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Adani Group and Abu Dhabi's International Holding Company are set to invest a massive $11.5 billion in a new Odisha aluminium plant. This ambitious project, aiming for over 2 million tonnes annual capacity, could significantly boost India's aluminium production by nearly 50%. View More

Mumbai: Adani Group and Abu Dhabi-based investment conglomerate International Holding Company (IHC) plan to jointly invest $11.5 billion over the next few years to build a mega aluminium plant that could catapult India's total capacity by nearly 50%, said people familiar with the matter. This would be the second metals venture for Adani after its copper smelter in Gujarat that began operations last year, reflecting the power and ports group's strategy to secure commodity supplies for its expanding infrastructure empire. Adani and IHC will collectively make the investment through debt and equity towards building an aluminium smelter in Odisha with an annual capacity of more than 2 million tonnes, said the people cited above. They didn't disclose the investment split between the two partners. Adani didn't respond to an email seeking details about the investment. This would be the largest-ever foreign investment in India's metals and minerals space. The facility will be an integrated unit combining smelting and refining. Live Events India second-largest producer The aluminium project will include a captive power plant, while Dhamra port in Odisha, on the shore of Bay of Bengal, is likely to be used for logistics. The port is owned by group company Adani Ports and Special Economic Zone . India is the world’s second-largest producer of aluminium after China, with total production of 4.2 million tonnes in FY25. It consumed 5.5 million tonnes during the year, while per capita consumption was at 3.4- 3.9 kg, significantly below the global average of 8-12 kg. India is also the third-largest consumer of aluminium. Consumption is expected to rise to 8.5 million tonnes by FY30, and further to 18 million tonnes by FY40, and 28 million tonnes by FY47, according to India’s vision document for the metal. “If India plays its hand well, it is not beyond the realm of possibility to aim to get a 10% market share by FY47,” the document said. “To address this overall demand, India’s capacity should scale up to 37 MTPA by FY47.” India currently has a 3.8% global market share in aluminium. Anticipating the demand surge due to the government’s strong focus on manufacturing, metals producers such as Hindalco Industries and Vedanta Aluminium are also expanding capacities to meet growing domestic needs and reduce import dependence. Last year, global natural resources major Rio Tinto was said to be looking to set up an integrated clean energy-powered aluminium project in partnership with AMG Metals and Materials, backed by Greenko Group founders. One of the world’s biggest investment firms, IHC is backed by Abu Dhabi's ruling family and chaired by Sheikh Tahnoon bin Zayed Al Nahyan. As part of the emirate’s sovereign wealth fund initiatives, IHC is involved in real estate, healthcare and technology. In India, it has focused on energy, infrastructure, and real estate. Investments in the country include a $1 billion investment for a controlling stake in Sammaan Capital , formerly Indiabulls Housing Finance, through its affiliate Avenir Investment RSC. The investment in the Odisha aluminium venture will further strengthen business ties between the Adanis and IHC, which first injected $2 billion in 2022 across three listed companies — Adani Enterprises, Adani Green Energy, and Adani Energy Solutions. .Pbanner{display:flex;justify-content:space-between;align-items:center;background-color:#ec1c40;margin-top:20px;padding:5px 10px;border-radius:4px;color:#fff;line-height:10px;} .Pbannertext{display:flex;align-items:center;font-size:16px;font-weight:600;font-family:'Montserrat';} .Pbannertext img{height:20px;margin:0 6px} .Pbannerbutton a{display:flex;align-items:center;background-color:#fff;color:#ec1c40;text-decoration:none;font-weight:600;padding:4px 8px;border-radius:6px;font-size:15px;font-family:'Montserrat';} .Pbannerbutton img{height:20px;margin-right:6px} .Pbannerbutton a:hover{background-color:#f7f7f7} Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel) (You can now subscribe to our Economic Times WhatsApp channel)

CNBC’s Jim Cramer said investors should use the latest market rotation to buy some of the biggest winners they may have missed. View More

watch nowVIDEO2:2802:28I like AMD on the dip, says Jim CramerMad Money with Jim Cramer CNBC's Jim Cramer said investors who feel they've missed this year's biggest winners should be thankful for Wednesday's market rotation. "You are getting a chance to sell the losers at a premium and switch to winners at a discount," the "Mad Money" host said Wednesday. "So often in this market, you look back and kick yourself that you didn't take advantage of the breaks in the strongest stocks out there. This is one of those breaks. Don't blow it."On the first day of the new quarter, investors rotated out of many of this year's biggest winners — including AI infrastructure stocks — and into some of the market's biggest laggards. While Cramer said those rotations are common at the start of a new quarter, he cautioned that many of the reversals prove short-lived. Instead, he said investors should use the pullback to add companies with more durable tailwinds."While rotations don't end in one session, they rarely last longer than two or three," Cramer said.Cramer said the recent pullback in AI infrastructure stocks has created potential buying opportunities. He reiterated his bullish view on Micron, Corning, AMD, Applied Materials and Lam Research, arguing that demand for semiconductors and data center equipment remains strong despite the recent selling pressure. Cramer's Charitable Trust, the portfolio used by the CNBC Investing Club, owns shares of Corning. Cramer said one notable exception to his framework for investing during rotations is Meta, which jumped Wednesday after a sluggish start to the year. The reason for the exception is that Wednesday's rebound was fueled by reports that the company plans to launch a cloud-computing business. He said this development fundamentally improves Meta's long-term outlook, diversifying the company beyond advertising by adding what he described as a lucrative business-to-business revenue stream. Cramer's Charitable Trust owns shares of Meta. "I told you that Meta could make a fortune simply by announcing it would rent out its extra computing power via a cloud infrastructure business like Amazon Web Services or Microsoft Azure," he said. "I think it has more room to run because their cloud business will be instantly profitable." Still, not every rebound deserves to be chased, he warned. In line with his framework, Cramer said that Wednesday's rebounds in software companies such as Salesforce and ServiceNow, along with packaged food maker General Mills and athletic apparel company Nike, may prove temporary. Cramer's Charitable Trust sold its position in Nike on Wednesday after another muted earnings report the evening prior. watch nowVIDEO12:5212:52Meta's new cloud business will be instantly profitable, says Jim CramerMad Money with Jim Cramer Jim Cramer's Guide to InvestingClick here to read Jim Cramer's Guide to Investing at no cost to help you build long-term wealth and invest smarter Sign up now for the CNBC Investing Club to follow Jim Cramer's every move in the market.DisclaimerQuestions for Cramer? Call Cramer: 1-800-743-CNBCWant to take a deep dive into Cramer's world? Hit him up! Mad Money Twitter - Jim Cramer Twitter - Facebook - InstagramQuestions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Memory maker Micron, which jumped over 240% in the second quarter, dropped 11% on Wednesday, wiping out nearly $200 billion of market capitalization. View More

In this articleMUINTCAMDFollow your favorite stocksCREATE FREE ACCOUNT Igor Golovniov | Lightrocket | Getty Images A day after closing out a blockbuster three months on Wall Street, high-flying chip stocks suffered steep declines to open the third quarter. Memory maker Micron dropped 11%, wiping out $138 billion of market cap. Intel fell 9% and rival chipmaker Advanced Micro Devices dropped 7%. Those three stocks boomed in the second quarter, adding $2 trillion in combined value, as investors wagered that the artificial intelligence buildout would require an ever-increasing amount of memory as well as more central processors, rather than just the graphics processors made by Nvidia. The VanEck Semiconductor ETF (SMH), an index that tracks chip stocks, fell more than 5% on Wednesday, a day after closing out the fund's best quarter ever, jumping 71% from the start of April through the end of June. Other big decliners on Wednesday included semiconductor equipment names Lam Research, KLA Corp. and Applied Materials which all more than doubled in the second quarter. They all fell at least 10%.One drag on the market was a report that Meta, one of the biggest buyers of AI infrastructure, may be looking to rent out excess computing capacity. That raised fears that AI processing supply may be catching up to demand. Meta is among a small group of so-called hyperscalers, internet companies that are spending hundreds of billions of dollars a year building out AI data centers. The move was viewed as a positive for Meta, which gained over 9% on Wednesday after a lackluster second quarter. Analysts at KeyBanc Capital Markets who recommend buying the shares wrote in a note to clients that the move positions Meta "more into the enterprise side of the market, which could provide more immediate" return on investment. Richard Saperstein, chief investment officer at Treasury Partners, said he would "stick with the hyperscalers" as the market recognizes their strength in the AI trade. "Earnings are accelerating, yet multiples are compressing," Saperstein said on CNBC's "Closing Bell." "All I can attribute that to hyperscalers have been valued as capital intensive and asset-heavy versus asset-light."Whatever concerns may be seeping into some of the infrastructure stocks, they have little to do with the most recent financial results. Micron last week reported a more than quadrupling of revenue in the latest quarter, while its gross margin, the profit left after accounting for the cost of goods sold, jumped to 84.9% in the third quarter from 39% a year earlier.WATCH: Cramer interview with Micron CEO VIDEO8:3208:32Micron CEO: We are investing globally to bring supply as fast as possible Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

The new business is a welcome signal for some investors who have been uneasy about the company's infrastructure spending plans. View More

In this articleNBISMETAFollow your favorite stocksCREATE FREE ACCOUNT watch nowVIDEO1:5101:51Meta building cloud cloud businessSquawk on the Street Shares of Meta closed up nearly 9% on Wednesday following news that the company is building out a new cloud business that could help recoup some of the billions of dollars it's poured into artificial intelligence infrastructure.Meta will sell its excess computing power to outside customers, CNBC's Jim Cramer confirmed. Bloomberg was first to report the news.The company is debating whether it will offer access to AI models that are hosted on its infrastructure, or whether it will sell access to raw computing power, according to Bloomberg. A representative for Meta did not immediately respond to CNBC's request for comment.Model developers, including Meta, have been racing to secure computing power since OpenAI kickstarted the AI boom with the launch of its ChatGPT chatbot in 2022, and demand far outpaces supply. Meta told investors in April that it plans to spend as much as $145 billion on capex this year as it continues developing data centers and securing the graphics processing units needed to train AI models and run large workloads. By standing up a cloud business, Meta could generate revenue on the capacity it's not using, a welcome signal for some investors who have been uneasy about the company's spending plans. The new business would also throw Meta into a new and fiercely competitive market, which is dominated by companies including Amazon, Microsoft, Google and CoreWeave, among others. Shares of neocloud companies CoreWeave and Nebius Group both plunged following the Meta news, sinking about 12% each. Read more CNBC tech newsAnthropic says Trump admin has lifted export controls on Claude Fable 5 and Mythos 5OpenAI, Anthropic backer MGX raises one of the biggest AI funds ever as it closes at $49 billionEmployers who laid off workers citing AI are already starting to regret itRecord chip rally adds $2 trillion in combined value to Micron, Intel and AMD in second quarter Mark Zuckerberg first signaled the possibility of a cloud move in the company's Q3 2025 earnings, and addressed it again in May during Meta's annual shareholder meeting."It's definitely on the table," Zuckerberg told investors, adding that if Meta gets to a point where it has overbuilt AI infrastructure, "then that is an option that we have."Meta is following the lead of Elon Musk's SpaceX, which has also started selling excess computing capacity this year. The company has inked lucrative deals with Anthropic, which has agreed to pay $1.25 billion per month for capacity, and Google, which has agreed to pay $920 million a month.Meta has been struggling to find its footing in the AI industry, even after spending $14 billion to bring in Alexandr Wang from Scale AI last year. The company debuted its first model under Wang's leadership, Muse Spark, in April, which it positioned as a "powerful foundation," not a state-of-the-art offiering.—CNBC's Julia Boorstin contributed to this story.WATCH: Meta’s Alex Himel on new Meta glasses: Wanted a more accessible price point watch nowVIDEO5:3305:33Meta's Alex Himel on new Meta glasses: Wanted a more accessible price pointSquawk on the Street Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Karp says skyrocketing token costs are forcing companies to choose open-weight models and prioritize efficiency over so-called tokenmaxxing View More

In this articlePLTRFollow your favorite stocksCREATE FREE ACCOUNT watch nowVIDEO7:5007:50Palantir CEO Alex Karp says 'something has gone completely wrong' with how AI is soldSquawk Box Palantir CEO Alex Karp on Wednesday criticized the token model used by U.S. artificial intelligence labs Anthropic and OpenAI as costs skyrocket. "I'm not throwing shade at them, but something has gone completely wrong," he told CNBC's "Squawk Box." "The basic view among enterprises in this country is I'm going to chillax and waste my time with tokens."As AI costs surge, and new models prove pricier than previous iterations, enterprises are shifting from a mindset of so-called tokenmaxxing in favor of a return on investment. That setup is prompting some enterprises to adopt open-weight models, capable of performing similar tasks at a fraction of the price. Chinese models are also accelerating capabilities, raising concerns that the AI rival could soon catch up to U.S. frontier labs. Shares of the AI software company climbed 8% on Wednesday. Read more CNBC tech newsAnthropic says Trump admin has lifted export controls on Claude Fable 5 and Mythos 5OpenAI, Anthropic backer MGX raises one of the biggest AI funds ever as it closes at $49 billionEmployers who laid off workers citing AI are already starting to regret itRecord chip rally adds $2 trillion in combined value to Micron, Intel and AMD in second quarter Karp told CNBC that the industry should not underestimate the speed at which China is making progress in building AI models.In this environment, many businesses are also shifting from using far-reaching AI models to building and training their own, more efficient proprietary tools.Earlier this week, Palantir announced an expanded partnership with Nvidia to use the chipmaking giant's AI tools to build custom models for U.S. government agencies.Karp views open-weight models as a potential solution for CEOs frustrated by AI labs.Ahead of Karp's interview, Palantir on Tuesday released a 9-point manifesto on the importance of "AI sovereignty" on social media platform X. The post criticized tokenmaxxing as a business model and encouraged companies to maintain ownership of their data. "What aligns me with Nvidia, and I think is what the technical customers want, which is control over their compute, their models, their data stack and their alpha," Karp said. "They want to know they own the means of production. It's not being transferred to someone else."— CNBC's Seema Mody contributed to this story. VIDEO19:3319:33Watch CNBC's full interview with Palantir CEO Alex Karp Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

The stock's struggles in 2026 had been due to concerns about its aggressive AI spending. View More

Meta Platforms on Wednesday gave investors what they needed to gain renewed confidence in the company's mounting artificial intelligence spending — and its stock. Meta is preparing to launch a cloud infrastructure business that would sell excess AI computing power and AI models to outside customers, Jim Cramer confirmed Wednesday, throwing its ring in the competitive cloud market with hyperscaler titans like Amazon Web Services, Alphabet's Google Cloud and Microsoft's Azure. Bloomberg News first reported on Meta's plans. Shares of the Facebook and Instagram parent soared more than 9% Wednesday to $617 per share, among the biggest gainers in the S & P 500 . The upbeat reaction is hardly a surprise to us — Jim has recently stepped up his calls for Meta to start a cloud business, predicting the struggling stock would soar in response. "Until today, our feeling was, what the heck is Meta doing?" Jim said Wednesday on CNBC. Now, he added, "they're going to use that [compute] power to offer a profitable enterprise to their customers." Meta shares entered Wednesday down almost 7% for the year, trailing both the S & P 500 and the tech-heavy Nasdaq Composite, which were up 9.55% and 12.4%, respectively. It was also the second-worst performer in the "Magnificent Seven," ahead of only Microsoft, which has been caught up in the broader "AI is eating enterprise software" narrative. Shares of Amazon and Google, the two other cloud giants, were up 5% and 14.6%, respectively. Meta has faced growing questions on its plan to monetize its enormous levels of capital spending on servers, data centers and network infrastructure. In the past, Meta has defended its investments in AI computing by saying it's improving its advertising business for Facebook and Instagram. But it's started to severely crimp Meta's free cash flow, reaching levels that made some investors uncomfortable considering its narrow and economically sensitive source of revenue. In 2024, Meta's capex totaled $37.2 billion, before rising to $69.6 billion last year. That's projected to almost double this year, to $135 billion at the midpoint of its guidance range. For comparison, Microsoft said in April that it plans to spend roughly $190 billion on capex this calendar year. While that above Meta's outlook, the key difference is Microsoft has a cloud business to serve. A similar defense applies to Google's $180 billion to $190 billion in projected 2026 capex, as well as Amazon's guidance for $200 billion . Building a cloud business, however, offers Meta another path to making money from all its AI spending, Jim explained Wednesday, which should help alleviate some of the market's concerns and improve attitudes toward the stock even before revenue starts landing in its coffers. In other words, Meta no longer would be a one-trick pony. Better yet, this new endeavor of cloud computing has proven to be an immensely profitable business for other companies. This isn't a complete surprise. In late May, Meta CEO Mark Zuckerberg said launching a cloud computing business was "definitely on the table." With the stock still languishing in recent weeks, Jim argued that Meta needed to start moving in that direction. In this week's Sunday column, he wrote : It is building out [computing] power, but for whom? We don't know. Maybe just its own advertising model? That's an ugh, and that's why its stock is going down. A coherent statement from Zuckerberg right now, one that says, "We aren't going to spend this data center money and wreck our balance sheet," or, even better, "We are going to monetize the power by building a web services system," — either one would get the stock out of the doldrums, which makes it a tantalizing investment still. To be sure, questions remain about Meta's plan to sell access to computing power. For Meta to successfully compete in cloud computing, it will require far more than just owning AI data centers, according to tech analysts the Investing Club interviewed before Bloomberg's report Wednesday morning. Tech industry analyst Ben Bajarin said investors should distinguish between two very different kinds of compute businesses. One is renting out AI infrastructure, which he called "bare metal" computing. In this case, customers would bring their own software and run it on Meta's hardware. The other is building a full-service cloud platform complete with software, developer tools and enterprise services like AWS, Microsoft Azure and Google Cloud. "The question really is, are they offering infrastructure to third parties, or are they trying to layer software on top of that," said Bajarin, chief executive and principal analyst at Creative Strategies, a Silicon Valley-based research firm focused on the technology industry. He also co-hosts "The Circuit" podcast, which covers semiconductors and the AI compute industry. Bloomberg's report suggests Meta is evaluating both approaches. One proposal would resemble AWS Bedrock, by allowing developers to access AI models hosted on Meta's infrastructure, while another would involve selling raw computing capacity similar to neocloud providers like CoreWeave or, more recently, SpaceX. Elon Musk's rocket-and-AI company last month struck a deal with Google in which Google will pay $920 million a month for additional computing power. SpaceX, which has built a massive data center near Memphis, Tennessee, also a similar deal with Anthropic. Bajarin said the timeline of when Meta's cloud business materializes depends on how ambitious its cloud plans are. If the company rents out excess AI infrastructure, the offering could arrive quicker because customers would supply their own software. On the other hand, building a full-fledged cloud platform like AWS or Google Cloud would take much longer. That's because he said building a cloud business to serve outside customers is harder than building data centers for internal workloads. Bajarin said it requires software that allows customers to deploy workloads on its infrastructure, an area in which established cloud providers have spent years investing. Paul Meeks, head of technology research at Freedom Capital Markets, said Meta's investment-grade balance sheet gives it a major edge over newer AI infrastructure providers that have relied heavily on debt to fund expansion . What Meeks questioned, however, is whether AI companies would want to host sensitive workloads on infrastructure owned by a competitor that's also building its own AI models and applications. He outlined the way AI labs like OpenAI and Anthropic may be thinking about it: "If Meta has a product that is competing with us, then people will hesitate to buy their cloud services," said Meeks, whose covered tech for decades. At the same time, Bajarin argued that demand for AI compute remains so strong that customers "will take compute wherever they can get it," which would work if Meta took the bare-metal approach. And if it pursues a full-fledged cloud service, Meta has relationships with tons of businesses that use Instagram, Facebook and WhatsApp — something we believe sets them up to be potential cloud customers. Bottom line We're pleased that Meta is taking steps to explore ways to commercialize its AI infrastructure and show Wall Street that it's sensitive to investor concerns. At the same time, bigger questions remain about how ambitious the company intends to be — whether it wants to be just another supplier in a compute hungry market or if it builds a full-service cloud platform. Either way, the move is another welcome step in Meta's efforts to turn its enormous AI investments into meaningful long-term returns for investors. (Jim Cramer's Charitable Trust is long META, AMZN, GOOGL. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.

Oil prices were lower on Wednesday after Iran said it would not meet with U.S. delegates for talks in Qatar, amplifying concern about the peace process. View More

In this article@LCO.1@CL.1Follow your favorite stocksCREATE FREE ACCOUNT A traditional dhow boat is seen at sea, with towering skyscrapers on the Doha Corniche in the background in Doha, Qatar, on June 29, 2026.Nurphoto | Nurphoto | Getty Images Oil prices fell Wednesday after President Donald Trump said U.S. talks with Iran in Qatar are going well.Brent crude futures, the international benchmark, fell 1.9% to close at $71.57 per barrel. The contract dropped roughly 21% last month, notching its largest monthly decline since March 2020.U.S. West Texas Intermediate futures lost 1.3% to settle at $68.58. The contract dropped more than 20% in June, reflecting its worst monthly performance since late 2021."As far as things are going, the denuclearization of Iran is moving along well" Trump told reporters. "They've had very good meetings and we'll see." Trump's son-in-law Jared Kushner and U.S. special envoy Steve Witkoff arrived in Doha, Qatar on Tuesday for indirect talks with Iran. The U.S. envoys are speaking with mediators and not directly with the Iranians, a Qatari government spokesperson said. The talks in Qatar come after renewed fighting between the U.S. and Iran over the weekend jeopardized a 60-day truce between the two countries. Tehran fired on two commercial ships and the U.S. struck targets in Iran in retaliation. Stock Chart IconStock chart iconBrent crude futures and WTI futures over the last three months. The U.S. and Iran struck a 14-point memorandum of understanding on June 17 to pause fighting that had disrupted global oil flows through the strategically vital Strait of Hormuz.Located in the Persian Gulf between Oman and Iran, the Strait of Hormuz is one of the world's most critical energy choke points. The narrow waterway typically handles around 20% of the world's oil traffic.Iranian state media reported Wednesday that a ship ran aground in the Strait of Hormuz while using a route that was not approved by Tehran. The Islamic Republic identified the vessel as a foreign container ship, without providing further details. Strait of Hormuz traffic The oil market continues to take an optimistic view on a supply recovery in the Middle East despite recent flare-ups between the U.S. and Iran, said ING strategists Warren Patterson and Ewa Manthey.They said in a research note published Wednesday that tanker vessel movements in the strategically vital Strait of Hormuz still appear limited. The Liberian flagged container vessel MSC Reef is seen docked along a pier at the Khor Fakkan Container Terminal, the only natural deep-sea port in the region and one of the major container ports in Sharjah Emirate, along the Gulf of Oman on June 28, 2026.- | Afp | Getty Images "Admittedly, there has been a slight pickup in inbound tanker traffic, suggesting that shipowners are becoming increasingly confident about moving vessels into the Persian Gulf," Patterson and Manthey said. "If this trend accelerates, it becomes a clear headwind—and potentially a direct challenge—to our view that oil prices should rise from current levels," they added. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Why the $20,000 new car disappeared, and what budget-conscious buyers can expect today. View More

As carbuyers' preferences have shifted, pricier vehicles have become the norm at dealerships, leaving budget-conscious shoppers with fewer affordable models to choose from. The $20,000 new vehicle has all but disappeared, accounting for just 0.2% of new-vehicle sales in 2025, according to Edmunds. The share selling for less than $30,000 also fell sharply, from 40% in 2019 to just 15%. Inflation is only part of the story, says Ivan Drury, director of insights at automotive research firm Edmunds. New-car buyers have increasingly favored SUVs and pickups, along with higher trim levels that offer more technology and comfort features. That has left automakers with less incentive to build inexpensive entry-level models."If the stuff that's $20,000 sits on a lot too long, but the stuff that's $70,000 is flying off the lot, why would you inventory the $20,000 car?" says Drury.That dynamic has reshaped the affordable end of the new-car market. Today's entry-level vehicles offer more features than they once did, but shoppers looking to spend less have fewer choices than they did just a few years ago. What an affordable new car looks like today Budget-conscious buyers are still shopping for affordable new vehicles, but the market isn't what it used to be.In 2019, the largest share of new-car buyers clustered in the low-to-mid-$20,000 range. Today, the biggest concentration of purchases falls between $30,000 and $35,000, according to Edmunds.Here are the lowest average transaction prices among new vehicles so far in 2026, according to Edmunds:Nissan Versa: $21,047 Nissan Kicks Play: $22,669 Kia Soul: $23,560 Hyundai Venue: $23,757Toyota Corolla: $24,916Hyundai Elantra: $25,040Nissan Sentra: $25,161Chevrolet Trax: $25,826Kia K4: $25,858Volkswagen Jetta: $26,519The most affordable new cars are largely compact sedans and subcompact crossovers.Many inexpensive models that once anchored the entry-level market, including the Chevrolet Sonic, Ford Fiesta, Hyundai Accent and Honda Fit, have been discontinued. Automakers have increasingly shifted toward larger vehicles and higher trim levels because they're more profitable, says Drury.The good news for buyers is that, vehicles across the market — even the cheapest models — are considerably better equipped than they once were, says Drury. "If you bought a Camry in 2017 and bought the same thing in 2026, you would be looking at a vehicle that has a substantial level of improvements across the board," he says Many technology and safety features that once required stepping up to a higher trim or more expensive model now come standard on many of today's entry-level vehicles, says Ashley NeSmith, founder of Ashley the Auto Advocate."You're getting a lot more vehicle than you did a few years ago," she says. How to shop in today's market With average new-vehicle prices hovering near $50,000, many shoppers are turning to the used car market in search of better value. Used vehicles have accounted for about three-quarters of U.S. vehicle registrations since 2019, according to S&P Global Mobility. Three- to five-year-old vehicles can strike a balance between price, depreciation and modern features, though a smaller supply of off-lease vehicles has kept prices higher than many buyers might expect, says Drury.A new Toyota Corolla averages about $25,000, compared with about $20,000 for a 3-year-old model and roughly $16,000 for a 5-year-old model, according to Edmunds.That doesn't mean buying new is the wrong choice, however. For some buyers, paying extra for the latest model can be worthwhile. Warranty coverage, lower maintenance costs in the early years and manufacturer financing incentives can still make buying new the right financial decision for people who expect to keep a vehicle for many years, NeSmith says.But buyers should avoid stretching an auto loan simply to make a more expensive vehicle fit their budget, says Jeff Judge, a certified financial planner at Chesapeake Financial Planners.While a longer loan term can lower monthly payments, it also increases borrowing costs over time and can leave buyers owing more than the vehicle is worth if they decide to sell or trade it in before the loan is paid off, he says.Want to get ahead at work? Then you need to learn how to make effective small talk. In CNBC's new online course, How To Talk To People At Work, expert instructors share practical strategies to help you use everyday conversations to gain visibility, build meaningful relationships and accelerate your career growth. Sign up today! Take control of your money with CNBC Select CNBC Select is editorially independent and may earn a commission from affiliate partners on links.What credit score do you need to qualify for the Chase Sapphire Preferred Card?How much should a honeymoon cost? Here’s the average price tag — and how to pay for yoursThe best hardship loans for bad credit of July 2026You can expect gas prices to remain elevated. Here’s how to saveCan you pay student loans with a credit card? VIDEO9:3609:36I quit my $250K/year tech job–now I make $33K/year selling matchaMillennial Money

Outright shorting bitcoin or high-beta crypto equities after a steep decline carries immense tail risk. View More

In this articleMSTRIBITFollow your favorite stocksCREATE FREE ACCOUNT watch nowVIDEO5:4205:42Crypto's pullback has put pressure on this stock. Here's how to play itOptions Action Bitcoin's nearly 9-month slide has even HODLers quaking in their boots.Despite the severity of the sell-off so far, several of the most reliable technical indicators — specifically exponential moving averages (EMA), weighted moving averages (WMA), MACD, and the Directional Movement Index (DMI) — continue to lean decidedly short.History provides a stark reminder of how deep crypto winters can cut. Prior to the current cycle, bitcoin's five worst historical drawdowns were significantly more brutal; four of them exceeded 80%. If a similar capitulation plays out today, a retracement of that magnitude would drag the digital asset back into the $22,000 neighborhood. Stock Chart IconStock chart iconBitcoin, YTD This weakness isn't occurring in a vacuum. Broad-based inflation hedges and commodity complexes are experiencing a parallel breakdown. Precious metals like gold and silver have recently cracked below their long-term moving averages. In base metals, while copper has managed to hold its ground so far, aluminum just crossed below its 200-day moving average.Outright shorting bitcoin or high-beta crypto equities after a steep decline carries immense tail risk. Maybe this crypto winter won't be as severe as the prior ones, and even if it is, vicious bear market rallies can ultimately wipe out short positions overnight. Instead, we can look to an approach executed successfully over the past year by one of our top-performing option income funds, which deployed structurally bearish directional positioning against MicroStrategy (MSTR) to harvest rich premiums. Retail investors can replicate this defensive, risk-defined posture using highly liquid options vehicles such as the iShares Bitcoin Trust (IBIT) or the aforementioned Strategy Inc. (MSTR). By selling out-of-the-money upside call spreads, you can establish a bearish tilt while strictly capping your maximum loss. My below trade is for Strategy. Consider this structured risk-reward layout using a representative weekly options chain to see how the mathematical advantage favors the seller: The trade Strategy - Bear Call Spread (Credit Spread)Underlying Price - $86.93 ReferenceStrikes - Short $87 Call / Long $90 Call (August 7th Weekly)Net Credit Collected - $1.50Maximum Profit - $1.50 (If underlying finishes below $87) Maximum Loss - $1.50 (If underlying finishes above $90) 1:1 payoff ratio might not seem compelling at first, but this is an out-of-the-money spread. Consider that the underlying stock can only do three things by expiration:It can go lower: Both options expire worthless; you retain the full $1.50 credit.It does nothing at all: The price remains below the short strike; you retain the full $1.50 credit.It goes higher: 1) For you to realize the maximum loss of $1.50, the price must climb all the way past $90 at expiration, capturing the full width of the $3.00 spread minus the $1.50 premium collected. 2) A naked short carries unlimited risk. This doesn't.Momentum is clearly still negative, but trying to time an exact bottom or press shorts at lows is a dangerous game. While it's perfectly acceptable to continue to lean short right now, do so with defined risk and let time be your ally. Use defined-risk credit call spreads to collect income while the crypto market (and, by extension, Strategy Inc.) sorts itself out. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Capital gains tax can be minimized through strategic planning and compliance with the Income Tax Act. Taxpayers may claim exemptions, utilize capital losses, consider holding periods, maintain accurate records, and time sales effectively to reduce their tax liability legally. View More