Morgan Stanley analysts said the reduction was driven by concerns around Chinese demand for Tesla products.Autosread more
Alphabet Inc's Google said Tuesday that keeping phones up to date and secure was in "everyone's best interests," shortly after the U.S. temporarily eased some trade...Technologyread more
Home Depot on Tuesday reported fiscal first-quarter earnings that beat analysts expectations, despite a damp start to the spring in much of the U.S.Retailread more
Indian billionaire investor Rakesh Jhunjhunwala says he's very upbeat about his country's growth potential after the country underwent a massive banking crisis and the rollout...Asia Economyread more
There's more pain ahead for the U.S. and China amid their bilateral trade dispute, according to one expert.China Politicsread more
Kohl's also for the first time in two years missed same-store sales expectations, with CEO Michelle Gass saying the year "started off slower than we'd like."Retailread more
Semiconductor stocks were sliding again on Monday as concerns over trade flared up again. Six experts weigh in on what this means for the U.S. stock market.Trading Nationread more
You know there's an underlying problem when investment firms start to cut exposure to a particular asset class.Commentaryread more
While Trump's lawyers had argued that the committee's subpoena did not have a legitimate legislative purpose — and was therefore invalid — Mehta took a broader view.Politicsread more
The issue of corporate debt has surfaced as companies continue to use the low rates the Fed has provided to lever up their balance sheets.The Fedread more
The stock market drop isn't going to stop the Federal Reserve from normalizing interest rates, noted economist Mohamed El-Erian told CNBC on Wednesday.
And that's a good thing, he said.
"I don't think this derails the Fed in any way and I think we just have to get used to the fact that we have to stand on the basis of fundamentals and not on the basis of central banks," the chief economic advisor for Allianz said on "Closing Bell. "
"It's not an easy transition. It's going to be volatile but over the long term it's better for the health and robustness of markets."
The Fed has raised its benchmark rate three times already this year, most recently at the end of September, a move which has helped send Treasury yields to multiyear highs in October. The central bank meets two more times this year and is expected to hike rates one more time.
Concerns about rapidly rising interest rates have led to a selloff in the stock market.
On Wednesday, the Dow Jones Industrial Average closed down more than 800 points — its worst drop since February. The S&P 500 dropped 3.3 percent and fell below its 50-day and 100-day moving averages, widely followed technical levels. The Nasdaq Composite plummeted 4 percent.
El-Erian likened the change from a liquidity-driven market to a fundamentally-driven market to an airplane "changing engines while flying at a high altitude."
"It's not surprising to me that we're seeing this," he said. "The only question is why it took so long."
However, El-Erian expects the pullback to be temporary because of strong U.S. economic growth.
"You've got three domestic engines revving up at the same time," he said, pointing to fiscal spending, household income and business investment.
"For the next two years growth prospects are good for the U.S."
"That speaks to the key issue of divergence. When you get such divergent growth rates and policies, you start stretching markets," he said, pointing to the "enormous" difference between the 10-year US Treasury and the 10-year German bund.
"A lot of stress is going on in the context of the U.S. picking up momentum and the rest of the world decelerating."