The Brent Delta Topside oil rig at Seaton Harbor in the United Kingdom on May 5, 2017.
Ian Forsyth | Getty Images News | beautiful pictures
This report is from today’s CNBC Daily Open, our new international market newsletter. The CNBC Daily Open keeps investors up to date with everything they need to know, wherever they are. Like what you see? You can register This.
The US economy has returned to familiar territory. But investors want a fresh start.
What you need to know today
- Adidas stock drops 11.64% after the company warned that it could lose about 1.2 billion euros ($1.3 billion) in sales if it can’t release Yeezy’s item. The German sportswear company has terminated its partnership with Ye (formerly known as Kanye West), the face of Yeezy, after he made anti-Semitic comments.
- PROFESSIONAL With stellar earnings and extensive restructuring plans, Disney has been in the news lately. But is it wise? Enter the Magic Kingdom? The two investors expressed their support and opposition to buying shares.
Key point
The sell-off in the US market, the rise in oil prices and the escalation of US-China tensions — it looks like we are back to the worst of 2022.
US stocks had a bad week. Nasdaq fell 0.61%. on Friday, causing it to lose 2.41% for the week. The Dow was up 0.5% and the S&P was up 0.2%, but they still ended the week lower, with the S&P having its worst weekly performance in nearly two months.
Higher energy prices have also made a comeback. The Brent contract for April delivery, which includes oil from Europe’s North Sea, was at $86.39 a barrel, up more than 8% for the week. U.S. West Texas Intermediate crude oil futures rose to $79.72 a barrel, up 8.63% for the week — the best level since October. Those prices are up about 2% a day on Wednesday. Six after Russia said it would cut oil production next month in retaliation for Western sanctions.
Relations between the United States and China are becoming strained. After the United States shot down a suspected spy balloon last week, the Commerce Department imposed sanctions on six Chinese aerospace companies for supporting China’s spying program. China. On Sunday, the US military shot down a fourth unidentified object – after the second was shot down on Friday and the third over the Yukon on Saturday. Although the origins of the subjects are still unclear, it is increasingly likely that more sanctions will be imposed.
Amid all that, investors are focusing on the upcoming US consumer price index reading for January with renewed intensity. The numbers will tell if we are forced to relive the dark days of 2022, or if there is hope in at least one part of the economy – the American consumer.
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