3. China posts strong growth
China’s GDP for the first quarter was a win for the bulls. The country’s economy grew at a 4.5% annual rate in the first three months of the year, according to China’s National Bureau of Statistics, easily topping estimates of 4%. That’s the best annual GDP growth rate for China in a year. Retail sales gave the economy a nice bump in March, too, rising 10.6% thanks to a boost in e-commerce. Now that China has shed its onerous “zero Covid” policies, experts expect the growth to continue. While the Chinese government sees growth of around 5% this year, Goldman Sachs expects the country’s GDP to jump by 6%. “Today’s data are in line with our full-year bullish view for China growth,” Hui Shan, Goldman Sachs’ chief China economist, told CNBC.
4. Apple's rate appeal
Apple now offers a savings account, as the tech giant expands its foray into consumer finance. And it’s got a pretty good rate: 4.15%. The company is offering the account through Goldman Sachs, also its partner for the Apple Card. (You need an Apple Card to get an Apple savings account.) While there are high-yield savings accounts out there with better rates, Apple’s name recognition could give it an advantage, according to some experts. It’s also apparently easy to set up through your iPhone, too.
5. McCarthy's debt ceiling pitch
House Speaker Kevin McCarthy brought his proposal to address the debt ceiling to Wall Street, although it isn’t clear whether the idea even has support within his own party. The California Republican, speaking Monday at the New York Stock Exchange, pledged to hold a vote on raising the debt limit for a year to go along with budget cuts and work requirements for food stamps and Medicaid. Even if it passed the House, though, such a measure would flop immediately in the Democratic-controlled Senate. President Joe Biden has refused to negotiate over raising the debt limit. And there’s no guarantee that McCarthy, who can only afford to lose a handful of GOP votes to pass anything in the House, can even get it out of the chamber. “I think I have the support of America,” he told CNBC after his speech. “I’ll get the party behind it.” The U.S. faces default if Congress doesn’t raise the debt limit.
— CNBC’s Mike Calia wrote this newsletter. Sarah Min, Yun Li, Hugh Son, Jihye Lee, Ashley Capoot and Christina Wilkie contributed.
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