CNBC Business News Update - Market Midday: Stocks Higher, S&P 500 Hits New Record, "Despicable Me 4" Wins Weekend Box Office 7/15/24

Episode Date: July 15, 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. Stocks are higher this afternoon. The rate cut rally continues from last Friday. Investors are hoping the Fed lowers interest rates maybe in September. The S&P 500 index hit a new record high. The Dow up 324 points, eight-tenths of a percent, comfortably above 40,000. The S&P 500 index up 38 points, more than a half percent, and the Nasdaq up 154 points. That's eight-tenths of one percent. Companies whose shares hit fresh all-time highs today include Hilton, Royal Caribbean, Aflac, Discover, Goldman Sachs, Boston Scientific, Eli Lilly, Waste Management, Oracle, and Apple. The failed assassination attempt on former President Trump dominating the headlines and some traders believe the news will boost the short-term Trump trade. If the former president is elected this fall, some investors expect inflation to go up because Trump wants tariffs on imports and the deficit would grow as spending on defense would be higher than under Biden. But a Biden trade or a Trump trade isn't that simple and doesn't work for investors really,

says one policy expert. Congress is as important or more important than the president in setting policy. So all this business about Trump baskets and Biden baskets alone doesn't really cut it. In a split Congress, what you're going to have is an increase in defense almost no matter what happens. But I think it'll be a little more pronounced on Trump's side. Unless there is one party Republican control in Washington, top to bottom, what you're going to have is a situation where the tax cuts in 2025 expire. And investors can play that as well. Pangea Policy Advisors Terry Haynes on CNBC.

Goldman Sachs out with strong quarterly results today, beating estimates on better-than-expected fixed income trading. Burberry shares are struggling. The designer brand falling out of favor. The 168-year-old British luxury giant also suspended its dividend. Shares of Burberry are plunging in London after a disappointing first quarter performance. Comp store sales for the luxury retailer fell 21% in the quarter that ended in late June. It warned that if the current trend persists, it will report an operating loss for the first half of this fiscal year.

CEO Jonathan Aykroyd is stepping down effective immediately and the board named Joshua Shulman as its new CEO. Shulman previously ran Michael Kors and Coach. CNBC's Becky Quick. Watch Macy's shares today. The retailer has ended buyout talks with Arkhouse and Brigade after months of negotiations. The cost of a stamp went up yesterday by another 5 cents, bringing the price to mail a first-class letter up to 73 cents. It's the second increase this year for the postal service. Universal's Despicable Me 4, number one at the weekend box office for a second week. Universal is a sister company to CNBC.

Indie company Neon, its horror film Long Legs was a surprise in second place. Disney Pixar's Inside Out 2 was third and is now the company's biggest movie ever, making more than one and a quarter billion dollars at the global box office. Jessica Ettinger, CNBC. I think track and field is really special and unique in that you get out exactly what you put into it. When I am in the blocks, it's a really intense time. And then I just feel like I'm flying. The Olympics from Paris starts July 26th on NBC and Peacock.