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Kohl’s stock has risen nearly 10% following the dismissal of CEO Ashley Buchanan due to unethical conduct

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The company stated that Buchanan’s firing was ‘not connected to the performance of the business,’ which has suffered from reduced sales.

Kohl’s stock performance

Shares of Kohl’s Corporation (NYSE: KSS) increased by almost 10% on Thursday after the board terminated CEO Ashley Buchanan just four months into his tenure. Michael Bender, the board chair, has been appointed as the interim chief executive officer, effective immediately.

Buchanan’s dismissal followed an investigation by the Kohl’s board, which discovered that he breached the company’s code of conduct twice and was involved in undisclosed conflicts of interest due to a personal relationship with a vendor, as reported by The Wall Street Journal.

“Kohl’s stated that Buchanan’s termination is not related to the company’s performance, financial reporting, or operational results and did not involve any other company personnel.”

According to USA Today, the former CEO had a total compensation package exceeding $20 million.

On Thursday, Bender and other executives held a company-wide meeting to communicate the leadership changes and to reassure employees, as reported by the WSJ. Bender now becomes the fourth CEO to lead the struggling retailer in just three years, which continues to experience a downturn in sales.

Along with the leadership announcement on Thursday, Kohl’s also shared preliminary predictions for its first-quarter financial results, estimating that sales would likely decline by approximately 4%. The company will disclose these earnings at the end of this month on May 29 at 9 a.m.

Similar to many retailers, Kohl’s has been facing challenges with falling sales and reduced foot traffic due to consumers cutting back on spending in light of rising living costs and preferring online shopping over in-store visits.

Business

The recent surge in the VIX could indicate a bullish trend for the stock market

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Wall Street’s measure of fear might not be as alarming if one focuses on long-term investments.

According to Charlie Bilello, the chief markets strategist at Creative Planning, the CBOE Volatility Index (^VIX) experienced its largest three-day surge of the year recently. On April 7, the VIX hit its highest point in 2025 at 46.98 as international markets responded to worries over Trump’s tariffs.

Market Performance of VIX

From April 4 to April 7, the VIX surged by 118%, making it the fifth-largest increase recorded since 2014, based on Bilello’s analysis.

Interestingly, although traders frequently utilize the VIX as a short-term indicator of market fear, historically, its extreme levels have suggested a bullish outlook for stocks over the long term.

After analyzing VIX spikes over the last decade, which ranged from 63% to 176%, Bilello found that the average one-year return for the S&P 500 (^GSPC) amounted to around 4.4%. Furthermore, five years following the VIX increase, the S&P 500 has shown an average return of 10.2%.

“Bilello mentioned on X that ‘high volatility and fear present a chance,’ seeking to explain the beneficial aspects associated with a measure frequently seen as bearish.”

Currently, the VIX is at 40. In line with Bilello’s findings, buyers have started to surface in the currently depressed stock market.

The Dow Jones Industrial Average (^DJI) surged by 3.4%, gaining over 1,300 points at the opening, as traders seized on reports that the Trump administration has begun trade talks with Japan and other nations. Notable rises are also happening in the S&P 500 (^GSPC) and the Nasdaq Composite (^IXIC).

This development is interpreted as an indication that Trump’s widespread tariffs, which are expected to be implemented on Wednesday, will serve as a negotiating strategy.

Business

Tesla stock falls as worries grow over Trump’s tariff proposals

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Tesla Inc. stock experienced a decline on Monday as investors reacted to increasing macroeconomic uncertainty following U.S. President Donald Trump’s announcement of new tariffs.

Key Information: Trump revealed intentions to implement 25% tariffs on imports from Canada and Mexico, along with 20% tariffs on goods from China, effective Tuesday. This announcement has heightened worries about rising costs for American consumers and the likelihood of increased inflation.

Economic indicators have already shown signs of deterioration, with consumer spending falling in January and some GDP predictions turning negative. Inflation continues to surpass the Federal Reserve’s 2% target, with the Consumer Price Index jumping 3% in January, which was higher than economists had anticipated.

While Treasury Secretary Scott Bessent diminished the inflationary consequences of the tariffs by stating that China would bear the costs, investors remain wary. St. Louis Federal Reserve President Alberto Musalem noted that short-term inflation expectations have “increased significantly” in recent weeks.

The Federal Reserve has kept interest rates steady at a target range of 4.25% to 4.5% since January, and the likelihood of maintaining this range during the next meeting stands at 93%, as per the CME Group’s FedWatch tool.

Tesla Stocks Monday report

TSLA Stock Movement: Tesla shares fell by 2.84% to $284.65 at the close of the market on Monday.

Business

Recently, hedge firms that were shorting Tesla lost over $5 billion

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Hedge funds that have held onto their wagers against Tesla Inc. (TSLA) since Donald Trump’s election victory have lost billions of dollars as a result of the unique bond between Elon Musk and the president-elect.
According to Bloomberg calculations based on data provided by S3 Partners, hedge funds that had short positions against Tesla between election day and Friday’s closing suffered on-paper damage of at least $5.2 billion.

According to secondary data given by Hazeltree, which tracks the positions of over 500 hedge funds, they were one of a shrinking group caught off guard as many of their peers liquidated bets against Tesla over the past four months. That change in roles came at the same time as Musk’s endorsement of Trump on July 13.

The CEO of Tesla has become the biggest admirer of Trump among billionaires. Musk is one of the largest donors to the 2024 race since he has fueled Trump’s campaign with his wealth as the richest person in the world. Since Trump has made it apparent that he intends to reward loyalists, Musk’s decision to align with the president-elect now positions him for a position of political influence.

He had “a small short in Tesla heading into the election,” according to Per Lekander, CEO of hedge fund manager Clean Energy Transition. His losses were “pretty small” because he had been able to reduce the position “quite a lot.”

He said, “But we have lost some money.”

Tesla Stock

Tesla’s stock has increased by about 30% since the election on November 5. representing well over $200 billion in additional market value, the corporation was worth more than $1 trillion by Friday. In light of this, hedge funds that had previously placed short bets have hurried to change their strategy.

Weekly data from Hazeltree shows that as of Nov. 6, just 7% of hedge funds were net short Tesla, compared to 17% in early July. Only 8%, however, are net long in stock.

Even while the rest of the EV industry faces challenges like trade tensions, declining consumer demand, and heightened competition, Tesla has proven to be a risky company to short. Nearly one-fifth of the hedge funds that Hazeltree tracks had placed bets on Tesla in July, but they were severely misguided when the firm released sales data that set off a sharp increase.