Fed interest rates cut, oil prices

Analysts have become more bullish on six stocks from around the world this week, raising their price targets.

The price target changes come ahead of the next earnings season covering the first quarter of this year.

CNBC Pro screened for global stocks that have received price target upgrades from five or more analysts in the past seven days and have a potential upside of over 25%.

CNBC Pro subscribers can read more about the six stocks here.

— Ganesh Rao

Crude oil futures rose Thursday, recouping losses from earlier in the session as tensions in the Middle East continue to mount.

The West Texas Intermediate contract for May delivery gained $1.16, or 1.36%, to settle at $86.59 a barrel. The Brent contract for June delivery advanced $1.30, or 1.45%, to $90.65 a barrel. It was the highest settle for both since Oct. 20.

The Jerusalem Post reported that Israeli embassies had been put on high alert after Iran vowed retaliation over a missile strike on its consulate in Damascus earlier this week. Israel Defense Forces have cancelled home leave for combat troops amid mounting tensions with Tehran, according to the Times of Israel.

Oil prices have rallied this year, booking three consecutive months of gains with U.S. crude adding nearly 21% while Brent is up 7.7%. The rally has been driven by mounting geopolitical tensions and a tightening global crude market.

— Spencer Kimball

Minneapolis Federal Reserve President Neel Kashkari on Thursday expressed caution that interest rate cuts might not happen this year unless there’s more progress on inflation.

“If we continue to see inflation moving sideways, then that would make me question whether we need to do those rate cuts at all,” Kashkari said during an interview with Pensions & Investments, according to a Reuters account. “There’s a lot of momentum in the economy right now.”

Kashkari, a nonvoter this year on the Federal Open Market Committee, is the second central banker this week to dampen rate-cut talk. On Wednesday, Atlanta Fed President and FOMC voter Raphael Bostic said on CNBC that he envisions just one cut this year, and likely not until the fourth quarter.

—Jeff Cox

Richmond Federal Reserve President Thomas Barkin added to the recent cautionary tone from monetary policymakers, saying Thursday that a strong economy gives time to watch the inflation data for progress.

“While I don’t see the economy overheating, the Fed knows how to respond if it does. And, if the economy slows, the Fed has enough firepower to support it as necessary,” Barkin said during a speech in his home district. “In the interim, I think it is smart for the Fed to take our time.”

Noting that inflation data this year has been “a little less encouraging,” he said the strong labor market and macro economy allow Fed officials “time for the clouds to clear” before cutting.

—Jeff Cox