CNBC Business News Update - Market Close: Longest Dow Winning Streak Since December, Disney+ To Crack Down On Password Sharing, Panera Phases Out Caffeine Fueled Lemonade 5/7/24

Episode Date: May 7, 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 Wednesday morning after a mixed Tuesday for stocks. The Dow's on a five-day winning streak, though it was up 31 points. The S&P 500 index in the green up six points, the Nasdaq down 16. For a flattish day overall. Boring is good for bull markets. We know that just general relaxation about the interplay between the economy rates, the Fed. We also have some runway between now and, let's say, CPI next week, where it's not clear that there's anything known that's going to come along to really disturb the current consensus.

CNBC's Mike Santoli. The CPI, the Consumer Price Index, will be the next read on inflation. It's out next Wednesday. Tuesday, a number of companies' shares hit fresh all-time highs like Amazon, Royal Caribbean, Colgate-Palmolive, Procter & Gamble, Goldman Sachs, and Progressive. TikTok is suing the U.S. government over the ban or forced sale of the Chinese-owned company as a security threat. I think they're going to get their day in court. I think it's a flip of a coin whether or not that is successful. Even if it is successful, it'll just

go back to the U.S. Congress and they'll more narrowly tailor the law, which I think is appropriate. Altimeter's Brad Gerstner on CNBC at the Milken Conference. Disney shares were down 9% Tuesday as the company moved to a loss in its second quarter on restructuring expenses and for the Disney Plus streaming service. Well, here comes the password sharing crackdown. We're starting to go after people who are sharing passwords improperly and that will roll out in earnest or across the globe in September. We feel quite bullish about it. Obviously, we're heartened by the results that Netflix has delivered in their password sharing initiative. Disney CEO Bob Iger on the earnings call. Apple announced a new iPad Pro with the M4 chip and the screen that iPhones have,

plus new iPad Air tablets. That business really needs a boost. Sales have fallen for five out of the last six quarters, but the big news out today is the iPad Pro getting Apple's latest and greatest computer chip called the M4, not even in MacBook computers yet, hitting the iPad first. Also updates to the iPad Air, which now comes in a bigger size and has an upgraded chip as well. CNBC's Steve Kovach, the new 13-inch iPad Pro starts at $1,300. Struggling Peloton being circled by private equity firms sniffing out a possible buyout. Last week, Peloton said its CEO was stepping down and it was cutting 15% of its staff. Abortion bans are driving away young talent from jobs with companies based in states that have banned abortion.

A new NBC Generation Lab survey found about 60% of young workers say they'd probably not or definitely not live in a state where abortion is banned. If I'm sitting in the C-suite of a Fortune 500 company and my state's governor is floating the notion of an abortion ban, I might be calling them up to make sure they understand the implications of abortion laws on how much my state can compete for best talent. I wonder how long it's going to be before you see a CEO move shop to a new state on the basis of abortion laws. Generation Lab CEO Cyrus Beschloss on CNBC,

companies in line for trouble hiring top young talent include American Airlines and Exxon based in Texas, Walmart based in Arkansas, and FedEx based in Tennessee. Panera Bread is phasing out charged lemonade after the highly caffeinated beverage was blamed in at least two deaths. On Wednesday's watch list, earnings are coming from Uber, Airbnb, Instacart, Affirm, Shopify, Robinhood, Toyota, and News Corp. We find out how many people applied for unemployment benefits last week. Jessica Ettinger, CNBC. The latest market news and analysis. Listen to CNBC wherever you get your podcasts.