Traders work on the floor of the New York Stock Exchange (NYSE) in New York, September 26, 2022.
Brendan McDermid | Reuters
Here are the most important news investors need to start their trading day:
US Stock Futures they were headed to a higher open Tuesday after another loss the day before. Stocks are on a five-day losing streak, and the blue-chip Dow Jones Industrial Average is in a bear market, having fallen more than 20% from its all-time high. The Cboe Volatility Index, also known as the VIX or the “Fear Indicator,” hit on Monday its highest level since mid-June, the last time the markets were in the pits this year. In the world of the Fed, where policymakers are eager to stifle price increases with rate hikes, Cleveland Fed President Loretta Mester said inflation was “unacceptably high.” Meanwhile, Chicago Fed President Charles Evans said he is a bit nervous about how fast and bold the Fed is moving, but noted he is “cautiously optimistic” on the US. can avoid a recession.
British Prime Minister Liz Truss, who took office in September, announced a sweeping program of economic reforms.
David Dee Delgado | Reuters
It is a disaster, for one, and may well become Something worse. The government of new UK Prime Minister Liz Truss has launched a debt-financed “leakage” economic package featuring historically massive tax cuts. Meanwhile, the Bank of England has been reluctant to raise rates to combat rising inflation, even as it plans to shrink its balance sheet. The lenders are taking out some mortgage deals, also. The economic plan, which was unveiled on Friday, triggered a sharp sell-off in the UK market as the British pound sank against the dollar. Analysts and experts have said there is no evidence the package boosts the economy. Some have warned of a possible crisis. Former US Treasury Secretary Larry Summers, who warned that inflation would rise during recent stimulus pushes, it was especially hard. “A currency crisis in a reserve currency could well have global consequences. I’m surprised we haven’t heard from the IMF,” she said.
Drone footage shows long lines of vehicles on the road to exit Russia at its border with Georgia, in Verkhny Lars, Russia, on September 26, 2022, in this still image obtained from video.
The initiate | via Reuters
Tuesday is the last day of voting in the Russian-occupied areas of Ukraine, where people are reportedly being coerced and forced to vote to join Russia. Western officials and political analysts have criticized the votes as illegitimate as the Russian government purports to say it has annexed more of its former Soviet neighbor. Elsewhere, pressure from Russian President Vladimir Putin to call up 300,000 reservists is meeting resistance. Men are on the run, protests have broken out and one man has been arrested for shooting at a recruiting office. Read more updates on the war in Ukraine here.
United States President Joe Biden, seated between Secretary of Defense Lloyd Austin and Secretary of Health and Human Services (HHS) Xavier Becerra, delivers a speech at a White House Competition Council meeting in the State Dining Room of the White House in Washington, on September 26, 2022.
jonathan ernst | Reuters
Hometown Deli, Paulsboro, NJ
Mike Calia | CNBC
“The pastrami must be amazing.” With those words in a letter to investors, hedge fund chief David Einhorn kicked off a period of public fascination with New Jersey’s so-called $100 million deli and the publicly traded shell company that owns it. the saga, that CNBC chronicled in the months after Einhorn’s letter, it took its most drastic turn until Monday. Federal prosecutors said they had charged three men with a stock fraud and manipulation scam, dating back to 2014, that focused on the store, the now closed His hometown Deli in Paulsboro. The SEC also sued the men over the alleged scheme. After news about the accusations broke, Einhorn weighed in again. “I guess the pastrami wasn’t that good,” tweeted. “I never got a chance to try it out.”
– CNBC’s Jesse Pound, Elliot Smith, Holly Ellyatt, Chelsey Cox and Dan Mangan contributed to this report.