CNBC Business News Update - Market Close: Stocks Mixed, Trump Says Tariffs Are Being Negotiated, Stocks Losses Could Lead To Even Slower Housing Market 4/7/25

Episode Date: April 7, 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 Edinger, CNBC. Wall Street opens Tuesday morning after a wild yet mixed day for stocks. The Dow swinging 2,500 points on headlines. The S&P 500 index briefly touching bear market territory early in the session. Investors like to flip flop from the White House. As President Trump says, yes, the tariffs are negotiable. We have many, many countries that are coming to negotiate deals with us. This, even though for days the White House and its representatives had said there would be no negotiation. The Dow was only down 349 points, just under 1 percent. The S&P 500 index down just 11 points. The NASDAQ actually in the green on Monday, up 15 points. Nvidia shares helped that. Nvidia was up 3.5 percent.

The idea that the White House is negotiating on tariffs is easing market stress. The Treasury Secretary here indicating that there is a live negotiation now between the United States and Japan at least, even though you've had folks like Peter Navarro from this White House on television saying this is not a negotiation, you now have the Treasury Secretary saying this is a negotiation. CNBC's Eamon Javers. On Monday, though, things escalated with China as President Trump threatened a new 50% tariff if Beijing doesn't pull off its tariffs

retaliating against the U.S. Some are calling it a game of chicken. How long does it take to kill an economy that was pretty strong? We're about to find out if they don't ease off on these tariffs. Yardenne researches Ed Yardenne with CNBC's Joe Kerman. One of the biggest Tesla bulls on Wall Street says it's time for CEO Elon Musk to leave government and run his company, which is worth 40% less now than at the beginning of the year.

As one of the biggest supporters of Tesla, this is the time, because if you don't do it now, then ultimately you risk permanent brand destruction that I believe changes the Tesla story. Wedbush securities, Dan Ives on CNBC. U.S. crude oil, WTI, West Texas Intermediate falling. But that's not always good for the oil business. But you're sitting in WTI terms at $60 a barrel.

That's below the break evens of some of those shale guys at 65. You go down below 55, you're now below the economics of the Permian. Carlisle's Jeff Curry on CNBC. The Permian Basin is the oil rich area in Texas and New Mexico. Morgage rates ticked lower heading into the weekend. By Monday, they were back up to six and three quarters percent for a 30 year fixed home loan, according to mortgage news daily. And real estate experts say the Trump tariff agenda is making a mess of the spring housing market even for wealthier people.

Most of the activity is on the higher end of the market. Those are stockholders. Those are people who invest and who are seeing their portfolios drop dramatically. And so if they're thinking I wanted to move up into that home, but I'm worried about my retirement funds. I'm worried about where the economy is going, or maybe I'm worried that I'm going to lose my job. I don't think I'm going to buy that house right now. Yeah. And if they were hoping to sell stocks to fund the down payment,

that's likely way down. And so now they have less money for the down payment. CNBC is Brian Sullivan and Diana Olek. On Tuesday's watch list, all eyes on the markets and the latest on tariffs from the White House. Earnings are coming from Walgreens and egg producer CalMain Foods. And we get the latest on how small business owners are feeling about the economy. Jessica Erringer, CNBC.