Stock Futures Mostly Higher Ahead of Fed Decision, Big Tech Earnings; Gold Hits Latest Record

How Long Will it Take to Recover If AI Displaces Your Job?

FROM 18 minutes ago

If AI comes for your job, how long of a recovery should you expect? 

Workers in industries disrupted by artificial intelligence (AI) may require an average of one month longer than others to find work, according to research Goldman Sachs published this month. Generally, unemployed workers are out of a job for a median of 11.4 weeks, according to the most recent Bureau of Labor Statistics data.

Workers displaced from shrinking fields may also see less income once they return to work. Their earnings may decline more than 4%–or double the rate of other displaced workers–when they do land a full-time role, Goldman Sachs analysts said. Their analysis was based on outcomes for workers in “disrupted occupations”—those in the bottom quintile of employment growth—from 1990 to 2024, excluding the Great Recession.

“Workers displaced from occupations with contracting employment faced significantly higher probabilities of long-term unemployment, indicating greater difficulty re-entering the labor market and increased risk of permanent career disruption,” the report said.

As more employers adopt AI, concerns are growing about job losses. Some 6% to 7% of U.S. workers may be displaced by AI in the next decade, Goldman Sachs estimates. The shift could be particularly challenging for those 55 or older, given prior periods of disruption, Goldman Sachs said.

Another at-risk group may be those who work under supervisors and struggle to use AI, the Federal Reserve Bank of St. Louis said.

Read the full article here.

–Sarina Trangle

Here’s How Much Traders Expect Microsoft Stock to Move After Earnings

FROM 35 minutes ago

Microsoft is scheduled to report its latest quarterly results after the market closes on Wednesday, with traders anticipating a big move in the tech giant’s stock following the results.

Options pricing suggests traders expect Microsoft’s (MSFT) stock could move close to 5% in either direction by the end of the week. A move of that size from Tuesday’s close near $481 could lift Microsoft shares above $502 at the high end, or drag them down to $459 at the low end.

The shares are down about 11% from when Microsoft last reported results in October, when the company topped estimates but said it would significantly boost its investments in AI infrastructure. Shares had closed at a record high around $542 the day before the results.

Amid lingering worries about the company’s AI spending, investors will likely be eager to hear what executives have to say about capital…