STAMFORD — Digital Currency Group, a leading company in the cryptocurrency and blockchain-technology sectors that recently opened offices in Stamford, announced Monday plans to create more than 300 jobs in Connecticut in the next five years — the latest of several prominent firms to commit this year to hiring on a large scale, with state financial assistance.
To support the new positions, DCG is building an approximately 90,000-square-foot headquarters across the fourth and fifth floors of 290 Harbor Drive, in the Shippan Landing complex. By the end of the summer of 2022, the company is aiming to open the new offices, which have panoramic views of Stamford and Long Island Sound.
Before deciding on Connecticut, DCG considered keeping its headquarters in Manhattan, while it also looked at locations in the other New York City boroughs, Westchester County and New Jersey.
“It was Connecticut where we were welcomed with open arms by Gov. (Ned) Lamont,” DCG founder and CEO Barry Silbert said Monday in a press conference on the fifth floor of 290 Harbor Drive. “It is here where we found a great home for financial-technology companies with the infrastructure, universities, access to capital and diverse pool of talent needed to build a global business.”
If DCG creates and retains more than 300 full-time jobs, it can earn a grant “in arrears” of up to approximately $5 million from the state Department of Economic and Community Development.
“This is a state that was one of the most entrepreneurial states in the country, going back a long time,” Lamont said at the press conference. “Then we lost a little bit of our entrepreneurial mojo, and we are getting it back thanks to entrepreneurs like you.”
Ahead of the completion of the permanent headquarters, DCG opened in the spring a temporary headquarters in the adjacent building at 262 Harbor Drive, where about 130 employees are based. As part of its expansion, DCG plans to hire more than 100 people in Stamford in 2022.
Today, the company employs more than 1,000 people across four continents.
“You are an enormous boost to our growing fintech industry, and thank you for your commitment to Connecticut, to Stamford and the jobs you’re going to be creating,” Stamford Mayor-elect Caroline Simmons said at the press conference. “We really look forward to partnering with you.”
Silbert described DCG as “the largest conglomerate of companies in the fast-growing cryptocurrency and blockchain industry.” Founded in 2015, DCG has invested in more than 200 companies focused on blockchain, a technology that plays a vital role in cryptocurrencies such as bitcoin.
In addition, it owns and operates seven businesses. Several of those subsidiaries are relocating to Connecticut, including:
• Grayscale Investments, which DCG describes as the world’s largest digital currency asset manager, with more than $50 billion in assets under management
• TradeBlock, an institutional trading platform
• DCG Real Estate
• HQ, DCG’s new wealth management business
In addition to the businesses that are moving to Connecticut, DCG also owns and operates CoinDesk, a financial media and data company; Foundry, a specialist in bitcoin mining and staking; and Luno, a cryptocurrency platform.
On Nov. 1, DCG announced new investments that raised its valuation to $10 billion. On Nov. 18, it announced the completion of a debt capital raise that provided a credit facility of up to $600 million.
“We are a $10 billion company at the epicenter of a multitrillion-dollar industry,” Silbert said.
Growing number of companies coming to Connecticut
DCG joins several other major companies that have committed this year to establishing or expanding their presence in southwestern Connecticut.
The company welcomed the prospect of receiving up to $5 million in state funds to support its hiring, but Silbert said the financial assistance was not the dominant factor in its decision to relocate the headquarters.
“Having then spent time with the state (officials) and understanding all the opportunities to collaborate was an important consideration,” Silbert said. “But it was really after the fact, when we had kind of narrowed down the (headquarters) finalists that we understood the opportunity to, I guess, get some money based on hiring.”
Noting that DCG will pay more than $15 million in taxes to the state in 2021, Silbert quipped that “if the governor can turn 5 (million) into 15 (million) in perpetuity, we should do that all day long.”
David Lehman, the state’s economic development commissioner, said the state funds “were our standard incentives, consistent with what we’ve offered other companies. The state is trying to have a very formulaic, straightforward framework.”
Other corporate newcomers to the state include tobacco giant Philip Morris International, which plans to open next summer its new headquarters at 677 Washington Blvd., in downtown Stamford. On Nov. 8, Lamont and other elected officials held a press conference and tour at 677 Washington to welcome PMI executives. PMI is now headquartered in midtown Manhattan.
PMI is not receiving any state funds for its headquarters relocation.
At 100 Washington Blvd., in Stamford’s South End, manufacturer and technology-services company ITT is planning to open its new headquarters by March. Now based in White Plains, N.Y., ITT can earn up to nearly $2 million in grant funding if it creates 57 full-time jobs.
Yards from 100 Washington, Tomo Networks, a financial-technology firm focused on real estate, has opened offices at 2200 Atlantic St. Launched last year, Tomo intends to create up to 100 local jobs by the end of this year.
Like DCG and ITT, Tomo is eligible for state financial assistance, but the amount of its funding has not yet been disclosed.
In downtown Greenwich, financial-technology firm iCapital Network opened offices in September in the Greenwich Plaza complex. It can earn up to $2.94 million in grants from the state if it creates 200 full-time jobs.
“There’s been a growing number of companies relocating to Connecticut,” Silbert said. “We’re excited to support that effort and blaze a path for other fintech and crypto companies to make a similar move.”
If your business has employees, it’s usually a good idea to use an independent payroll services provider. Whether you already use ADP or still need a payroll provider, it’s an easy way to streamline payroll, retirement and health benefits. The 401(k) Essential plan makes it easier to offer an employee retirement plan by simplifying employee account setup and maintenance, and ADP Run is a cost-efficient payroll option for businesses with fewer than 50 employees.
Pros
ADP offers a variety of retirement plans and account types that are appropriate for businesses of all sizes.
Enrollment is easy and can be completed via a mobile app.
The company offers a comprehensive suite of payroll, HR and benefits tools and services.
Cons
ADP does not disclose its fees online.
Some of the investment options have high fees.
The basic 401(k) plan requires business owners to select and monitor investments themselves.
ADP Retirement Plan Features
Feature
401(k)
401(k) Essential
Employee mobile app and financial planning tools
Yes
Yes
Employee self-enrollment
Yes
Yes
SMARTSync Comprehensive Plan Automation
Yes
Yes
Administrative fiduciary support
No
Yes
Investment management support
No
Yes
Compliance readiness and testing
No
Yes
Government filings
No
Yes
401(k)
ADP offers employers a 401(k) retirement plan that puts the company administrator in charge of selecting and monitoring investments over time. Plan administrators get access to a specialized ADP manager to help with implementation, as well as technology and tools that assist in building, implementing and administering a companywide 401(k). ADP’s 401(k) plan can also be synced with the ADP payroll software and ADP HR outsourcing tools through SMARTSync Comprehensive Plan Automation.
While this may be a good option for very small businesses with investing and recordkeeping experience, managing a retirement plan can be extremely overwhelming for larger operations.
401(k) Essential
ADP’s 401(k) Essential plan offers the provider’s full-featured 401(k) with additional assistance with administration and compliance. The plan is also fully customizable, making it easy to adjust every aspect of the plan to meet the needs of your business. This includes tailored automatic enrollment options, employee eligibility requirements, employer contributions, vesting schedules and safe harbor plans.
Because of the efficiency and peace of mind that come with these added services, even small businesses will benefit from the more robust features of ADP’s 401(k) Essential plan.
Additional Features
Onboarding and support: Every ADP plan administrator gets access to a specialized ADP manager who helps with retirement service implementation. This manager assists in tasks such as choosing eligibility requirements, selecting a plan and opting in to automatic employee enrollment.
Automation: ADP’s SMARTSync Comprehensive Plan Automation lets current ADP payroll and all-in-one HR clients integrate their payroll system with 401(k) plan recordkeeping systems. Administrators can use this feature to save time, improve accuracy and reduce the risk of compliance oversights.
Investment manager services: Companies can opt to work with financial services firm Mesirow to get co-fiduciary or investment manager services. Alternatively, ADP’s affiliate, ADP Strategic Plan Services LLC, can assist with investment fiduciary services. Either option can take the pressure of selecting and monitoring investments off your business’s HR team and reduce the risk of being audited by the IRS or the Department of Labor.
Compliance: ADP provides independent recordkeeping services to help your business stay on top of compliance requirements without the risk of bias. Its automation tools also reduce the risk of compliance-related errors, and the 401(k) Essential plan includes compliance readiness and testing, as well as government filings.
Online resources: ADP customers have access to a large library of online resources to help with plan administration, tax and compliance requirements, and investment decisions. Because ADP is a full-service HR platform, there are also resources related to payroll, recruiting and hiring, and other types of employee benefits.
Mobile app: The ADP mobile app makes it easier for employees to enroll. The integrated MyADP Retirement Snapshot calculator also lets employees calculate their retirement savings and plan for the future.
Employee tools: In addition to accessing ADP’s mobile app, employees can take advantage of the ADP Achieve employee education resources and ADP’s financial wellness program.
Key takeaway: ADP offers a variety of services in addition to employee retirement benefits. Consider using ADP if you also want to take advantage of the company’s other offerings, such as payroll services.
Account Types
Businesses that choose ADP as their employee retirement benefits provider can select from a few types of employee retirement plans. Each plan has its own rules and regulations, as determined by the IRS.
401(k): ADP offers a 401(k) plan wherein plan administrators must select and monitor investment options and handle compliance-related issues. Business owners can also select the 401(k) Essential plan, which includes more substantial customization, administration and compliance support.
403(b): The 403b-Select plan is offered by ADP through Newport Retirement Services and enables integration between ADP’s payroll service and Newport’s recordkeeping services.
SIMPLE IRA: With administration fees as low as $480 per year, ADP’s SIMPLE IRAs involve less paperwork and fewer compliance requirements than a 401(k) plan.
SEP IRA: A SEP IRA through ADP is designed for small business owners and self-employed individuals who want flexible contribution amounts and no required compliance filings.
Investment Options
Companies that offer employee retirement plans through ADP get access to a wide selection of investment options, including the following:
Money market
Stock and income mutual funds
Index funds and lifestyle funds
Specialty funds, including real estate and technology
While ADP offers most of the typical investment options available in employer-sponsored retirement plans, the list of individual funds is relatively short. It’s also unclear whether ADP allows companies to offer employee stock purchase plans through their retirement accounts.
Pricing
Like many top employee retirement providers, ADP does not publish its pricing online. In general, though, prices vary based on plan customizations. If your business already uses ADP for payroll and other HR services, contact your account representative to learn more about ADP’s retirement plan pricing. You can also get a quote via telephone or by navigating to Start Quote from the homepage.
Ease of Use
Even though pricing is not disclosed on ADP’s website, it’s easy to build a plan and get a quote. Just click the Start Quote button on ADP’s website and provide contact information and relevant details about your business. Once your request is submitted, an ADP representative will contact you to schedule a consultation. You can also get a quote by calling the company.
Once you sign up for ADP’s retirement benefit services, you can automate a number of tasks through the SMARTSync Comprehensive Plan Automation tool. You will also be assigned a specialized ADP manager who will help to streamline the setup and implementation. Customizations and implementation assistance are even more robust with the 401(k) Essential plan, which includes administrative fiduciary support, investment management support, compliance readiness and testing, and government filings.
From the employee perspective, ADP’s mobile app makes it easy to enroll in 401(k) benefits and to change investments, while the Retirement Snapshot calculator and online resources help employees research funds. If you’re not sure if ADP is a good fit, you can request a demo to see how the platform and administrator dashboard work.
The ADP benefits dashboard provides an overview of employee benefits and allows team members to manage their retirement benefits directly.
Source: ADP
Customer Service
Employers that use ADP get a personal representative who assists with setting up and otherwise administering the company’s retirement plan. Beyond setup and implementation, automation tools make it easy to administer an ADP retirement plan by integrating the platform with a business’s existing ADP payroll and HR services. There is also a client administrator support page that answers common questions.
Likewise, employees can access several popular customer support topics to get quick answers and the most relevant contact information. There are also a number of educational resources and tools, including the ADP mobile app and the MyADP Retirement Snapshot calculator.
Drawbacks
While ADP is a very strong company, its retirement benefit services do have some drawbacks. For one, ADP does not disclose the fees for its retirement solutions online. Also, some of the investment options available through ADP’s plans have relatively high fees. In addition, the company’s basic 401(k) plan requires business owners to choose and monitor investments themselves, unless they employ an outside advisor.
What Is an Employee Retirement Benefits Provider?
An employee retirement benefits provider is a company that helps small business owners set up and administer retirement plans for themselves and/or their employees. Providers offer a range of services, including plan design, administration and recordkeeping. Companies also offer various types of plans, investment options, features and services, depending on the role they play.
FAQs
Is ADP better than Gusto?
ADP is a much larger, more established company than Gusto. As such, it also has considerably more robust offerings, particularly with regard to payroll processing (ADP’s core business). However, ADP is also less transparent about its pricing and likely to be more expensive in many cases.
Tip: Read our review of Paychex employee retirement benefits to learn about another well-established company that provides comprehensive service.
How many employees do I need for ADP?
For most businesses to use ADP, they should have at least several dozen employees. For most small businesses, there are likely more cost-effective options for both payroll and employee retirement benefits services.
Tip: For alternatives to ADP, consider our review of Human Interest or our American 401k review.
Bottom Line
We recommend ADP for:
Small businesses that use ADP to manage their payroll and other HR needs.
HR administrators who need help with IRS compliance and other recordkeeping requirements.
We don’t recommend ADP for:
Small businesses that don’t have the resources to select and monitor plan investments.
Businesses that are not already using ADP’s payroll and/or HR services.
This post contains links to products from our advertisers, and we may be compensated when you click on these links. Our recommendations and advice are ours alone, and have not been reviewed by any issuers listed. Terms apply to offers listed on this page. Read our editorial standards.
The first travel credit card I ever opened was the Chase Sapphire Preferred® Card in 2014.
Having spent years diligently reading a collection of travel websites, this was the unanimously recommended credit card for beginners in the world of award travel. Its points were easy to use, and they were valuable enough to single-handedly fulfill bucket-list travel goals of mine (like visiting Machu Picchu and flying to the other side of the world in a lie-flat airplane seat).
I’ve received many thousands of dollars in value from earning and redeeming Chase Ultimate Rewards points. But I’ve been thoroughly astonished at how much money I’ve saved from its ongoing benefits — namely, its various travel insurances.
I love using the card as part of my free-travel strategy. But its travel insurance is the reason I’ll never cancel it. Here are the ways it’s helped me over the years.
High sign-up bonus starts you off with lots of points
Strong travel coverage
Cons
Doesn’t offer a Global Entry/TSA PreCheck application fee credit
Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That’s $750 when you redeem through Chase Ultimate Rewards®.
Enjoy new benefits such as a $50 annual Ultimate Rewards Hotel Credit, 5X points on travel purchased through Chase Ultimate Rewards®, 3X points on dining and 2X points on all other travel purchases, plus more.
Get 25{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 60,000 points are worth $750 toward travel.
With Pay Yourself Back℠, your points are worth 25{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories.
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Read Our Review
Rental agency fees
When you pay for your rental car with the Chase Sapphire Preferred and waive the rental agency’s collision damage waiver, you’ll automatically receive primary rental car insurance covering damage or theft. This is an excellent perk, because the rental company’s in-house insurance can easily cost $15 or more per day.
Read more: 5 Chase Sapphire Preferred benefits make it one of the most valuable credit cards, beyond a huge sign-up bonus and rewards
I’ve used this benefit dozens of times, and have saved more than $800 from not being required to purchase proprietary insurance at the front desk.
Damage to rental car
During a trip to Ireland, I scraped my rental car against a cement pillar in a parking lot. The damage was minimal, though there was a bit of paint missing. I informed the rental company of the damage, and they told me they’d assess the damages and charge my card accordingly.
A few days later, there appeared on my credit card a charge for $2,300 — exorbitant for the minimal damage done to the car. I contacted Chase, and after sending a few documents regarding the accident, they sent me a check for $2,300 to cover the bill. There were no headaches, and I had the check within a few weeks.
Trip delay insurance has saved me $600
The Chase Sapphire Preferred is one of the best credit cards for trip delay insurance.
When you reserve your flight with this card, Chase will reimburse you (and immediate family traveling with you) for “reasonable expenses” such as food, lodging, transportation, and toiletries if one of the following things applies to you:
Your flight is delayed by more than 12 hours
Your delay causes you to stay overnight
You’ll be covered up to $500 per ticket.
I’ve used trip delay insurance a handful of times, usually when I purchase a fare that is the last scheduled flight of the day. If my flight is delayed and I miss a connection, I’m stuck there until morning.
Read more: Several Chase credit cards offer reimbursement for food and hotels if your trip is delayed — here’s how to file a claim
Chase has reimbursed me hundreds of dollars over the years for things like:
Meals at the airport or at a restaurant
Rideshare expenses from the airport to a hotel
Hotel accommodations (nice ones, too)
If your flight is delayed by 12 hours or warrants an overnight stay, you’re free to start swiping your card for free food, hotel, etc. Just file a claim and Chase will promptly refund you.
Baggage delay insurance has saved me $500
When you reserve your flight with the Chase Sapphire Preferred, you’ll receive automatic baggage delay insurance. If your checked bag is delayed by more than six hours, you’re entitled to up to $100 per day in necessities, for up to five days.
Reasonable expenses include items like:
Clothing
Shoes
Toiletries
Phone chargers
During a trip a few years ago, my bag was lost for over a week. I received the full $500 payout from this card benefit, and purchased a new suit and dress shoes, as I was going to a conference and my formal wear was in my checked bag. All things considered, I’d say that delay was worth it to receive $500 in clothes.
Bottom line
The Chase Sapphire Preferred comes with 60,000 points after you spend $4,000 on purchases in the first three months of account opening. It charges a $95 annual fee, but its travel insurance has already saved me more than 40x that fee.
As long as the card continues to outperform its annual fee, I won’t be canceling it.
Joseph Hostetler
Credit cards reporter
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Stocks jumped Monday to recover some losses after Friday’s slide, when uncertainty over a new coronavirus variant stoked volatility across global markets.
The Dow advanced. On Friday, the index had seen its worst day since October 2020, dropping more than 900 points, or 2.5{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}. Bitcoin prices rebounded to trade above $58,000 during the afternoon session.
U.S. airlines and other travel stocks were mostly higher to steady after steep losses from late last week, when initial concerns over the newly discovered Omicron variant of the coronavirus in South Africa fueled fears over renewed global restrictions. Meanwhile, Zoom Video Communications (ZM), Peloton (PTON) and other stocks that have been mainstays of the “stay-at-home” trade gave back some of Friday’s gains. Technology stocks that had become defensive plays during the pandemic largely held up on Monday, however, and the Nasdaq outperformed with a gain of more than 2{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} at session highs.
“Ultimately this is not the first or last variant scare and our tech playbook over the last 18 months has been to use these macro/risk-off events as buying opportunities to own the tech sector specifically cloud, cyber-security, and 5G winners,” Wedbush analyst Dan Ives wrote in a note Monday morning. “While we are seeing a return to normalcy, a semi-remote workforce environment we believe is here to stay which underscores our tech cloud thesis into 2022 that the digital transformation build-out will be accelerated and is not a one time COVID pull forward event”
The U.S. and European Union have been among a host of destinations to ban flights from several African countries after the new variant was discovered. But cases of the variant, which the World Health Organization (WHO) has so far designated as a “variant of concern,” have also detected in regions including the U.K., Hong Kong, Australia, Germany and Italy, among others. Japan, Israel and Morocco each announced in the past few days they would be blocking foreign visitors from visiting amid the latest variant’s spread.
While much is still yet to be confirmed about the Omicron variant — including whether it is more transmissible or causes more severe illness than previous variants — vaccine makers have already said they are working to adapt their existing inoculations to the new strain. Moderna’s (MRNA). Chief Medical Officer Paul Burton told BBC on Sunday that a new vaccine to address Omicron could be widely available in early 2022. Pfizer (PFE) and BioNTech (BNTX) said last week they expected to have data on the latest variant within two weeks, and it could take about 100 days to create a vaccine specifically tailored to a new variant. The WHO has said preliminary evidence about Omicron suggested “an increased risk of reinfection with this variant, as compared to other [variants of concern].”
Many market pundits have maintained it is still too early to tell how Omicron behaves from an epidemiological standpoint and how it will impact economic activity, should lockdowns or stay-in-place behavior broaden out.
“What should we be looking for? A strong leading indicator will be what happens to hospitalizations and deaths in South Africa, where this has become dominant. If there is a noticeable spike, then that carries concerning implications for elsewhere,” Henry Allen, Deustche Bank research analysts, wrote in a note.
“Nevertheless, there are two key differences worth bearing in mind between South Africa and much of the developed worked: First, Europe and the U.S. have much higher vaccination rates, which (assuming the vaccine is not ineffective) may offer greater protection,” he added, noting that South Africa has fully vaccinated 24{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} of its population compared to 58{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in the U.S. and 69{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in France. “This suggests they may have advantages relative to South Africa. But second, Europe and the U.S. have much older populations, and age is a factor that strongly correlates with the likelihood of hospitalization and death. In South Africa, the median age in the country is 28, much lower than Western Europe’s median age of 44.”
—
4:03 p.m. ET: Tech stocks lead rebound rally after Biden says Omicron ‘not a cause for panic’: Nasdaq gains 1.9{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}
Here were the main moves in markets as of 4:03 p.m. ET:
S&P 500 (^GSPC): +60.65 (+1.32{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 4,655.27
Dow (^DJI): +236.60 (+0.68{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 35,135.94
Nasdaq (^IXIC): +291.18 (+1.88{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 15,782.83
Crude (CL=F): +$1.47 (+2.16{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $69.62 a barrel
Gold (GC=F): -$3.30 (-0.18{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $1,784.80 per ounce
10-year Treasury (^TNX): +4.8 bps to yield 1.5300{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}
—
2:23 p.m. ET: Bitcoin prices rebound as virus concerns recede
Bitcoin prices rebounded after a steep selloff on Friday, with risk assets across the board getting a boost as initial fears over the Omicron variant began to ease.
The largest cryptocurrency by market cap saw prices jump by nearly 7{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} Monday afternoon to trade above $58,000. On Friday, Bitcoin prices had posted a drop that sent it 20{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} below its November all-time high of over $68,000. Prices for other major cryptocurrencies including Ethereum and XRP also gained on Monday.
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12:07 p.m. ET: ‘This variant is a cause for concern, not a cause for panic’: Biden
President Joe Biden on Monday addressed the Omicron variant of the coronavirus.
“This variant is a cause for concern, not a cause for panic. We have the best vaccines in the world, the best medicine, the best scientists, and we’re learning more every single day,” Biden said in a speech. “We have more tools today to fight the variant than we ever have before.”
“The best protection against this new variant or any of the variants out there, the ones we’ve been dealing with already, is getting fully vaccinated and getting a booster shot,” he added. “Most Americans are fully vaccinated but not yet boosted. If you are 18 years or older and got vaccinated before June 1, go get the booster shot today.”
“In the event hopefully unlikely that updated vaccinations or boosters are needed to respond to this near variant, we will accelerate … their deployment with every available tool,” Biden said. “We do not yet believe that any additional measures will be needed.”
He added that the White House was already working with Pfizer and Moderna to work on contingency plans, should any new or updated vaccines or boosters be needed. He also said the White House was set to put out a strategy on how to address COVID this winter on Thursday, adding that the plan was not to implement widespread lockdowns, but to focus on vaccinations, boosters and testing.
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10:51 a.m. ET: Twitter CEO Jack Dorsey to step down, be replaced by CTO Parag Agrawal
Twitter’s (TWTR) Jack Dorsey will step down as CEO of the social media platform and be replaced by Chief Technology Officer Parag Agrawal, effective immediately, the company announced on Monday. This confirmed a CNBC report from earlier Monday morning suggesting Dorsey was set to depart from his role leading the platform.
Dorsey is set to remain a member of Twitter’s Board of Directors until his term ends next year.
“I’ve decided to leave Twitter because I believe the company is ready to move on from its founders. My trust in Parag as Twitter’s CEO is deep. His work over the past 10 years has been transformational. I’m deeply grateful for his skill, heart, and soul. It’s his time to lead,” Dorsey said in a press statement.
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10:34 a.m. ET: Cyber Monday sales expected to match last year’s level’s: Salesforce
Cyber Monday sales are expected to come in at $11 billion this year in the U.S., coming in roughly in-line with last year’s levels, according to projections from Salesforce.com.
The online shopping holiday, taking place annually the Monday after Thanksgiving, is poised to see about $43 billion in total global sales, or also approximately flat compared to last year. On Black Friday, however, U.S. sales rose 5{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} compared to last year to reach $13.4 billion, Salesforce added.
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10:02 a.m. ET: Pending home sales stage rebound after September slide
Home contract-signings surged in October to recover after a September drop, with rising rent prices and still-low mortgage rates helping stoke purchases.
Pending home sales jumped by 7.5{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in October, the National Association of Realtors said in its latest monthly report. This was far better than the 1.0{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} rise expected, according to Bloomberg consensus data. And in September, pending home sales dropped by 2.4{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, with this figure downwardly revised from the 2.3{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} decrease previously reported for the month.
“Motivated by fast-rising rents and the anticipated increase in mortgage rates, consumers that are on strong financial footing are signing contracts to purchase a home sooner rather than later,” Lawrence Yun, NAR’s chief economist, said in a statement. “This solid buying is a testament to demand still being relatively high, as it is occurring during a time when inventory is still markedly low.”
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9:35 a.m. ET: Shares of Twitter jump after CNBC reports Dorsey to step down
CNBC reported Monday that Twitter CEO Jack Dorsey was expected to step down from his role leading the social media platform.
Shares of Twitter surged by more than 11{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} immediately following the report, which cited unnamed people familiar with the matter. Dorsey serves as CEO of both Twitter and financial technology platform Square, which is also publicly traded.
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9:31 a.m. ET: Stocks open higher, Dow gains 350+ points
Here’s where markets were trading just after the opening bell:
S&P 500 (^GSPC): +56.62 (+1.23{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 4,651.24
Dow (^DJI): +352.24 (+1.01{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 35,251.58
Nasdaq (^IXIC): +231.13 (+1.49{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 15,721.53
Crude (CL=F): +$4.55 (+6.68{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $72.70 a barrel
Gold (GC=F): -$0.70 (-0.04{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $1,787.40 per ounce
10-year Treasury (^TNX): +7.7 bps to yield 1.562{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}
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8:45 a.m. ET: Vaccine-makers’ stocks jump as companies work on shots to address Omicron
Shares of major COVID-19 vaccine-makers including Pfizer, BioNTech and Moderna jumped Monday morning after executives from these companies said they were working on inoculations that would directly address the new Omicron version of the virus.
BioNTech American depository receipts were up more than 5.5{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in pre-market trading. Pfizer shares gained 1.7{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}, while Moderna shares outperformed with a jump of more than 10{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a} in the early session.
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7:45 a.m. ET Monday: Stock futures recover some losses
Here were the main moves in markets ahead of the opening bell
S&P 500 futures (ES=F): +31.75 points (+0.69{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 4,627.50
Dow futures (YM=F): +180 points (+0.52{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}), to 35,038.00
Nasdaq futures (NQ=F): +132 points (+0.82{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to 16,183.00
Crude (CL=F): +$3.33 (+4.89{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $71.48 a barrel
Gold (GC=F): +$5.20 (+0.29{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}) to $1,793.30 per ounce
10-year Treasury (^TNX): +6.2 bps to yield 1.547{1b90e59fe8a6c14b55fbbae1d9373c165823754d058ebf80beecafc6dee5063a}
NEW YORK, NEW YORK – SEPTEMBER 30: Traders work on the floor of the New York Stock Exchange (NYSE) on September 30, 2021 in New York City. In afternoon trading the Dow was down over 250 points as investors continue to worry about inflation, wages and supply chain issues. (Photo by Spencer Platt/Getty Images)
After an abbreviated session on Friday, the markets will reopen for a full week of business, featuring a slew of earnings and key economic data, including the Beige Book, ADP employment and the jobs report.
Federal Reserve Chairman Jerome Powell and Treasury Secretary Janet Yellen will also testify before lawmakers at a hearing on CARES Act oversight, and Congress will race to pass a funding bill ahead of Friday’s looming deadline for a government shutdown.
FOX Business takes a look at the upcoming events that are likely to move financial markets in the coming days.
The week kicks off relatively quietly on the earnings and economic data front with pending home sales. New York Fed president John Williams will also speak during a virtual event to launch the New York Innovation Center (NYIC), a strategic partnership with the Bank for International Settlements (BIS) Innovation Hub.
Meanwhile, those who missed out on Black Friday deals over the holiday weekend will be able to take advantage of Cyber Monday sales from retailers including Walmart, Amazon, Best Buy, Target, Macy’s, Kohl’s, JCPenney, Home Depot, Old Navy, Adidas, REI, Nike, Barnes & Noble, GameStop, Bath & Body Works, Sephora, Ulta, Wayfair and Zappos.
Monday also marks the expiration of the Fearless Girl statue’s permit after three years of staring down Wall Street, the new date for the Ports of Los Angeles and Long Beach’s $100 surcharge for dwelling shipping containers, the deadline for Securities and Exchange Commission chairman Gary Gensler to response to Sen. Elizabeth Warren’s questions about Trump Media and Technology Group’s SPAC merger with Digital World Acquisition Corp. and the deadline to apply for FEMA assistance for Hurricane Ida.
In international news, Japan’s prime minister Fumio Kishida is expected to meet with European Council President Charles Michel to discuss closer ties in the Indo-Pacific region amid China’s growing assertiveness. Talks will also resume in Vienna on reviving the 2015 Iran nuclear deal.
Earnings will ramp up on Tuesday with Barnes & Noble Education and Chico’s FAS before the market open and Box, GlobalFoundries, Hewlett-Packard Enterprise, NetApp, Salesforce.com after the bell.
As for economic data, investors will take in the FHFA’s monthly home price index — the Case-Shiller home price index — for the latest reading on consumer confidence. New York Fed president John Williams will also deliver opening remarks before an event, “Combating Food Insecurity: What’s Working – and What’s Scalable?”
In addition, Treasury Secretary Janet Yellen and Federal Reserve chairman Jerome Powell will testify before the Senate’s Committee on Banking, Housing and Urban Affairs in a hearing entitled “CARES Act Oversight of Treasury and the Federal Reserve: Building a Resilient Economy.”
Merck will be a stock to watch on Tuesday as the Food and Drug Administration’s Antimicrobial Drugs Advisory Committee (AMDAC) will meet to discuss the available data supporting the use of molnupiravir, an investigational antiviral drug, to treat mild to moderate COVID-19 cases in adults and high-risk patients.
In technology news, Verizon Stores will begin selling Nreal Light augmented reality glasses, and chipmaker Qualcomm will kick off its Tech Summit, where it is expected to unveil its newest Snapdragon chipset. The event will run through Dec. 2.
Tuesday also marks Giving Tuesday, a worldwide celebration of generosity, and the deadline for live venues in California to apply for pandemic relief funds.
Earnings taking the spotlight on Wednesday include Build-A-Bear Workshop and G-III Apparel before the market open and Five Below, Okta, PVH, Snowflake, Splunk and Synopsys after the bell.
Meanwhile, Wednesday’s economic data will include the Beige Book, ADP national employment report, vehicle sales, construction spending, the ISM manufacturing PMI, weekly mortgage applications and the Energy Information Administration’s weekly crude stocks.
Federal Reserve chairman Jerome Powell previously said that the agency would also start tapering its monthly asset purchases beginning in December. He noted during his FOMC press conference on Nov. 3 that the purchases would initially be reduced by $10 billion for Treasury securities and $5 billion for agency securities.
Meta will also be a stock to watch as the company officially changes its stock ticker from FB to MVRS. The tech giant, formerly known as Facebook, rebranded itself last month as it shifts is focus to building the metaverse, a virtual reality space where users can interact with each other in a computer-generated environment.
The name change comes as Facebook is facing growing backlash following testimony and disclosures from former product manager turned whistleblower Frances Haugen. Haugen has accused the company of prioritizing profits over user safety and has released documents that highlight the inner workings of the social media giant, covering everything from how it handles misinformation and hate speech on its platforms to Instagram’s impact on the mental health of teens and young children.
On Capitol Hill, the House Energy and Commerce’s subcommittee on communications and technology will hold a hearing on holding Big Tech accountable. The hearing will focus on several bills, including the “Protecting Americans from Dangerous Algorithms Act,” the “Civil Rights Modernization Act of 2021,” the “Safeguarding Against Fraud, Exploitation, Threats, Extremism, and Consumer Harms Act” and the “Justice Against Malicious Algorithms Act of 2021.”
Thursday’s earnings docket will include Dollar General, Duluth Holdings, Express, Kroger, Lands’ End and Signet Jewelers before the market open and Asana, Cooper Companies, DocuSign, Smith & Wesson and Ulta Beauty after the bell.
Economic data in focus on Thursday will be challenger layoffs and the latest in initial and continuing jobless claims.
Meanwhile, Atlanta Fed president Raphael Bostic will moderate a virtual conversation dubbed “Why is Housing So Expensive?” before the Biennial Real Estate Conference and participate in a virtual live interview, “Policy for Progress,” before the Reuters Next conference. San Francisco and Richmond Fed presidents Mary Daly and Thomas Barkin will also participate in a virtual fireside chat called “State of the Labor Market,” which is hosted by the Peterson Institute for International Economics.
OPEC+ will also hold its December policy meeting, which comes about a week after the Biden Administration announced it would tap 50 million barrels of oil from strategic reserves in an attempt to mitigate rising gas prices, and the Treasury Department’s Federal Advisory Committee on Insurance will meet to discuss climate-related financial risk and the insurance sector, receive updates on activities from its subcommittees and the Federal Insurance Office and consider any new business.
On Capitol Hill, the House of Representatives will hold a series of hearings on topics including cybersecurity and the nation’s infrastructure, supporting U.S. workers and business in the face of unfair Chinese trade practices and strengthening the safety net for injured workers.
Earnings from Big Lots and Hibbett, the jobs report, factory orders and ISM non-manufacturing PMI will finish out the week.
Friday also marks the deadline for Congress to pass a funding bill to avoid a government shutdown. In addition, the World Trade Organization’s meeting of trade ministers will also wrap up.
“The main conclusion that I draw from the report,” she said, “is that this is a call to action for carriers to assess the cyber risk in non-affirmative policies – to quantify that risk, and then to underwrite and price it accordingly, and then to apply good portfolio management and enterprise risk management best practices to them.
“And it’s also good for policyholders to have that clarity of cover, [to know] what it is that may be covered and how their policies might respond. I think that call to action for carriers to dig into their portfolios and assess that cyber risk in them was probably the stronger takeaway for me than the actual numbers themselves necessarily.”
If recent high-profile cyber security events haven’t sharpened the attention of the industry when it comes to cyber then they ought to, Bole noted. CyberCube’s modeled one-in-100 year loss estimate suggested that the US property market is exposed to $9.5 billion of attritional losses, she said, which is in keeping with the waves of ransomware attacks being seen across the wider market where data loss is still prevalent and those types of claims are being paid.
Looking at the $3 billion of catastrophic losses, she said, it’s again around ransomware and data loss.
“The report highlights that not just catastrophic but attritional losses are being paid outside of standalone cyber policies,” Bole said. “But also that, within those catastrophic losses, the types of attacks that are occurring and could occur in today’s environment would certainly hit some of those non-affirmative policies as well.”
Exploring whether more carriers are now looking to explicitly include or exclude cyber coverage in their policies, Bole stated that the UK has led the way on this subject with work done by the LMA, Lloyd’s and the PRA calling for explicit treatment for cyber exposures in non-affirmative policies. The rest of the world is starting to follow that lead from a regulatory oversight perspective, she said, and some carriers have acted early to address cyber cover in non-standalone policies.
“It is being underwritten and priced accordingly by some carriers, whereas others are less mature in this process, and may be disproportionately exposed to cyber losses,” she said. “Like any market, there are early movers and there are some who take more time. In saying that, even where that explicit treatment is being made, I think there still remains ambiguity in the language. I think there is still a need for good cyber hygiene to be top of mind, for carriers to model their own individual portfolios, to stress-test those portfolios, to work with their own capital requirements and also risk transfer, through reinsurance, for example, to appropriately manage that risk.”
The wider regulatory framework around cyber is driving the direction of the coverage and governance plays a strong part in producing clarity and creating a robust cyber market. And, as suggested by the report, Bole said, some actions can also be taken by industry players to mitigate their own exposures.
“The definition of good cyber hygiene will differ across different market participants,” she said, “[so] I would reiterate the need to identify that cyber exposure, to model your own portfolios, to understand where that cyber exposure is and then underwrite that exposure, price it, and then manage the risk internally through portfolio management, risk transfer and capital allocation. I think through the combination of those actions, you will be able to create robust risk transfer for cyber exposures.”
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