CNBC Business News Update - Market Close: S&P 500 Index and Nasdaq Close At Record Highs, IRS & Treasury Look To Close Tax Loophole for the Wealthy 6/17/24

Episode Date: June 17, 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 winning day for stocks with the S&P 500 index and the Nasdaq, each at new all-time highs. The Dow up 188 points on Monday, a half percent. The S&P 500 index was up 41 points. That was three-quarters of a percent. And the Nasdaq was up 168 points. That was almost one percent. We have a really great environment right now. The data in the U.S. is very favorable. The

Atlanta tracker for GDP is running at 3.1 percent. Inflation is making progress. The job market remains pretty strong. The financial conditions are fairly easy. Hightower's Stephanie Link on CNBC. Companies whose shares have hit all-time highs Monday include Chipotle, TJ Maxx and Marshalls parent TJX Companies, Church & Dwight, Colgate, Palmolive, Costco, Eli Lilly, McKesson, Regeneron, Broadcom, Micron, Microsoft and Nvidia. One company whose shares went the other way? GameStop, after the company's annual meeting failed to offer any details on the chain's strategy. NFL Commissioner Roger Goodell took the stand in a class action lawsuit alleging that the DirecTV Sunday ticket package for football fans inflated prices for consumers.

The commissioner describing Sunday Ticket as supplemental and complementary to CBS and Fox's broadcast of Sunday afternoon games. Commissioner Goodell also noting that before Sunday Ticket launched back in 1994, which Goodell called an innovation, that there was no way that fans could access all of those Sunday afternoon games. He noted that the NFL had zero control over DirecTV's pricing of the Sunday ticket package. DirecTV, it is not currently offering Sunday tickets. Currently, it's YouTube.

CNBC's Julia Boorstin. The IRS and the Treasury moving to close a large tax loophole used by the wealthy and partnerships. The Biden administration is taking steps to crack down on a loophole in the tax code that allows companies and wealthy people to hide what the government says is billions of dollars in taxable income. So it's a strategy known as partnership basis shifting transactions. It's when a single company operates as several different legal entities, for example, in order to both maximize the deductions that they can take and minimize the taxes that they owe. The IRS estimates that closing this loophole will raise more than $50 billion in revenue over the next decade. This is

the latest step in the Biden administration's efforts to increase enforcement of the tax code with a particular focus on businesses and the wealthy. CNBC's Megan Casella. The spring home buying season fading away. It was lackluster to say the least, but there are glimmers of hope as summer arrives on Thursday. It's going to take some time. Buyers are still slow to get into the market and inventory has ticked up, but we're still in a huge housing deficit. Buyers are waiting a bit and sellers are still holding off because they don't want to let go of that two and three percent mortgage rate that they locked in. And they have a lot of equity in their homes.

So the market is better. It's improving. But it's a very slow sort of slog. Brown Harris Stevens, CEO, Bess Friedman on CNBC. On Tuesday's Watch List, we get retail sales numbers for May along with industrial production numbers and the Business Leaders Survey. Earnings have really slowed down. We only hear from home builder KB Home, Boeing's CEO on Capitol Hill Tuesday testifying on quality control, and Citi holds its annual investor day. Jessica Ettinger, CNBC.

The Olympic Games are coming. But first, the best American athletes have to make Team USA. The U.S. Olympic Team Trials on NBC and Peacock.