Author: Money Mechanics

On Monday, the Trump administration’s Federal Communications Commission banned all new foreign-made drone models from distribution in the U.S., citing “national security concerns.” Americans who already own older foreign drone models will still be able to use those products, the government said. In a fact sheet published Monday, the FCC claimed that “criminals, hostile foreign actors, and terrorists” could use drones “to present new and serious threats to our homeland.” As a result, the agency said that it had updated its Covered List — which is a list of products that have been “deemed to pose an unacceptable risk to…

Key Takeaways Warren Buffett has often drawn on the concept of a “Mr. Market,” as created by his mentor, Benjamin Graham. The “Mr. Market” metaphor is intended to teach you to view market volatility more like a manic partner’s mood, rather than as a guide to the real value of stocks. Successful investing often means doing the opposite of the crowd: buying quality businesses when fear drives prices down and selling when fear of missing out (FOMO) pushes them too high. Buffett’s most important investment advice often involves a peculiar character investors need to understand: “Mr. Market is there to…

Key Takeaways Almost half of Americans report having more financial stress now than they did at the start of 2025.Rising everyday costs, low income, and job insecurity are the top reasons cited.Consumer sentiment has fallen sharply over the past year, as unemployment has risen and inflation remains above the Fed’s target of 2%. 2025 was a year of change for the U.S. economy—tariffs were imposed on goods imported from around the world, the unemployment rate ticked upward, and AI companies bolstered stock market performance. For Americans, however, some of these changes were a source of stress. A new survey by…

Key Takeaways In November, Paramount became the latest streaming giant to announce price hikes, which are set to go into effect in early 2026.Several other major streaming companies have also raised subscription prices in recent months, including Disney and Apple.Consumers seem to be sticking with their services, while some are opting for cheaper, ad-supported tiers that streamers have introduced in recent years. If you haven’t checked how much your streaming services cost in a while, you might be spending more than you think. You can thank “streamflation.” Many of the country’s biggest entertainment companies have hiked subscription prices in recent…

Key Takeaways Warren Buffett’s success comes from sticking to a simple investing strategy: buy and hold investments you understand.Patience and emotional discipline are important when investing like Buffett.Buffett doesn’t believe in chasing the hype and often advises investors to keep things simple with low-cost index funds. Warren Buffett is one of the most trusted voices in investing for good reason. Nicknamed the “Oracle of Omaha,” he’s built incredible wealth by sticking to a straightforward, value-investing approach. He doesn’t chase fads or overcomplicate things. Rather, his success comes from keeping it simple and investing with a buy-and-hold path. The good news…

Key Takeaways It would cost $318 billion per year to eliminate most extreme poverty worldwide, that is, people living on less than $2.15 per day, a study found.The world’s richest countries could easily afford the expenditure, the researchers concluded: it’s far less than is spent on alcoholic beverages each year, for instance. It would take $318 billion per year, or 0.3% of the world’s economic output, to end extreme poverty worldwide.That’s according to a study from researchers at Stanford, the University of California, Berkley, and the University of California, San Diego published Monday by the National Bureau of Economic Research.…

KEY TAKEAWAYS Starting on Jan. 7, the Department of Education will begin notifying defaulted federal student loan borrowers that their income will be cut, months after wage garnishment was scheduled to start.More than 5 million borrowers are currently in default, and in 2026, they will see their income garnished to offset any missed student loan payments. Months after being originally announced, defaulted federal student loan borrowers will have their wages cut by the Department of Education early next year. Since this summer, the Department of Education has said it will garnish wages from borrowers who have defaulted on their loans.…

Key Takeaways The end of the year boost associated with Saint Nick tends to boost stocks by around 1%.Jeff Hirsch, author of the Stock Trader’s Almanac, is looking out for a rally that will help boost the S&P 500 to a new record next year. If Santa delivers this Christmas, investors could be cheering through 2026. The so-called Santa Claus rally describes the historical tendency for stocks to rise over the final five trading days of December and the first two trading days of the new year—in this season’s case meaning the period from Christmas Eve through Monday, Jan. 5.…

(Image credit: Getty Images)All three main U.S. equity indexes traded above and below the breakeven line early on Tuesday as markets weighed better-than-expected growth data against another survey showing consumer sentiment is sagging. Though the probability of hoped-for relief from lower policy-based interest rates is sinking as well, risk-on sectors, including technology and communication services stocks as well as energy and utility stocks, led the way higher.The Bureau of Economic Analysis said before the opening bell Tuesday morning that gross domestic product (GDP) expanded at an annualized rate of 4.3% during the third quarter, following 3.8% growth in the second…

Key Takeaways Big tech stocks are likely to “take a little bit of a pause” next year, tempering the S&P 500’s full-year returns, according to Jay Woods, chief strategist at Freedom Capital Markets.Woods expects relatively staid sectors like industrials, transports and financials to assume market leadership next year.Midterm elections, new Federal Reserve leadership, and the Supreme Court’s ruling on tariffs could amplify market volatility. After three consecutive years of double-digit gains, the S&P 500 is headed for “a boring, normal year,” according to one Wall Street strategist.  “We think the bull run continues, but it’s not going to be the…