer for JPMorgan Chase's massive asset management arm, of a deceptive lull during the 2008 financial crisis, he said in an interview at the bank's New…

dowell | Moment | Getty ImagesInvestors have many options when saving for short-term goals, and those choices have become more complicated amid high inflation and rising interest rates.While there have been signs of slowing inflation, the Federal Reserve is expecting higher interest rates to continue."It looks like this year might be a little tricky," said Ken Tumin, founder and editor of DepositAccounts.com, a website that tracks the most competitive options for savings.  More from Personal Finance:Strategies that can…

Inflation in the United States hit a record high in June 2022. Consumer prices soared by 9.1% compared with a year prior — the largest annual increase since 1981. While wages are rising, they're not keeping up with inflation. Wage growth has been consistent with an inflation rate of about 4.5%. Meanwhile, as of November, inflation was at 7.1%.Americans are feeling the brunt at the grocery store and gas station and with rent payments, too. Two-thirds of workers said their pay isn't keeping up with these higher prices. So…

From rising inflation to a red-hot job market and the negative gross domestic product in between, economists are divided on the health of the U.S. economy."There has been a lot of talk recently that we're in a recession. We have two quarters of declining GDP that often happens with the recession. ... But we have job growth that is incredibly strong. We have an unemployment rate that is a 50-year low," Claudia Sahm, founder of Sahm Consulting and a former Federal Reserve Board economist, told CNBC.A top concern for…

london, ukPeter Muller | Image Source | Getty ImagesFew things cause more financial distress and anxiety than a large slug of high-interest rate credit card debt.Millions of Americans of all income levels carry large balances on credit cards that charge very high interest rates. According to Federal Reserve data, the average annual percentage rate on cards issued by commercial banks was 16.45% at the end of last year, and rates charged by store credit cards can be well over 20%.While card balances fell significantly from…

Here are the most important news items that investors need to start their trading day.1. Earnings and stocksTraders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., June 30, 2022. Brendan Mcdermid | ReutersEarnings season kicks off this week as several big companies, including major Wall Street banks, report quarterly results. Futures were down Monday after Friday brought a stronger-than-expected jobs report and an overall winning week for stocks. While the second half has gotten off to a…

Traders on the floor of the NYSE, July 6, 2022.Source: NYSEHere are the most important news items that investors need to start their trading day:1. Can stocks stay on a winning streak?The S&P 500 has posted gains for four straight trading days heading into Friday's session, offering investors glimmers of hope that equities could be rebounding in earnest after the worst first half for stocks in more than five decades. Futures were mixed before Friday's open on Wall Street. Stocks in the premarket dipped as bond yields…

The Federal Reserve recently raised interest rates by three-quarters of a percentage point, the most aggressive hike since 1994. This rise puts the key benchmark federal funds rate at a range between 1.5 and 1.75%.The Fed's intention is to help combat inflation.Watch this video to find out what rising interest rates mean for you. The Federal Reserve recently raised interest rates by three-quarters of a percentage point, the most aggressive hike since 1994. This rise puts the key benchmark federal funds rate at a range…