Author: Money Mechanics

Key Takeaways The Trump administration is looking into taking stakes in top defense contractors, Commerce Secretary Howard Lutnick said on CNBC Tuesday.The comments come after President Trump said yesterday that he plans to make more equity deals like the one he announced last week with embattled chipmaker Intel.The Trump administration’s stated interest in growing its ownership and influence in private businesses marks a notable shift in the approach of the federal government, which has typically reserved such measures for times of extreme stress. The Trump administration is looking into taking stakes in top defense contractors, according to Commerce Secretary Howard Lutnick,…

If you need to call Social Security, expect a long wait to get someone on the line. While the agency says it’s using technology to reduce call times, news reports say phone waits have exploded. An employee union official and an advocacy organization describe chaos at the offices.The agency says in a press release it has reduced the average speed of answer on its 800 number to 13 minutes, which it says is a 35% reduction compared to this time last year and over a 50% reduction compared to last year’s annual average.But the agency’s current claims are “not credible,”…

As index funds attract trillions, several outlets have voiced concern that a passive investing bubble could be forming.getty Is one of the most popular investing strategies quietly distorting the stock market? As index funds attract trillions, several outlets—including Barron’s and Harper’s Magazine—have voiced concern that a passive investing bubble could be forming. The core argument is that too much money is chasing too few stocks. Passive investing—through index mutual funds and exchange-traded funds (ETFs)—has become so dominant that it funnels an enormous volume of investor capital into a shrinking pool of mega-cap names such as Apple, Microsoft, Nvidia, Amazon, and…

Key Takeaways Eli Lilly reported a late-stage study of its oral weight-loss pill met primary and key secondary endpoints.The GLP-1 medication for obese or overweight patients with Type 2 diabetes lost an average of as much as 22.9 pounds over 72 weeks.Eli Lilly said it now has enough information to apply for approval of the drug from regulators. Eli Lilly (LLY) shares gained more than 4% soon after the opening bell Tuesday as results from a new study moved the drugmaker closer to applying for approval of its experimental weight-loss pill. Lilly reported a Phase 3 trial of its oral…

Your asset allocation may be the most important decision you make as an investor. In fact, studies have found that asset allocation determines over 90% of the variations in portfolio returns. In other words, get your asset allocation right, and the rest is largely semantics.Asset allocation refers to how your investment funds are spread across the different asset classes, particularly in stocks and bonds.Portfolios with more stocks tend to lead to higher potential long-term returns, but also greater risk. Meanwhile, bonds provide a buffer against sharp downturns, but not necessarily the same growth as stocks. Finding the right balance between…

According to a letter he posted to his Truth Social platform, President Donald Trump says he has fired Fed Governor Lisa Cook.Based on allegations of mortgage fraud made by Federal Housing Finance Agency Director Bill Pulte and referred to Attorney General Pam Bondi, Trump cited his authority under Article II of the Constitution as well as the Federal Reserve Act to remove Cook for cause, effective immediately.Responding to the president, Cook said she would not leave her position. “President Trump purported to fire me ‘for cause’ when no cause exists under the law, and he has no authority to do…

The death of a spouse or partner can be one of life’s most devastating and stressful experiences. For many people, losing a partner takes a significant financial and emotional toll. Spouses often sacrifice time, finances, and their own careers to care for a partner in the period leading to their death. When their spouse passes away, a surviving spouse who is grieving their loss may find themselves overwhelmed with financial, administrative, and other obligations.Some states have enacted laws and some state courts have held that surviving spouses are not personally responsible for their deceased partners’ medical debts, and others limit…

Some might be surprised to learn their Social Security benefits are taxable in retirement.After all, you pay Social Security taxes on your wages while you work, and then when you retire, you might expect those payments to come tax-free.But up to 85% of Social Security payments may be taxed as you receive them. And even if you don’t think you’ll be subject to that much tax, your year-end bill might still surprise you. Factors like high income and unplanned withholding can result in a substantial tax bill to the IRS. Subscribe to Kiplinger’s Personal Finance Be a smarter, better informed…

KEY TAKEAWAYS IBM and AI chipmaker Advanced Micro Devices said Tuesday they were teaming up to develop “quantum-centric supercomputing.”In June, IBM showcased what it called a “viable path” to building the world’s first large-scale, “fault-tolerant” quantum computer by the end of the decade. AMD shares are rising in premarket trading and have gained 35% so far this year. IBM (IBM) and AI chipmaker Advanced Micro Devices (AMD) said Tuesday they were teaming up to develop “quantum-centric supercomputing.” “In a quantum-centric supercomputing architecture, quantum computers work in tandem with powerful high-performance computing and AI infrastructure, which are typically supported by CPUs, GPUs and…

(World Oil) – Cenovus Energy has entered into a definitive agreement to acquire MEG Energy in a cash and stock transaction valued at $7.9 billion CAD ($5.7 billion USD), inclusive of assumed debt. The deal follows MEG’s recent rejection of a lesser takeover bid from Strathcona Resources. The acquisition brings together two leading SAGD oil sands producers with combined oil sands production of over 720,000 bpd, the lowest steam-to-oil ratio and the largest land base in the best quality resource area in the basin. Cenovus also stated the deal consolidates adjacent, fully contiguous and highly complementary assets at Christina Lake, enabling integrated development…