Meta Stock Tanks, Wall Street Follows

SAN FRANCISCO (AP) — Meta is putting a lot of virtual eggs — and billions of dollars — into the metaverse’s basket, and Wall Street is spooked. Shares of the company formerly known as Facebook took a historic tumble on Thursday after reporting a rare drop in profits due to a sharp rise in spending, shaky growth in ad revenue and sluggish growth. a drop in the number of daily US users on its flagship platform. At the same time, it has invested more than $10 billion in its ambitious plan to transform Meta Platforms Inc. into a “metaverse enterprise”. Shares fell more than 26%, removing more than $230 billion from the company’s market capitalization.

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A plunge in Facebook’s parent company weighs on tech stocks

NEW YORK (AP) — A historic plunge in the stock price of Facebook’s parent company helped send other tech stocks tumbling on Wall Street on Thursday, abruptly ending a four-day winning streak for the Marlet. The 26.4% wipeout of meta platforms, as the owner of Facebook is now known, wiped out more than $230 billion in market value, by far the biggest one-day loss in history for a company American. Meta’s weak earnings outlook also helped to lower shares of other social media companies, including Twitter and Snap. The technology-focused Nasdaq fell 3.7%, its biggest loss since September 2020. The S&P 500 fell 2.4%.

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Fed candidate pushes back against GOP claims on anti-oil bias

WASHINGTON (AP) — A key candidate for the Federal Reserve Board of Governors said in testimony before a Senate panel that she won’t make it harder for an industry to get bank loans. President Joe Biden has appointed Sarah Bloom Raskin as the Fed’s vice chair for oversight, the nation’s top banking regulator. She’s a former Fed Governor and Undersecretary of the Treasury. But Republicans have accused Bloom Raskin’s previous statements on climate change of suggesting she would use her position at the Fed, if confirmed, to discourage banks from lending to oil and gas companies.

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Amazon Reports Strong 4th Quarter Results Despite Supply Chain Issues

NEW YORK (AP) — Amazon reports strong fourth-quarter sales and profits even as the online giant continues to grapple with soaring costs from a congested supply chain and labor shortages ‘work. The company also increased its main annual fee to $139 per year from $119. The Seattle-based company reported earnings of $14.32 billion, or $27.75 per share, for the three months ended Dec. 31, 2021. That compares to earnings of $7.22 billion. dollars, or $14.09 per share, one share, during the period one year ago. Revenue rose 9% to $137.41 billion, the fifth straight quarter for the company’s revenue to top $100 billion. Analysts polled by FactSet on average expected $137.68 billion in quarterly revenue and earnings per share of $3.61 per share.

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Ford rides 2021 accounting gains, high prices and big profits

DETROIT (AP) — Ford Motor Co. reversed a loss and took on big accounting charges to post a net profit of $17.94 billion last year. This came even as the company battled computer chip shortages that caused factory slowdowns and low inventory on dealer lots. The Dearborn, Michigan automaker’s U.S. sales fell 7% for the year from depressed 2020 numbers, but customers paid record prices of nearly $51,000 per vehicle on the market on Ford’s most lucrative. Excluding one-time items, the company earned $1.59 per share, below analyst estimates of $1.86. Revenue rose 7.2% to $136.34 billion. That was below analyst estimates of $137.6 billion.

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Weak likely jobs figure for January could prove temporary

WASHINGTON (AP) — Last month, U.S. employers may have cut jobs for the first time in about a year, raising alarm bells about the economy’s trajectory. Yet even if the January jobs report due Friday were to show a deep loss of jobs, there would be little mystery as to the likely culprit: a wave of omicron infections that drove millions of workers to stay home sick, discouraged consumers from venturing out to spend, and likely froze hiring at many companies — even those that want to fill jobs. Reported omicron infections peaked at more than 800,000 a day in the second week of January – precisely when the government measured employment for the month.

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Bank of England raises interest rates again as prices rise

LONDON (AP) — The Bank of England raised interest rates for the second time in three months. Thursday’s move puts the UK far ahead of the rest of Europe and the US in the fight to rein in soaring inflation that is weighing on consumers and businesses. The bank raised its key rate from 0.5% to 0.25%. He also said he would start reducing holdings of UK government bonds and corporate debt, which the bank has accumulated since the global financial crisis more than 10 years ago. Meanwhile, the US Federal Reserve said it would likely raise interest rates in March, while the European Central Bank gave no indication it would raise rates this year.

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Cheers: Whiskey sales start to return to bars and restaurants

LOUISVILLE, Ky. (AP) — When COVID-19 shut down much of the economy in 2020, Bill Thomas sold his whiskey stocks to keep his Washington, DC whiskey bar afloat. The following year, he rebuilt the stocks. Thomas’ restocked supplies reflect the start of a return to on-site spirits sales at U.S. restaurants and bars. This is an important segment for spirits manufacturers. On-site sales volumes increased 53% in 2021, following pandemic-related restaurant and bar closures and restrictions in 2020. The Distilled Spirits Council of the United States released the report on Thursday. Industry-wide, it shows sales and volumes increased for U.S. distilled spirits suppliers in 2021.

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The S&P 500 fell 111.94 points, or 2.4%, to 4,477.44. The Dow Jones Industrial Average fell 518.17 points, or 1.5%, to 35,111.16. The Nasdaq lost 538.73 points, or 3.7%, to 13,878.82. The Russell 2000 Small Business Index fell 38.48 points, or 1.9%, to 1,991.03

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