CNBC Business News Update - Market Midday: Stocks Higher, GameStop Tumbles 40%, Investors Digest Strong May Jobs Report 6/7/24

Episode Date: June 7, 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. It's been a volatile day for stocks after a strong jobs report for May from the Labor Department. Bond yields have been moving around. Stocks originally were lower this morning. They are higher this afternoon. The Dow is up 73 points. The S&P 500 index up 15 points. The Nasdaq now up 38 points. The Nasdaq now up 38 points. Shares of GameStop tumbling 40 percent as the roaring

kitty trader says very little new about the retailer on a live stream. His first in four years. The U.S. added a load of new jobs last month. Stronger than expected. Two hundred and seventy two thousand. Two hundred and seventy two thousand. And if we look at the unemployment rate for the first time since January of 22, it hit 4%. CNBC's Rick Santelli. This is a pretty strong report. It's on top of many strong reports that we've seen. Payroll growth obviously came in a bit higher than people expected. The unemployment rate ticked up slightly to 4%. The unemployment rate has still been at or below 4.0% for 30 months in a row. So it's still quite a strong report here.

The Economic Policy Institute's Elise Gould on CNBC. Now, the prospect of the Fed cutting interest rates in the short term is fading. The probability of a rate cut declining because we're just not getting the weakness. CNBC economics reporter Steve Leisman. Meantime, if you've seen some negative headlines or suspect news reports about some young people having trouble finding work this summer, don't believe the hype or that clickbait.

We've been seeing lots of doom and gloom headlines about how entry-level hiring is plummeting, how there are 75% fewer entry-level jobs for new grads. That doesn't really appear to be the case. Zip recruiters Julia Pollack on CNBC. Actually, youth employment has either been the highest or the second highest each month this year since the Great Recession. So if you have a high schooler or college student or grad hanging around the house saying they can't find anything, double check that. Milwaukee-based retail giant Kohl's saying no to sponsoring Republican convention events as Wisconsin hosts the GOP next month. It's likely to name Donald Trump as its nominee.

The city's host committee chair says most of Wisconsin's eight Fortune 500 companies have pledged some support, including Northwestern Mutual Insurance and Fiserv. General Motors is eyeing a secret weapon to sell its new electric vehicles. It's Costco. GM is increasingly using the Costco auto program as EVs go mass market for models like the Chevy Equinox. Today is National Donut Day. Duck Donuts will give you a free cinnamon sugar donut, so will Krispy Kreme. Dunkin' makes you buy a beverage first before you get a free donut.

New in theaters, Lionsgate's horror film Ballerina and Sony's Bad Boys Ride or Die. Jessica Ettinger, CNBC. I just love this game. So excited to share it with the world. The Olympics from Paris starts July 26th on NBC and Peacock.