Here’s what’s been happening on Wall Street overnight

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.

Jeremy Grantham has predicted every modern financial bubble – here’s where he says you should be putting your money

Don’t sweat the small stuff. Stay focused on the big picture.

These are two commonly espoused pearls of wisdom that are frequently heard and then promptly ignored by investors.

That’s because nobody wants to miss out on whatever market fad is most profitable at a given time. And no one is more familiar with this than institutional investors who manage money for other people.

As people get increasingly caught up in the everyday minutiae, the pressure on money managers mounts to keep pace with the market. It’s a dynamic that has played out repeatedly throughout the 9-1/2-year bull market, which is now the longest on record.

Amazon becomes the 2nd US company to join the $US1 trillion club

It’s official: Amazon is the second American company to achieve a valuation of more than $US1 trillion.

Shares of the e-commerce giant gained about 2% in trading Tuesday to hit an all-time high of $US2,050.27. Multiplied by the current number of shares outstanding – 487,741,189 – that puts the company’s book value just over the same symbolic milestone that Apple hit less than one month ago.

One trillion is a difficult number to imagine, regardless of what’s being counted. And even less so when it’s the value of a 24-year-old company with a plethora of business units in addition to its core retail focus. For context, the entire US stock market – the sum of all publicly traded American companies including Amazon – hit $US30 trillion back in January.

Citi CFO Gerspach to step down

A major shakeup is underway at Citigroup as three top Citi execs are leaving the company, including CFO John Gerspach.

Gerspach, who joined Citi in 1990 and has been CFO for the past nine years, is retiring in March of next year, according to an internal memo from CEO Michael Corbat viewed by Business Insider.

Mark Mason, the CFO of the bank’s Institutional Clients Group, will succeed Gerspach.

Additionally, Jim Cowles, the CEO of the bank’s operations in Europe, the Middle East, and Africa, is leaving to start a nonprofit at the end of this year, and Bill Mills, the CEO of North American operations, will retire at the end of the year, according to the memo. They worked at Citi for 39 years and 36 years, respectively.

In markets news

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.