The Federal Reserve's pause on rate cuts means investors can still grab attractive yields on short-duration assets. The central bank opted to keep the federal funds rate between 3.5% to 3.75% on Wednesday and telegraphed one rate cut this year. The market, concerned about inflation amid surging oil prices and higher-than-expected wholesale costs , isn't expecting policy to ease until late in the y...
The Federal Reserve's pause on rate cuts means investors can still grab attractive yields on short-duration assets. The central bank opted to keep the federal funds rate between 3.5% to 3.75% on Wednesday and telegraphed one rate cut this year. The market, concerned about inflation amid surging oil prices and higher-than-expected wholesale costs , isn't expecting policy to ease until late in the year, according to the CME FedWatch tool . That is fueling the appetite for short-term assets, said Winnie Sun, co-founder of Sun Group Wealth Partners and a member of the CNBC Financial Advisor Council . "There could be a rate cut, let's say within a year, but at least right now, we do feel like the yields on short-term Treasurys and high-quality bonds, and even some premium bond funds … remain at these levels of yield that we really haven't seen, that have been consistent, over many, many years," she said. Bond ETFs In fact, ultra-short bond exchange-traded funds have seen $85 billion in inflows over the past 12 months, said Bryan Armour, director of ETF and passive strategies research for North America at Morningstar. The group is the top category for new investments among fixed-income ETFs, he noted. "It doesn't seem to be a bad strategy to park yourself in short-term bonds, clip coupons for a few months and see how things shake out," he said. Investors can look at funds that hold corporate bonds, Treasurys or a mix of both that also includes securitized products, he noted. "Start with what credit risk you are willing to take," Armour said. "You can get a higher yield by taking more credit risk." His top recommendations among passive ETFs are the Vanguard Short-Term Corporate Bond ETF (VCSH) and the Vanguard Short-Term Bond ETF (BSV). The former has a 30-day SEC yield of 4.23% and the latter offers a 3.76% 30-day SEC yield. Both have a 0.03% expense ratio. When it comes to active ETFs, Armour prefers the JPMorgan Ultra-Short Income ETF (JPST), which has a 3.75% 30-day SE...
Check out the companies making headlines yesterday: Portillo's (NASDAQ:PTLO): Casual restaurant chain Portillo’s (NASDAQ:PTLO) rose by 2.7% on Tuesday after a significant insider stock purchase and a key executive appointment fueled investor confidence. See our full article here. Is now the time to buy Portillo's? Access our full analysis report here, it's free. Planet Labs (NYSE:PL): Earth imagin...
Check out the companies making headlines yesterday: Portillo's (NASDAQ:PTLO): Casual restaurant chain Portillo’s (NASDAQ:PTLO) rose by 2.7% on Tuesday after a significant insider stock purchase and a key executive appointment fueled investor confidence. See our full article here. Is now the time to buy Portillo's? Access our full analysis report here, it's free. Planet Labs (NYSE:PL): Earth imaging satellite company Planet Labs (NYSE:PL) rose by 7.5% on Tuesday after investor excitement grew around its artificial intelligence (AI) and defense applications, fueled by a new collaboration with NVIDIA and anticipation ahead of its earnings report. See our full article here. Is now the time to buy Planet Labs? Access our full analysis report here, it's free. Concentrix (NASDAQ:CNXC): Customer experience solutions provider Concentrix (NASDAQ:CNXC) rose by 3.3% on Tuesday after an analyst at Barrington Research maintained an 'Outperform' rating and a $62 price target on the stock. See our full article here. Is now the time to buy Concentrix? Access our full analysis report here, it's free. Uber (NYSE:UBER): Ride sharing and on-demand delivery platform Uber (NYSE:UBER) rose by 5.1% on Tuesday after the company announced an expansion of its robotaxi services through new and expanded partnerships with NVIDIA and Amazon's autonomous vehicle division, Zoox. See our full article here. Is now the time to buy Uber? Access our full analysis report here, it's free. Dine Brands (NYSE:DIN): Casual restaurant chain Dine Brands (NYSE:DIN) rose by 3.9% on Tuesday after a director, Douglas M. Pasquale, disclosed a purchase of 1,000 shares of company stock. See our full article here. Is now the time to buy Dine Brands? Access our full analysis report here, it's free.
Rogers Communications could sell off almost one-third of a $18 billion Canadian sports empire to pay down debt this year, according to analysts at TD Securities. Scarlet Fu reports on "Bloomberg Deals." (Source: Bloomberg)
Rogers Communications could sell off almost one-third of a $18 billion Canadian sports empire to pay down debt this year, according to analysts at TD Securities. Scarlet Fu reports on "Bloomberg Deals." (Source: Bloomberg)
Geopolitical conflict in the Middle East has created significant uncertainty in energy markets. Oil prices are hovering near $100 per barrel as investor sentiment swings with news from the conflict region. If you are looking for a safe haven, NextEra Energy (NEE 1.51%) might be a good place to hide. Here's why. NextEra's foundation is reliable in good times and bad NextEra Energy's business has tw...
Geopolitical conflict in the Middle East has created significant uncertainty in energy markets. Oil prices are hovering near $100 per barrel as investor sentiment swings with news from the conflict region. If you are looking for a safe haven, NextEra Energy (NEE 1.51%) might be a good place to hide. Here's why. NextEra's foundation is reliable in good times and bad NextEra Energy's business has two sides. One is its regulated utility operation, which owns Florida Power & Light. It ranks among the largest electric utilities in the United States. Regulated utilities are granted monopolies in the regions they serve but must get their rates and capital investment plans approved by the government. This generally means that they operate outside of the normal Wall Street cycle. Slow and steady growth is the normal outcome of this arrangement as regulators try to balance reliability, cost, and investor returns. This is a solid core for investors seeking a safe-haven investment in turbulent times. Notably, NextEra Energy's dividend yield is 2.6%, which is well above the 1.1% offered by the S&P 500 index (^GSPC 1.33%) and the 2.4% of the average utility. That may be too low for some dividend investors, but it is clearly attractive on a relative basis. NextEra's growth engine is clean energy In addition to its regulated utility, NextEra Energy has built one of the world's largest solar and wind power producers. This is the business that has been the company's growth driver, helping push the dividend higher regularly at an attractive rate. Looking forward, management expects the dividend to grow at a 6% clip through 2028, backed by earnings growth that is targeted to be roughly 8% a year through 2035. Expand NYSE : NEE NextEra Energy Today's Change ( -1.51 %) $ -1.40 Current Price $ 91.13 Key Data Points Market Cap $193B Day's Range $ 90.61 - $ 92.53 52wk Range $ 61.72 - $ 95.91 Volume 4.2M Avg Vol 9.7M Gross Margin 36.20 % Dividend Yield 2.51 % The key is that NextEra Energy i...
sebastian-julian/E+ via Getty Images There's recent news on Nebius Group N.V. ( NBIS ), and the stock is up over 15% since my last analysis on the company. Now, a new March 16 6-K shows a Nebius-Meta ( META ) agreement with orders up to a total $27B. Ultimately, this de-risks Nebius's demand outlook while strengthening the long-term bull case. That said, the stock already discounts a large part of...
sebastian-julian/E+ via Getty Images There's recent news on Nebius Group N.V. ( NBIS ), and the stock is up over 15% since my last analysis on the company. Now, a new March 16 6-K shows a Nebius-Meta ( META ) agreement with orders up to a total $27B. Ultimately, this de-risks Nebius's demand outlook while strengthening the long-term bull case. That said, the stock already discounts a large part of this ramp while still facing power, financing, and dilution risk. Given the valuation constraints alongside the strong operational positioning, and the risk horizon that includes extended macro valuations and energy bottleneck concerns related to AI, I think this is a good time to Hold or trim NBIS, rather than to initiate or buy. The Core Thesis The core thesis is hinged on Meta's willingness to lock in 2027 capacity and backstop selected future-cluster utilization. This clearly shows that AI infra demand is becoming multi-year, hyperscaler-backed, and contract-driven. Meta is still saying that it expects to remain capacity constrained through much of 2026, and so it is already securing this Rubin-based capacity starting in early 2027. Specifically, the deal includes dedicated five-year capacity plus a residual-capacity backstop pushing Nebius toward a backlog-backed infra model, which nicely transitions its stock narrative away from a speculative buildout model. This is, undoubtedly, a strong moment for NBIS shareholders. $12B of the $27B deal covers dedicated GPU capacity across multiple locations, and up to $15B covers additional available compute capacity on future orders. The second order of the deal is the best part for NBIS shareholders: the company says it intends to sell the capacity to third-party AI cloud customers first, with Meta purchasing the remainder, which will effectively create a floor under utilization for selected future buildouts. Additionally, as Nebius did not raise its 2026 guidance on the back of the deal announcement, it means that the valuatio...
Lawmakers, union leaders and several community organizations expressed their dismay after allegations of inappropriate sexual behavior and abuse of young women or girls emerged against the late labor organizer César Chávez. The New York Times released an investigation on Wednesday detailing the allegations, which revealed that for years the co-founder of the United Farm Workers union had groomed a...
Lawmakers, union leaders and several community organizations expressed their dismay after allegations of inappropriate sexual behavior and abuse of young women or girls emerged against the late labor organizer César Chávez. The New York Times released an investigation on Wednesday detailing the allegations, which revealed that for years the co-founder of the United Farm Workers union had groomed and sexually abused girls who were involved in the movement. The report has led to multiple cancellations or rebranding of events that were meant to celebrate César Chávez Day, which is observed annually on 31 March, Chávez’s birthday. States including California, Arizona, Utah, Texas, Colorado, Oregon and Minnesota have recognized the holiday. Before the Times released the report, media inquiries about the allegations prompted the UFW to cancel celebrations honoring Chávez, calling the allegations “disturbing”, “shocking” and “indefensible”. The US representative Adelita Grijalva of Arizona, where Chávez was born, said she was “deeply troubled” by the allegations and extended her support for the victims. The state of Arizona has announced it will no longer observe César Chávez Day on 31 March as a state holiday. “To the survivors: estamos con ustedes – we are with you,” Grijalva said. “We hear you, we believe you and we admire the immense courage it takes to speak out.” “I know that there is a profound sense of grief in our community today that may bring mixed emotions,” she said. “The betrayal of trust by a leader who had such a significant impact on our community is difficult to comprehend. It is OK to feel angry, shocked, heartbroken, saddened, confused and dismayed – all at the same time. We still have more questions than answers. However, it is important to remember that one person does not define a movement. We, the people, are the movement.” The Times investigation includes allegations by Dolores Huerta, one of the country’s most influential labor activists and Cháve...
Netflix is in a better position to raise subscription prices now that it is out from under the shadow of M&A and regulatory scrutiny, Citi analyst Jason Bazinet says
Netflix is in a better position to raise subscription prices now that it is out from under the shadow of M&A and regulatory scrutiny, Citi analyst Jason Bazinet says