Banks on Wall Street report bumper second-quarter profits

BANK BOSSES were full of good cheer as they reported their second-quarter earnings on July 13th and 14th. “The consumer…their house value is up, their stocks are up, their incomes are up, their savings are up…they’re raring to go,” said Jamie Dimon, the boss of JPMorgan Chase, when analysts asked about the risk that economic growth might slow in the coming months. David Solomon, the chief executive of Goldman Sachs, sounded upbeat when asked if an executive order from the White House seeking to increase competition among businesses might cool feverish dealmaking activity: “I’m encouraged by the fact that

Read More

Report of the Task Force on Financial Stability

Following the Global Financial Crisis of 2007-09, the U.S. and other economies shored up the resilience of their banks through more demanding capital and liquidity requirements and rigorous stress testing. The disruptions of financial markets at the onset of the pandemic in March 2020 underscored the vulnerabilities of markets and institutions that comprise the important—and growing—nonbank sector of the financial system through which much credit to businesses, households, and government flows.

The Task Force on Financial Stability was formed before the pandemic, in October 2019, by the Hutchins Center on Fiscal & Monetary Policy at the Brookings Institution and the

Read More

Dow Jones Futures Rise As Market Rally Nears Record Highs; Nvidia, Google Are Buys; Tesla Rivals Nio, Xpeng Report Sales

Dow Jones futures rose Tuesday morning, along with S&P 500 futures and Nasdaq futures, with the Dow Jones and S&P 500 nearing all-time highs. The stock market rally continued to strengthen last week, with more breakouts and buying opportunities picking up. But investors should step cautiously, ready to act in a still-tricky market.


Goldman Sachs stock, Nvidia (NVDA), Google-parent Alphabet (GOOGL) and General Electric (GE) are all in buy range.

Nvidia stock and Google are on IBD Leaderboard. Goldman Sachs (GS) is on SwingTrader and the IBD 50.

Tesla EV

Read More

A big jobs report looms in the week ahead, as markets enter the often-weak month of June

A trader works on the floor of the New York Stock Exchange.


May’s employment report is the big event in the week ahead, as stocks enter the often weak month of June. Stocks are finishing May with a mixed performance. Big cap indexes like the S&P 500 and Dow notched gains. The S&P rose a half percent, and the Dow rose 1.9%. The small cap Russell 2000 was flat, up 0.1%, and the tech-heavy Nasdaq declined 1.5%.

June is not historically a strong month for stocks. Bespoke Investment Group points out that over the past 50 years, the Dow

Read More

The ECB’s Financial Stability Report Is Scary Reading

Christine Lagarde has a critical meeting of the European Central Bank’s governing council coming up on June 10. As usual this will encompass a quarterly review of inflation and growth forecasts, an exercise that lets the ECB take stock of the impact of its monetary policy measures. But this time the gathering will also be a serious test of ECB President Lagarde’s ability to quell the hawkish rumblings on the council. 

Several governing council members are wondering — unwisely — whether to taper the central bank’s 1.85 trillion-euro ($2.3 billion) pandemic bond-buying program as Europe’s economies begin a staggered reopening.

Read More

Colonial Pipeline hackers Darkside received $90 million in bitcoin: Report

LONDON — DarkSide, the hacker group behind the recent Colonial Pipeline ransomware attack, received a total of $90 million in bitcoin ransom payments before shutting down last week, according to new research.

Colonial Pipeline was hit with a devastating cyberattack earlier this month that forced the company to shut down approximately 5,500 miles of pipeline in the United States, crippling gas delivery systems in Southeastern states. The FBI blamed the attack on DarkSide, a cybercriminal gang believed to be based in Eastern Europe, and Colonial reportedly paid a $5 million ransom to the group.

DarkSide operates what’s known as a

Read More

Dow Drops on Report Biden Seeks Higher Capital Gains Tax

Stocks finished sharply lower Thursday following a report that said President Joe Biden would propose a capital-gains tax of more than 40% for the wealthy.

The Dow Jones Industrial Average finished down 321 points, or 0.94%, to 33,815, the S&P 500 dropped 0.92% and the Nasdaq declined 0.94%.

Biden will propose almost doubling the capital gains tax rate for wealthy individuals to 39.6%, and when coupled with a current surtax on investment income, that means federal tax rates for investors could be as high as 43.4%, Bloomberg reported, citing people familiar with the proposal. 

The president’s plan would lift the

Read More