US Stocks Rise Ahead of PCE Data, Netflix Falls on WBD Deal

This week, rate-sensitive stocks, particularly in the airline and trucking sectors, experienced significant gains as investors anticipate potential interest rate cuts by the Federal Reserve. This optimism has driven stock prices closer to record highs, reflecting a positive sentiment in the markets.

Stocks have risen as investors anticipate potential interest rate cuts by the Federal Reserve, marking a positive shift in market sentiment. The U.S. dollar, however, is on track for a second consecutive weekly loss, reflecting growing concerns about the Fed's monetary policy direction.

Meta has announced a strategic shift, reallocating some of its investments from the metaverse to the development of AI smart glasses, as the company struggles to convince investors of the metaverse's viability. This decision comes amid a broader trend of reduced spending on metaverse initiatives, with reports indicating a potential cut of up to 30% in related expenditures.

US stocks experienced small gains on Thursday, buoyed by stronger-than-expected jobs data, which did not alter expectations for a Federal Reserve rate cut next week. Meta's stock surged due to budget cuts, reflecting a positive response from investors.

The FDA is currently facing significant turmoil characterized by unexpected delays, internal conflicts, and a staffing crisis, which is causing growing unease among investors in the biotech sector. This instability threatens the recovery of biotech companies that rely on timely FDA approvals for their products.