CNBC Business News Update - Market Close: Stocks Lower, Nike Tanks, Supreme Court Gives Big Business A Win And Overturns The Chevron Doctrine 6/28/24

Episode Date: June 28, 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 Ettinger. CNBC Wall Street opens on Monday morning to start July and third quarter trading after a strong first half of the year for stocks. June is done, so is the second quarter and the first six months. On Friday, the S&P 500 index and the Nasdaq each hit fresh intraday record highs before pulling back. The major averages all in the red on Friday. The Dow down 45 points, the S&P 500 index down 22. The NASDAQ fell 126 points. Year-to-date, some solid returns though for the major averages. The NASDAQ up about 18% so far this year. The S&P 500 index up about 14%. The Dow up 3%. You say say what tends to happen next after you have a first half like this? It almost all tilts to a positive bias. We can say that for sure. CNBC's Mike Santoli. Here's one investor very optimistic for the second half of the year for stocks. And we've had a great first half of the year. We move into Q3. There's a lot of great things going on. I think we're staying bullish. You know, I saw the other day that Goldman Sachs raised their best one on the S&P, went to 6,100. That's a pretty bullish call.

And I couldn't, I can't disagree with that. I think that's where we're headed. Vance Capital's Vance Howard on CNBC. Another investor points out a split. I mean, overall, we have this market that's up about 15%. But when you look underneath the hood, year to date, about 40% of stocks in the S&P are actually down. So it's a split market. Two key sectors, which are tech and communications and services, are really driving the gains. But that's the way the market composition is. Truists, Keith Lerner on CNBC.

One stock that struggled on Friday was Nike. Shares plunged 20% on a lowered outlook as its sneakers and clothing aren't much in demand right now. The Chevron doctrine overturned as the Supreme Court gave Republicans and big business a win after 40 years of precedent. For a generation, conservatives and business groups have been campaigning to overturn a Supreme Court ruling that was little known outside legal circles but had huge influence in the balance of power between companies and the government in Washington. It's the so-called Chevron Doctrine. They got their wish.

Now, the Chevron Doctrine stems from a 1984 Supreme Court ruling in Chevron versus the Natural Resources Defense Council, holding that federal agencies have the power to interpret laws passed by Congress whenever there's any gray area. Conservatives generally said that gave far too much power to regulatory agencies such as the Environmental Protection Agency. The Biden administration argued that overturning the Chevron doctrine, which has been in place now for 40 years, would generate a convulsive shock to the legal system. Now we'll find out just what that convulsive shock looks like. CNBC's Eamon Javers.

Rural retailer Tractor Supply has cut jobs related to DEI at the company, diversity, equity, and inclusion. It's also ending its pride support for the LGBTQ community and eliminating its carbon emissions goals. Warren Buffett gave away more than $5 billion on Friday, all to charities including the Bill and Melinda Gates Foundation. He still has more than $130 billion left over in Berkshire Hathaway shares. On the coming week's watch list, Wall Street, of course, is closed Thursday for the Fourth of July holiday.

No trading, but it's busy before and after we get jobs data, like the Joltz Report on job opportunity and labor turnover. Friday morning, the big June jobs report will be out. Wimbledon tennis begins on Monday. New in theaters Wednesday night ahead of the holiday. Universal Pictures' Despicable Me 4. Universal is a sister company to CNBC. Jessica Ettinger, CNBC. The Olympic Games are coming. Jessica Ettinger, CNBC.