Welcome to Finance Insider, Business Insider’s summary of the top stories of the past 24 hours. Sign up here to get the best of Business Insider delivered direct to your inbox.
The biggest tech companies are about to undergo a major reshuffling on the stock market – here’s what’s coming, and why it matters
Some big changes are coming to the US stock market.
Effective on Monday September 24, S&P Dow Jones Indices and GICS will create a new sector for tech, media, and telecoms companies, and it’s a change that will affect many of the the biggest and most popular stocks on the market.
Walmart reportedly warns Trump’s trade war will hit regular Americans hard
Walmart, the largest US retailer, is sounding the alarm on President Donald Trump’s trade war, saying it is “very concerned” about the impacts the newly announced tariffs may have on American consumers.
In a letter to US Trade Representative Robert Lighthizer, the company – which employs 2.3 million people worldwide, including 1.5 million in the US – said the immediate impact of the fresh tariffs “will be to raise prices on consumers and tax American business and manufacturers,” according to a report from CNN Money.
“As the largest retailer in the United States and a major buyer of U.S. manufactured goods, we are very concerned about the impacts these tariffs would have on our business, our customers, our suppliers and the U.S. economy as a whole,” Walmart wrote.
Wells Fargo says it will cut as many as 26,500 jobs in the next 3 years
The third biggest US bank has 265,000 employees, meaning the cuts would encompass as much as 26,500 people.
Wells have been hit with a range of problems over the last several years, beginning with the fake-accounts scandal in 2016, when the firm said employees had opened millions of customer accounts without their consent in order to meet sales targets. The revelation forced the resignation of CEO John Stumpf. His replacement, Tim Sloan, has been battling to overcome the scandal and a series of subsequent issues.
New York City homeowners are cutting prices in a way not seen since the financial crisis
In one way, it’s 2009 all over again in New York City’s housing market.
Sellers needed to be more aggressive with pricing because buyers had many more choices. Grant Long, a senior economist at StreetEasy, said the listings website saw its biggest two weeks for new listings at the same time, as sellers moved to entice New Yorkers who were returning from their summer vacations. This only worsened an existing glut of for-sale inventory on the market.
The firestorm at HSBC’s investment bank is escalating as the bank hits back against internal dissent
HSBC fired back at internal criticism over its investment banking practices following a staff-penned memo to management late last month.
In a statement given to Financial News, HSBC said that its global banking teams have a “clear strategy that is working.”
HSBC did not immediately respond to Business Insider request for comment about the issue.
Dissent within the bank is centered around a memo, reportedly titled “Global Banking & Markets: Rewards for Persistent Failure” and sent on August 25. It is said to have attacked HSBC’s leadership for what it says is a failure “to create a successful strategy.”
The widening rift between Wall Street and Main Street was once again on display as two major brokerages accused Goldman Sachs of blocking their clients from potentially lucrative investments in initial public offerings.
In a lawsuit suit filed with the New York State Supreme Court Thursday afternoon, TD Ameritrade and Charles Schwab said Goldman has abandoned a 2001 agreement to hold 15% of the IPO shares it underwrites for retail investors.
Until now, this arrangement allowed investors who aren’t Goldman clients to buy a stock at its IPO price, rather than placing a market order and potentially paying much more if the stock begins trading above that price, as often happens with IPOs. Take Eventbrite, for example, which opened at $US36 in its trading debut on Thursday after initially pricing at $US23.
In markets news
- GOLDMAN SACHS: These 12 stocks are perfect for traders seeking big gains at bargain prices
- The brains behind a fund that’s crushing the market this year share 3 stocks driving their outstanding gains
Business Insider Emails & Alerts
Site highlights each day to your inbox.