CNBC Business News Update - Market Close: Stocks Mixed, Fed Meeting Minutes Show Tariff And Inflation Worries, Target Shares Fall On Disappointing Results 8/20/25

Episode Date: August 20, 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 Eddinger, CNBC. Wall Street opens Thursday morning after a mixed Wednesday for stocks. The minutes from the last Fed meeting showed members are worried about tariffs, the inflation they're causing, and the weakening labor market. The Dow eeked out again on Wednesday, up 16 points. The S&P 500 index was down 15 points, and the NASDAQ, down 14 points, a little more than a half percent. NVIDIA shares were down about a tenth of a percent on Wednesday. Companies who shares at

fresh all-time highs include AutoZone, T.J. Max and Marshall's parent T.J.X. Companies on strong quarterly results and Allstate. Google unveiled new AI-powered Pixel 10 smartphones. The base model starts at $800, the most expensive, $1,200. Apple has been behind on AI and is expected to show off new phones next month, but investors are hoping for something better than Siri. Google has high hopes for its pixel tens. Target continues to struggle. Its sales fell again in the last quarter and the CEO is stepping up to the board. Longtime Target insider Michael Fidelke will take the job to try to turn things around at the retailer. So I had a chance to speak with Michael Fidelke, incoming CEO, talking about what's gone wrong and what target's special sauces, how they get back.

My takeaway from Fidelke is it's the Tarje, sort of on-trend, design-led products at good values. That's what made people like Target. Maybe they got away from that. CNBC's Sarah Eisen, and here's SW Retail Advisors Stacey Widlitz on CNBC. The bottom line is Target is losing share in more than half of their categories. The stores are a mess. They're in disarray, inventory shortages, labor shortages. is. Meantime, T.J. Max and Marshall's parent T.J.X. Companies had strong quarterly results. It's

been capturing bargain hunting customers. Being a treasure hunt, not having everything available online. I think many people thought that was never going to work. Look at the numbers. It works. And TJX is definitely stealing market share from the likes of Target. Also probably a coals. That's CNBC's Courtney Reagan. President Trump calling for a Fed governor, Lisa Cook, to resign. She's being accused of occupancy mortgage fraud. The president's been railing on the Fed to cut interest rates. If she leaves, the president will be able to appoint a replacement. McDonald's combo meals will get cheaper, according to the Wall Street Journal.

Some of these Big Mac combo meals had reached 18 bucks in some areas of the country. They are going to be cutting the cost of their combo meals. They finally were able to convince franchisees to go along with this new pricing model. The journal's reporting is that, meanwhile, you got things like Chili's comping well into double digits so that you can see where McDonald's would feel some pressure there. Yeah, Chili's comping that way. And then if you see the value that's advertised for the sit-down, casual restaurants, like Chili's and Applebee's, I mean, they've converged in price point to a large degree.

CNBC's Mike Santoli and Carl Kintanilla. Hertz shares popped on where the rental car chain will start selling its used vehicles on Amazon. Cruise lines, they've been changing itineraries out of the East Coast ports to minimize the rough trip near Hurricane Aaron. Bermuda, ports of call, have been canceled or switched to Western Caribbean stops or Canadian ports. On Thursday's watch list, we get earnings from retailers, Walmart, and discounter Ross stores. We find out how many people applied for unemployment benefits last week, and we find out existing home sales numbers for July. ESPN launches its flagship streaming service. The PGA Tour Championship begins in Atlanta.

Jessica Eddinger, CNBC. CNBC is the network for ambitious people.