CNBC Business News Update - Market Close: Stocks Lower, Nvidia Up 1% Ahead of Earnings Wednesday, Intel Stake Leads USA Toward Sovereign Wealth Fund 8/25/25

Episode Date: August 25, 2025

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 by CNBC's Jessica Ettinger.

I'm Jessica Ettinger, CNBC. Wall Street opens Tuesday morning after a losing day for stocks on Monday. Invidia's gains failed to prop up the NASDAQ. Let's start with the Dow. It had gained 800 points last Friday. Gave back 349 of those on Monday, down three quarters of a percent, led lower by shares of Merck, which were down more than 2%. The S&P 500 index Monday fell 27 points, almost a half percent. The NASDAQ was down 4.5.5. The NASDAQ was down 4.5.5. 47 points, a quarter percent. Invidia shares were in the green Monday, up 1%. Companies who shares hit fresh all-time highs on Monday include Dillard's Seagate, United Rentals, and Google Parent Alphabet. NVIDIA reports quarterly results after the closing bell on Wednesday. And while the company wants to sell some of its lower-end chips to China, investors don't want China to catch up when it comes to

AI. Huawei chips, they just really don't stack up. Really the key here is that an American A American stack needs to run AI globally so that China can't get better at it. Melius researchers, Ben writes us on CNBC. Homebuilders sold more newly built homes than expected in July, and they were cheaper overall, too, than the same month last year. This is based on signed contracts during the month of July, so people out shopping, inking their deals. And that's when mortgage rates were still on the higher level, above 6.75% on the 30-year fix. They have since come down, but that didn't happen until the first week. of August, so that's not represented in these numbers. Now, the median price of a new home sold was

$403,800. That is down 5.9% year over year. So you see the builders lowering prices. Of course, we know the builders, the big publics have been buying down mortgage rates. CNBC's Diana Oleg. President Trump Monday celebrated the government's unprecedented new 10% stake in struggling chipmaker Intel, saying he'll make deals like that for the U.S. all day long. Here's CNBC's Andrew Ross Sorkin with White House Economic Advisor Kevin Hassett on CNBC. We have been exporting the idea of a free market around the world for as long as I can remember. And this is a major shift. Do you not agree? No, I think this is a very, very special circumstance because of the massive amount of Chips Act spending that was coming in Tellsway.

But the president has made it clear all the way back to the campaign that he thinks that in the end it would be great if the U.S. could start to build up a sovereign wealth fund. And so I'm sure that at some point there'll be more transactions, if not in this industry, at other industries. A take on this from Cambridge economist Mohamed El-Aryan on CNBC. The only thing I like about this intel transaction is a message to the private sector. There is no free lunch. If you're going to take money from the government, don't think it comes free. However, I worry about this critical difference between ownership and control. And I just would be very nervous if suddenly we go into a world in which the government,

starts impacting lots of business decisions. Netflix expanding past the streaming screen with permanent Netflix houses. Netflix announcing is opening Netflix houses in Philly and Dallas this year and then in Las Vegas in 2027. These experiential entertainment locations are designed to reinforce fandom to minimize churn and, yes, generate some incremental revenue. They offer a combination of free and paid experiences, including VR games, mini-golf, screenings, and Netflix Bites-themed restaurants. CNBC's Julia Borsden. On Tuesday's watch list, we get earnings from Box and PVAH, we get durable goods orders, we get the latest on home prices with the S&PK Schiller Home Price Index,

and a fresh read on consumer confidence will be out. Also Tuesday morning, pumpkin spice lattes back at Starbucks. Jessica Eddinger, CNBC. is the network for ambitious people.