Market Movers: Trade Hopes Lift Stocks, Fed Under Pressure, and Kellanova Boosts Dividend

By / / Breaking News

Key Takeaways

  • U.S. stock markets are moving higher, with the S&P 500 (SPX) and Nasdaq (IXIC) achieving new record highs, driven by optimism surrounding a potential trade deal between the U.S. and the European Union this weekend.
  • Kellanova (K) has declared a regular quarterly dividend of $0.58 per share for Q3, an increase from its previous $0.57 per share, marking its 403rd dividend payment since 1925.
  • President Trump continues to exert significant pressure on Federal Reserve Chair Jerome Powell to lower interest rates, despite the Fed's indication that it will maintain its current rate range of 4.25%-4.5% at its upcoming meeting.

U.S. stock markets are experiencing an upward trend today, with the S&P 500 up 0.24%, the NASDAQ up 0.19%, and the DOW up 0.2%. This positive movement is largely attributed to growing anticipation that European Union officials and diplomats believe a trade deal with the United States could be reached as early as this weekend. This potential agreement, which could involve a 15% tariff on most EU goods entering the U.S., similar to a recent deal with Japan, is boosting market sentiment.

In corporate news, Kellanova (K) announced a regular dividend of $0.58 per share for the third quarter, an increase from its previous dividend of $0.57 per share. This marks the 403rd dividend payment for the company, formerly Kellogg Company, since 1925. Kellanova's dividend yield is currently 2.83%, with a payout ratio of 56.67%.

Meanwhile, the Federal Reserve remains a focal point as President Trump continues his public campaign for lower interest rates. Despite the President's repeated calls for a significant rate cut, including a suggestion to lower rates by three percentage points, the Federal Open Market Committee (FOMC) is widely expected to keep its benchmark interest rate steady in the 4.25%-4.5% range at its upcoming meeting next week (July 29-30). Powell has maintained a "wait-and-see" approach, citing the need to assess the economic impact of tariffs before making any rate adjustments. This ongoing pressure from the White House has sparked discussions about the Fed's independence.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. We are not financial professionals. The authors and/or site operators may hold positions in the companies or assets mentioned. Always do your own research before making financial decisions.
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