Good evening.
Stocks are tumbling, the U.S. government is running out of cash, and a hamster is outperforming Warren Buffett.
Let’s dive in.
Markets
Here are today’s market moves:
What Happened?
U.S. stocks tumbled on Tuesday as Treasury yields rose and the U.S. Senate failed to act to extend the debt ceiling.
Treasury Secretary Janet Yellen warned that failure to raise the debt ceiling would lead to the first-ever U.S. default and have severe consequences for the U.S. economy.
Despite the volatility and negative headlines, the S&P 500 is still only 4.5% off its highs.
Market pullbacks like the one we’re experiencing right now can be healthy after the S&P 500 has risen seven straight months in a row.
The crypto market fell on Tuesday, with Bitcoin trading just below $42k, as cryptocurrencies sold off alongside other risk assets.
Catch Up
Janet Yellen says Treasury to run out of cash around Oct. 18.
Facebook announced it is "pausing" development of Instagram for kids after weeks of criticism.
JPMorgan CEO says Bitcoin price could rise 10x but he still won’t buy it.