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Super Micro Computer (SMCI) stock dropped nearly 6% midday Wednesday after the company lowered its full-year revenue outlook, citing economic uncertainty amid President Trump’s trade war and fierce competition from other AI server makers. Super Micro said on Tuesday that it expects its full-year revenue for 2025 to fall between $21.8 billion and $22.6 billion, down from its prior guidance of $23.5 billion and $25 billion. CEO Charles Liang told analysts in a call following the company’s third quarter earnings results that tariffs and macroeconomic uncertainty “concern” some customers and make it difficult to forecast the adoption of its technology.…

American workers are the least confident they’ve been in over four years about finding a new job if they become unemployed, according to a new survey released by the Federal Reserve Bank of New York on Thursday. The NY Fed’s survey showed the mean perceived probability of finding a job within three months if one were to lose their current position fell by 1.9 percentage points to 49.2%, the lowest level since March 2021. The drop in job confidence comes despite continued strength in the broader labor market. In April, the US economy added 177,000 nonfarm payrolls, more than the…

Stocks ended last week slightly down after Federal Reserve Chair Jerome Powell reiterated the central bank’s wait-and-see approach to interest rate policy and President Trump unveiled a trade deal between the US and UK. All three major indexes finished last week in the red, as trade volatility moved stock charts. The S&P 500 (^GSPC) sank about 0.5%, while the Dow Jones Industrial Average (^DJI) slipped roughly 0.2% and the Nasdaq Composite (^IXIC) gave up about 0.3%. The week ahead will bring a fresh update on inflation, with the release of the Consumer Price Index (CPI) on Tuesday, as well as…

April’s Consumer Price Index (CPI) is expected to show the first clear signs of inflationary impacts from President Trump’s tariffs. The report, set for release at 8:30 a.m. ET on Tuesday, will greet investors less than 24 hours after markets soared on news the US and China have placed a 90-day pause on a wide swath of tariffs between the two countries. “We expect the first signs of tariff related inflation to show up in the April CPI released on Tuesday,” UBS chief economist Jonathan Pingle wrote in a note to clients on Monday. Inflation is expected to have picked…

Federal Reserve governor Adriana Kugler said Monday that steeper tariffs will drive prices higher, acting to push down incomes and lower economic growth. “Although higher tariffs on US imported goods may affect our macroeconomy through many channels … I think they will primarily act as a negative supply shock, raising prices and decreasing economic activity,” Kugler said in a speech in Dublin, Ireland. Kugler’s comments come even as the US and China have agreed to deescalate and slash tariff rates by 115 percentage points for 90 days as both sides discuss fairer trade between the two countries. The move will…

By Shadia Nasralla LONDON (Reuters) – Oil prices extended declines on Wednesday and were set for their largest monthly drop in almost three and a half years as the global trade war eroded the outlook for fuel demand while concern over mounting supply also weighed. Brent crude futures were down 77 cents, or 1.2%, at $63.48 a barrel by 1305 GMT. U.S. West Texas Intermediate crude futures dropped 74 cents, also 1.2%, to $59.68. So far this month Brent and WTI have lost about 15% and 16% respectively for the biggest percentage falls since November 2021. Both benchmarks slumped after…

(Reuters) -The U.S. Federal Reserve’s incoming vice chair for supervision is seeking to review the confidential ratings for the health of the country’s biggest banks, the Wall Street Journal reported on Friday. If any adjustments were to be made to the supervisory ratings, which have gone through layers of evaluation at the central bank, some bank examiners would likely raise concerns, according to the report. The Fed is yet to release the new ratings for U.S. banks with over $100 billion or more in assets and intends to wait until the Senate confirms Michelle Bowman as the new top banking…

By Ann Saphir and Howard Schneider Palo Alto, California (Reuters) – Kevin Warsh, an apparent frontrunner to be U.S. President Donald Trump’s pick to be the next chair of the Federal Reserve, on Friday suggested a possible pathway to the lower policy rates that Trump has repeatedly pressed the current Fed Chair Jerome Powell to deliver, and delivered a fresh dig at the Fed’s conduct of monetary policy. A large and often growing Fed balance sheet can work at cross-purposes with the Fed’s main policy lever of setting short-term borrowing rates, Warsh told a monetary policy panel at Stanford University’s…

By Howard Schneider PALO ALTO (Reuters) – The Fed should not commit to further interest rate cuts until it is clear whether the Trump administration’s tariff policies lead to persistent inflation or a less serious, one-time adjustment in prices, St. Louis Fed President Alberto Musalem said on Friday. Musalem said he currently puts even odds on either of the two paths for inflation. In theory, tariffs should prompt a one-time price jump similar to the imposition of a tax; but coming off the heels of recent high inflation the effect could be longer-lasting, and may also be more persistent since…

By Howard Schneider PALO ALTO (Reuters) -President Donald Trump’s unfolding trade policy may curb U.S. productivity and possibly require higher interest rates to contain inflation in a less efficient economy, Federal Reserve governor Lisa Cook said on Friday. “I expect to see a drag on productivity in the near term stemming from the recent changes to trade policy and the related uncertainty,” Cook said in remarks prepared for a delivery at an economics conference at Stanford University’s Hoover Institution. Uncertainty around Trump’s plans could discourage investment, Cook said, while the rising cost of imported intermediate goods and equipment could also…