CNBC Business News Update - Market Midday: Stocks Lower, Investors Spooked By The Prospect That Tariffs Collected Must Be Refunded, McDonalds To Bring Back Extra Value Meals 9/2/25

Episode Date: September 2, 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 is lower on this first day of September trading. The Dow is down 535 points more than 1%. InVIDIA shares are leading it lower. They're down almost 4% this afternoon. The S&P 500 index down 96 points. That's 1.5%. The NASDAQ is down 403 points now. That's 1.8%. September is worse than October. Yeah, because we may close in October. That's right. So we have maybe a rocky six weeks. So I think you take advantage of that because earnings are actually better than expected.

And oh, by the way, we're up 30% from April. So it would be fine to have any kind of a pullback. I think you buy it. I think the fourth quarter is going to be very strong. High Towers, Stephanie Link on CNBC. A court has ruled that the Trump tariffs are illegal, but left them in place. while it plays out legally, the issue could go to the Supreme Court. The tariff development is very interesting.

I think it's going to go to the Supreme Court. I think the Supreme Court is going to throw it back to Congress and say, have the Republican Congress say, okay, and then it'll go through. And that's going to be very interesting politics, I think, in the second half of this year. Wharton Professor Jeremy Siegel on CNBC, bond yields popping on the prospect the U.S. could have to refund tariff money collected, and that is helping to push stocks lower today. Craft Hines will split into two publicly traded businesses reversing the merger from 10 years ago that created one of the world's biggest food companies.

The names of the companies will be determined at a later date, but one, it's going to focus on shelf-stable brands like Heinz and Kraft Mac and Cheese. The other is going to comprise a North American grocery business, including brands like Oscar Meyer, Kraft Singles and Lunchables, expected that deal to close. the second half of next year. CNBC's Andrew Ross Sorkin. Microsoft offering a discount to the government on cloud services that could save U.S. taxpayers

$6 billion over three years. McDonald's bringing back extra value meals next week as consumers struggle with inflation like a $5 sausage McMuffin meal and an $8 Big Mac meal. Particularly with middle and lower income consumers, they're feeling under a lot of pressure right now. I think there's a lot of, you know, commentary about what's the state of the economy, how's it doing? And what we see is it's really

kind of a two-tier economy. If your upper income earning over $100,000, things are good. What we see with middle and lower-income consumers is actually a different story. It's that consumers under a lot of pressure. In our industry, traffic for lower-income consumers is down double digits. McDonald's CEO Chris Kamsinski on CNBC. Epsico shares popping after the Wall Street Journal reported citing sources that activist Elliott Management's taken a $4 billion stake in the company, perhaps to push for changes in that business. Warner Brothers horror film Weapons regained the top spot at the weekend box office over the holiday. Jessica Eddinger, CNBC.

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