Morning Brief: Market rout continues, Dow futures down 150 points
Thursday, October 11, 2018
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What to watch today
The big market story will be the market itself. Ahead of the open of the U.S. markets on Thursday, Dow futures were down by over 150 points.
This follows Wednesday’s sell-off. The Dow dropped 831 points, or 3.15%, its third-largest drop ever on a points basis though much more modest on a percentage basis, while the S&P 500 dropped 95 points, or 3.3%, and the Nasdaq fell 316 points, or 4.1%. Meanwhile, rates are near multi-year highs, and the President of the United States is blaming the Federal Reserve for these stresses.
Top news
Trump: ‘The Fed has gone crazy’ with interest rate hikes: As the Federal Reserve tightens monetary policy with its steady pace of interest rate hikes, President Donald Trump continues to criticize the central bank. “I think the Fed has gone crazy,” Trump said. [Yahoo Finance]
AT&T will launch a direct-to-consumer service next year: AT&T’s (T) streaming ambitions have an official timeline. The world’s largest telecom company is launching the service, which will be anchored by HBO, in the fourth quarter of 2019 per an 8-K filing. And John Stankey, CEO of WarnerMedia, announced the details at the Vanity Fair New Establishment Summit. [Yahoo Finance]
Coca-Cola gets shareholder approval to buy UK coffee chain: Coca-Cola (KO) just got the nod from investors to buy the UK coffee chain Costa for $5.1 billion. UK-based Whitbread (WTB.L), which owns the Costa business, held a shareholder vote this week. On Thursday morning, the company announced that 99% of votes cast were in favor of the deal. [Yahoo Finance UK]
SEC tightens the noose on ICO-funded startups: During the past few months, the Securities and Exchange Commission has significantly widened its crackdown on certain initial coin offerings, putting hundreds of cryptocurrency startups at risk. The SEC sent out a slew of initial information-seeking subpoenas at the start of 2018. Now the agency has returned to many of those companies, and subpoenaed many more —focusing on those that failed to properly ensure they sold their token exclusively to accredited investors. [Yahoo Finance]
Square CFO steps down, shares fall: Jack Dorsey-led Square Inc. (SQ) said on Wednesday its financial head Sarah Friar will step down to become the chief executive officer of social networking service provider Nextdoor. The payment processor’s shares fell 8.3%. [Reuters]
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The Morning Brief provides a quick rundown on what to watch in the markets, top news stories, and the best of Yahoo Finance Originals.
