On today’s episode of Wealth!, host Madison Mills covers the biggest news impacting the markets, from June PCE data to the Bitcoin 2024 conference.
June’s personal consumption expenditures (PCE) data was in line with expectations, and Jennifer Schonberger, senior reporter at Yahoo Finance, explains that the numbers are good news for the Federal Reserve as it continues to fight inflation. The numbers provide yet another data point that strengthens the likelihood of a September rate cut. She notes that the Fed “can’t fully commit because we still don’t have the July and August data, but it looks like we’re moving in the right direction.”
Billionaire Elon Musk is widely known for leading several ventures while juggling his responsibilities as CEO of electric vehicle maker Tesla (TSLA). Julie Hyman provides an overview of the extensive coverage Musk receives on the Yahoo Finance platform, detailing Musk’s various companies and accomplishments and highlighting Tesla’s particular popularity among Yahoo Finance visitors and investors who use the site for research.
Mortgage rates rose slightly last week, with the average rate on a 30-year fixed mortgage rising to 6.78%. Orphe Divounguy, Senior Economist at Zillow Home Loans, joins us to discuss how high interest rates are weighing on buyers and whether interest rate cuts by the Federal Reserve could ease the woes in the U.S. housing market.
“People are very excited about the prospect of the Fed cutting interest rates, but they don’t believe that conventional rates will immediately translate into lower mortgage rates, as some have predicted. Mortgage rates are likely already reflecting the Fed’s expectations,” DiBongai explains. “And if the Fed cuts rates less, or doesn’t cut at all, that’s likely to put upward, rather than downward, pressure on interest rates.”
Bitcoin (BTC-USD) is gaining momentum in the days leading up to the Bitcoin 2024 conference in Nashville, Tennessee, where former President Donald Trump and Robert F. Kennedy Jr. are scheduled to speak. Ross Mack, founder of Macanomics and Yahoo Finance contributor, appears on Wealth! to break down the basics of cryptocurrency investing and what investors new to the space need to know. Mack suggests starting with cryptocurrency-related ETFs, such as the SEC-approved Spot Bitcoin and Spot Ethereum ETF products, before owning the cryptocurrencies themselves.
This post was written by Melanie Leal