Investors largely expected the FOMC to cut rates by a quarter point.The Fedread more
India could benefit from the fallout in the U.S.-China trade war, experts told CNBC — but much-needed reforms on land and labor could prove to be a challenge for companies...Asia Economyread more
The FAA administrator's comments come on the eve of his visit to Boeing facilities outside Seattle. While there, he's scheduled to meet with Boeing executives and be briefed...Airlinesread more
The photo depicts Canadian leader Justin Trudeau wearing a turban and robe, with dark makeup on his hands, face and neck. Liberal Party spokesman confirms the photo is of...Electionsread more
As the Fed was meeting to consider cutting interest rates, it lost control of the very benchmark rate that it manages.Market Insiderread more
CBS, CNN and other major media companies are starting to pull e-cigarette advertising off their airways, as the death toll from a mysterious vaping-related illness continues...Health and Scienceread more
The U.S. Federal Reserve on Wednesday cut its overnight rate by 25 basis points to a range of 1.75% to 2%, a move that was widely expected. The central bank, however, appeared...Asia Marketsread more
Investors bought bank stocks because there's a chance the Federal Reserve's interest rate cut may "put an end to this artificially inverted yield curve," Jim Cramer says.Mad Money with Jim Cramerread more
AT&T is considering selling DirecTV, according to a report in the Wall Street Journal.Technologyread more
The Facebook CEO will talk to policymakers "about future internet regulation," according to a spokesperson.Technologyread more
Disney CEO Bob Iger writes in his autobiography that he believes he would have discussed combining Disney with Apple had Steve Jobs lived.Technologyread more
The election has capped a year of massive uncertainty — and it's left investors unsure of what to do, one Goldman Sachs veteran said.
"Think where we started the year. We started the year with a Fed increase, the Dow down 10 percent," Gary Cohn, Goldman Sachs president and chief operating officer, told CNBC's "Fast Money: Halftime Report" on Tuesday. "We saw the Dow rally back. We talked about China growth, oil prices going down, we had Brexit, we had the election."
With investors constantly migrating their assets to areas where they perceive more clarity, markets are dying for sustainability and predictability, Cohn said. And markets tend to overreact to everything, he said.
Cohn's Goldman colleague, CEO Lloyd Blankfein, weighed in on President-elect Donald Trump's White House win last week at The New York Times' DealBook Conference, calling Trump's policies "market supportive." Stocks posted sharp gains since the election, with the S&P and Dow rising 2.1 percent and 3.29 percent, respectively, even as tech stocks languished.
"In an unclear environment, people did not want to own banks," Cohn said. "People are starting to migrate toward those asset classes that they think may benefit.... banks are one of those. We're starting to see some rotation out of technology names where people were comfortable owning them, into bank names, into drug names, into industrial names."
Cohn, speaking from the Global Financial Leadership Conference in Naples, Floriday, said he anticipated the election results, an his immediate reaction was to buy the market and do the opposite of whatever markets did overnight.
"We're all giving president Trump, and his transition team, the benefit of the doubt," Cohn said. "We're waiting to see what happens, and as we get more and more clarity, the markets will react. "
Trump has said he would overhaul financial regulations like Dodd-Frank and Glass-Steagall. Cohn said that it's a matter of striking a balance between feeding job growth and protecting America's reputation as a financial leader.
"As central banks start to flood the market with liquidity, we need to be able to transmit that into main street — to entrepreneurs... to small and medium-sized companies," Cohn said. "I do think that part of the regulation we've gone through has inhibited our ability to transmit that capital....On the other hand, remember U.S. banks today are the strongest banks in the world.... that's a huge competitive advantage for U.S. banks and I don't want to lose that."
Though the market is still waiting to see what Trump will do, he has also taken a hard line against Federal Reserve chair Janet Yellen.
While Cohn said he thinks a December interest rate increase is "a foregone conclusion," he's concerned it might make imported goods cheaper than what is available in the U.S. If foreign cars become cheaper than American cars, for instance, it could hamper job creation, he said.
"I am concerned [about] how much U.S. rates can dislocate from the rest of the world, and I think that's a big issue," Cohn said. "We are part of a global monetary system today. And we've got many other major central banks around the world still with a zero interest rate policy, and quantitative easing. If we dislocate from other central banks around the world, we will see that in the value of the dollar. The question, to me, is, 'How strong can the dollar be until that starts having unintended consequences in the U.S. economy?"
— CNBC's Jeff Cox and Fred Imbert contributed to this report.