CNBC Business News Update - Market Close: Dow Snaps 8 Day Winning Streak, Gamestop Shares Soar 70%, McDonalds 5$ Value Meal...Or Not? 5/13/24

Episode Date: May 13, 2024

From Wall Street to Main Street, the latest on the markets and what it means for your money. Updated regularly on weekdays, featuring CNBC expert analysis and sound from top business newsmakers. Anchored and reported by CNBC's Jessica Ettinger.

I'm Jessica Edinger, CNBC. Wall Street opens Tuesday morning after a mixed day for the markets. The Dow snapping an eight-day winning streak. It was down 81 points. The S&P 500 index down a point. The Nasdaq was higher, up 47 points. Companies whose shares hit fresh all-time highs on Monday include Procter & Gamble, Aflac, Raytheon, Colgate, Palmolive, and Costco.

The market is in a good spot. We could see more move up from here, especially if we get an inline CPI print this week. Callen Family Office's Raeann Mitrioni on CNBC. The CPI print, that's the Consumer Price Index, the latest on inflation. It's going to be out Wednesday morning. GameStop shares soared 70% Monday after the meme stock trader Roaring Kitty posted on Twitter, which is now X, for the first time in three years, spurring maybe some buying. Airlines are suing the Biden administration over its fee

transparency rule. They don't want to be forced to show passengers the fees up front that they're being charged, saying it's going to confuse people. The Transportation Department says it will vigorously defend the airline junk fee rule. American Delta, United and three other carriers, plus the industry trade group, filed the suit to keep flyers in the dark. OpenAI launching a new AI model and a new desktop version of ChatGPT. Google starts a big developer event on Tuesday. Google's developers conference called I.O. expecting more updates to its AI model called Gemini,

which has kind of stumbled out of the gate. And Microsoft's developer conference exactly one week later on May 21st, expecting a lot of this to focus on AI PCs, also expecting more AI features in Windows 11, and of course, updates to the co-pilot assistant. And the most consequential of the bunch, it's going to be Apple's Worldwide Developers Conference on June 10th. This will be Apple's coming out party for generative AI. CNBC's Steve Kovac. The UAW faces a key test in the South with a vote this week at Alabama Mercedes-Benz plants.

Here's what's going to happen in Alabama. You've got approximately 5,100 workers at two plants near Tuscaloosa. The significance of this is, is this the next domino, if you will, in the foreign automaker plants in the south that's going to fall? If they are successful at the Mercedes-Benz plants in Alabama, then take a look at Hyundai and Toyota, two plants where the UAW has said, look, we believe we can organize those plants. The vote goes through Thursday. We'll have the results on Friday. CNBC's Phil LeBeau. McDonald's got a lot of press over the new $5 value meal, except there isn't one, at least not yet. CNBC reported the

company may be working on it, but franchisees may be pushing back, too. A lot of other news outlets just said it's coming. The company does kind of indicate that somebody got ahead of the story, but this is what I'm waiting for. I'm waiting for the people and companies that raise prices too much to own it by rolling back. And that would be the beginning of the major rollbacks because McDonald's burgers have gone up hugely in price since 2019. So this would show that McDonald's is absolutely in sympathy and is what I'm now calling an inflation fighter. I'm looking for those who are inflation fighters. McDonald's is a fighter. CNBC Mad Money host Jim Cramer.

On Tuesday's watch list, earnings from Home Depot and Sony and the Google Developers Conference begins. Jessica Ettinger, CNBC. The latest market news and analysis. Listen to CNBC wherever you get your podcasts.