Author: Money Mechanics

Key Takeaways Generally speaking, if you’re holding more cash than you need to save for an emergency fund or a large purchase, then you have too much cash on hand. Having too much cash is bad for a long-term saving strategy, such as for retirement, because inflation can eat into yields greatly. Instead, consider investing some of your cash into stocks, bonds, and fixed-income funds. How Much Cash Is Too Much? Having cash on hand is important to pay bills and have money stashed away in case of injury, illness, or loss of employment. But how much cash should you…

Unlock the Editor’s Digest for freeRoula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.Questions over the colossal investment by US tech companies in artificial intelligence, now running at $400bn a year, continue to come thick and fast.Will it, sceptics ask, ever be recouped, let alone generate the magical returns AI zealots expect? Leaders of the financial world from Kristalina Georgieva, IMF managing director, to Jamie Dimon of JPMorgan Chase have warned of an abrupt market correction. Could this be one of history’s more extreme cases of irrational exuberance?That phrase, you may recall, was coined by…

US markets are recovering from last week’s drop, helped by hopes of a US-China trade resolution. With the government shutdown limiting broader economic news, investor focus is turning to upcoming Q3 earnings. Which undervalued stocks could present buying opportunities? Looking for actionable trade ideas to navigate the current market volatility? Subscribe here to unlock access to InvestingPro’s AI-selected stock winners. US stock markets are bouncing back after last week’s sharp drop following news that China restricted exports of rare earth metals. Investors seem to hope this is part of ongoing talks with the US, which reduces the chance of a…

Windows 11 comes with its own screen capture app, the Snipping Tool. It’s perfectly serviceable for its purpose, but ShareX is better in just about every way.Like the Snipping Tool, ShareX supports various image capture methods. You can capture the entire screen, a specific window, or a certain region among other areas, as well as record videos. But what makes ShareX so much better is its powerful editing tools. With this set, the app is almost like having a mini-Photoshop at your disposal.Download: ShareXYou can add shapes, text, crop areas, slap on emoji stickers, and blur or pixelate key areas…

Key Takeaways Apple and Formula 1 agreed on a deal to broadcast Formula 1 races exclusively on Apple TV in the U.S. The agreement also includes Apple TV coverage of practices and other F1 events.The move is an expansion of Apple’s relationship with F1—as well as an extension of its move into live sports. Apple is driving further into sports broadcasts. The tech giant said it scored an agreement with Formula 1 to broadcast races and other content exclusively on Apple TV in the U.S. The deal, which begins next year, will include “comprehensive coverage of Formula 1, with all…

Key Takeaways The Consumer Price Index likely rose 3.1% over the year in September, according to forecasters.That would be the highest inflation in nearly a year and a half, which would underscore how tariffs have pushed up inflation that had been decelerating before President Donald Trump imposed double-digit import taxes.The Federal Reserve is likely to cut interest rates despite rising inflation, due to concern about the job market losing steam. Inflation likely rose to a 17-month high in September as tariffs pushed up prices, forecasters say. The Consumer Price Index report scheduled for release on Friday is likely to show that…

Key Takeaways American Express said its quarterly revenue climbed to a record high, as the card issuer benefited from refreshed high-end credit cards and spending by wealthy shoppers. The company also boosted the lower end of its full-year outlook. Strong spending by America’s affluent consumers helped American Express post record quarterly revenue. The card issuer reported third-quarter earnings per share of $4.14 on revenue that climbed 11% year-over-year to a record $18.43 billion. Both figures topped analysts’ forecasts compiled by Visible Alpha, as the company benefited from refreshed high-end credit cards and spending by wealthy shoppers. The company also boosted the…

Key Takeaways Federal Reserve officials began cutting interest rates in September, but the path ahead is somewhat unclear.Central bankers are looking for a fed funds rate that neither restricts borrowing and spending nor stimulates the economy. The Federal Reserve is cutting rates again, but how will officials know when enough is enough? It’s a question that central bankers are debating—and the answer could make it more expensive to borrow on anything from cars to houses for years to come. At its core, the question is whether the era of low interest rates following the 2008 financial crisis has come to…

KEY TAKEAWAYS Gold price forecasters have had trouble keeping pace with this year’s dizzying rally.Some now see gold reaching the $5,000-$6,000 per ounce range next year.Myriad factors continue underpinning demand for gold, including economic uncertainty and stock market volatility. In late March, Goldman Sachs predicted the price of gold would hit $3,300 per troy ounce at the end of the year. It took less than a month to reach that level. Since then, gold has continued climbing previously unscalable heights—and forecasters have had trouble keeping pace. The precious metal’s price now reaches new all-time highs almost daily. Early last week,…

Key Takeaways Researchers found that the quality and timing of a graduate’s first job explain most of the earnings gap between low- and high-income students five years after college. Lower-income graduates are more likely to land in lower-paying firms and earn about 12% less five years out, even after accounting for grades, major, and college. Graduates who secure a reliable job before or soon after graduation and stay at least two years earn thousands more later on. New research from Columbia University and the National Bureau of Economic Research reveals a troubling pattern: your first job after college can lock…